New Delhi, Nov 12 – India's public sector banks (PSBs) demonstrated strong growth in the first half of FY25, with an 11% year-on-year increase in aggregate business, totaling Rs 236.04 lakh crore. Credit and deposits showed significant year-on-year growth of 12.9% and 9.5%, reaching Rs 102.29 lakh crore and Rs 133.75 lakh crore, respectively, according to the Ministry of Finance.
Key Financial Metrics:
Profit Growth: Operating and net profit surged, with H1 FY25 figures reaching Rs 1, 50, 023 crore (14.4% growth) and Rs 85, 520 crore (25.6% growth).
NPA Improvement: Gross NPA declined to 3.12% and net NPA to 0.63%.
Capital Resilience: The CRAR improved to 15.43%, surpassing the regulatory requirement of 11.5%.
PSBs also advanced in adopting AI, cloud, and blockchain, bolstering digital infrastructure and cybersecurity to enhance customer services.
Driven by Prime Minister Modi’s and Finance Minister Nirmala Sitharaman’s leadership, major reforms—such as EASE, the Insolvency and Bankruptcy Code, and PSB amalgamation—have strengthened governance and financial discipline.