New Delhi, Aug. 27 -- The ongoing shift in the financial markets towards retail loans is leading to an increase in consumer leverage, according to a report by JM Financials.

The report highlighted that the transformation in lending trends has evolved over several phases in the last two decades, with both banks and non-banking financial companies (NBFCs) playing a significant role.

It stated, "Ongoing shift to retail loans is leading to an increase in consumer leverage."

Between 2000 and 2010, the Indian banking sector experienced a decade of strong growth and product innovation.

This period marked the emergence and expansion of retail banking. Products such as housing loans (HL) and business loans (BL) became widely available, with IC...