
Corporate Preference for Alternative Funding Keeps Bank Credit Growth Subdued
Published on: Aug. 2, 2025, 12:05 p.m. | Source: Devdiscourse
Bank credit growth is projected to stagnate as corporations increasingly explore alternative funding options amid low-interest rates. The State Bank of India (SBI) report highlights a shifting trend, with non-bank funding growing faster than traditional loans, particularly affecting the Micro, Small and Medium Enterprises (MSME) sector.