India’s commercial-sector financing increased in the first half of fiscal 2026-27, official data show, while ANI reported HSBC saw faster credit growth as a potential support for private investment.
Provisional Reserve Bank of India (RBI) data put financing flows at ₹25.29 lakh crore for the six months ended Sept. 30, compared with ₹16.26 lakh crore a year earlier. Non-food bank lending contributed ₹16.07 lakh crore to the latest total, versus ₹8.47 lakh crore in the corresponding period. Outstanding commercial-sector credit stood at ₹335.75 lakh crore on Sept. 30, up 17.3% year over year; growth was 12.8% in the year to Sept. 30, 2025. The RBI said resource flows were driven mainly by non-food bank credit and higher foreign direct investment.
ANI said HSBC’s Nov. 6 assessment found that activity was expanding across close to 70 of roughly 100 measures monitored for India, compared with a share below 55% in the second quarter. HSBC linked faster credit growth to the prospect of stronger private investment. ANI also reported that HSBC cited weak rural demand after rainfall shortages and repeated heat waves. The bank said lower global energy prices could ease pressure on corporate margins and that investment in data centers could temporarily lift imports of expensive equipment.
The RBI’s October Monetary Policy Report said merchandise exports rose 17.8% and services exports increased 10.9% year over year from April through August 2026. The net services surplus grew 7.3% to US$85.8 billion. For April-August 2026, the current-account shortfall was US$18.3 billion, against US$12.8 billion in the same period a year earlier.
The Ministry of Statistics and Programme Implementation (MoSPI) reported provisional combined consumer price inflation of 5.54% year over year in September 2026. Food inflation was 7.74% year over year. ANI reported HSBC expected inflation to stabilize, though a quick reversal was not assured.
MoSPI’s next consumer price index release, for October, is scheduled for Nov. 12. Its schedule moves the release to the next working day if Nov. 12 is a holiday.
