New Delhi, Sept. 10 -- Indian banks incremental credit to grow by Rs 19 trillion to 20.5 trillion, translating into a year-on-year growth of 10.4-11.3 per cent according to a report by rating agency ICRA.

However, supported by improved economic activity and recent policy measures, non-banking financial companies (NBFCs), excluding infrastructure-focused entities, are estimated to register a 15 to 17 per cent expansion in the current fiscal.

According to ICRA, the momentum comes despite a slower start in the first five months of FY26, where incremental bank credit stood at Rs 3.9 trillion against Rs 5.1 trillion in the same period last year. The agency believes the recent GST rate cuts, coupled with an upcoming reduction in the cash rese...