GENERAL21 Sept 2026
FCNR(B) deluge leaves banks flush, corporate loan rates set to soften
Banks are now flush with deposits. Deposit growth touched a 15-year high of 17.8 per cent after the FCNR(B) mobilisation surge, RBI data shows, while the incremental credit-deposit ratio dropped sharply to 62.6 per cent. Credit growth stood at 19.1 per cent in the fortnight ended August 31. For business owners, this means corporate loan rates may soften. Talk to your banker early if you plan to borrow.
Key Statutory Highlights
- Deposit growth hit a 15-year high of 17.8 per cent after the FCNR(B) mobilisation surge.
- The incremental credit-deposit ratio fell sharply to 62.6 per cent.
- According to RBI data, credit growth in the banking system stood at 19.1 per cent in the fortnight ended August 31.
Actionable Advice for Taxpayers / Founders:If you are planning a corporate loan, check current rates with your bank rather than assuming they have already fallen, since softer rates are only being reported as a possibility.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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