Mumbai, Dec. 31 -- Non-housing retail loans, largely for consumption, accounted for 55.3% of household borrowings in the first half of FY26. Housing loans accounted for 28.6%, while agriculture and business loans comprised 16.1%, according to Reserve Bank of India (RBI) data.

The segment of retail consumer loans has grown consistently since March 2019, surpassing the shares of housing loans, agriculture loans, and business loans, RBI said in its Financial Stability Report for December 2025.

Worryingly, the higher share of personal loans stands atop the expansion in the overall indebtedness levels of Indian households, which surged past its five-year average to reach 41.3% of the gross domestic product (GDP) in the last financial year. ...