New Delhi, May 20 (IANS) India’s retail lending portfolio expanded to Rs 170.2 lakh crore as of March 2026, marking 16.6 per cent year‑on‑year growth and a 4.6 per cent quarter‑on‑quarter increase, a report said on Wednesday.

The report from CRIF High Mark said consumption loans grew 15.3 per cent year‑on‑year to Rs 118.6 lakh crore, supported by broad‑based growth across gold loans, personal loans and consumer durable loans.

Gold loans emerged as the fastest-growing segment, with portfolio outstanding reaching Rs 18.6 lakh crore and growing 50.4 per cent YoY, supported by favourable market conditions and higher collateral values.

Personal loans grew 12.9 per cent YoY, and consumer durable loans 20.8 per cent YoY, while auto and two-wheeler loans grew 13.9 per cent–15.1 per cent YoY.

Portfolio growth outpaced active loan growth across categories, indicating rising ticket sizes and premiumisation trends.

The total retail loan originations value rose 42.2 per cent YoY and 9.2 per cent sequentially in Q4 FY26.

The report also highlighted continued premiumisation across products, improving asset quality, and a continued shift toward collateral-led and secured lending segments.

Q4 FY26 also saw moderation in post‑festive spending in categories like wheels, finance and consumer durables.

Retail credit growth is increasingly shifting toward secured lending, while penetration continues to expand into semi-urban and rural markets, the report noted.

Home loans maintained steady momentum, with portfolio outstanding at Rs 44.4 lakh crore, growing 9.4 per cent YoY and 3.4 per cent sequentially.

However, credit cards remained subdued, with balances flat YoY and negative QoQ.

This growth was accompanied by improvement in portfolio performance, with delinquency levels declining across most segments, reflecting strengthening asset quality alongside sustained expansion.

Gold loans led originations growth, while personal and consumer-durable loans posted over 30 per cent YoY growth. Housing loans maintained steady sequential growth, supported by rising ticket sizes.

Moreover, auto loans and two-wheeler loans moderated on a sequential basis post-festive demand.

—IANS

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