We have increased the loan growth rate, said SBI Chairman Challa Srinivasaulu Shetty

The pace of economic growth has improved, leading to an increase in the credit growth rate as well. With this positive momentum, SBI has revised its loan growth estimate for the current financial year (2025–26) from 12 percent to 14 percent, said SBI Chairman Challa Srinivasulu Shetty. He stated that retail, agriculture, and MSME (RAM) loans are the major contributors to this growth. Currently, MSME loan demand is increasing at 17–18 percent, while the growth rate of agriculture and retail loans is rising at 14 percent. RAM loans, which account for 67 percent of SBI’s total loan portfolio, have already crossed ₹25 lakh crore by the end of the September quarter. Out of this, home loans alone amount to around ₹9 lakh crore, he revealed in an interview with PTI news agency.

At present, the growth rate of gold loans is also in double digits, said the SBI Chairman. While SBI’s corporate loan growth was modest until the quarter ending June, it picked up slightly in the September quarter, reaching 7.1 percent. With the RBI reducing the repo rate by another 25 basis points, loan demand is expected to rise further, the SBI chief noted. This, he added, will help SBI comfortably achieve its target of 3 percent Net Interest Margin (NIM) for this financial year. Shetty further stated that SBI will not need to raise funds through equity share issuance for the next four to five years.