Banks' credit growth to moderate in FY27; NPAs to inch up: Crisil Ratings

Banks' credit growth is projected to slightly slow to 13% in FY27, with a potential 0.20% rise in bad loans to 2.5% by March 2027, according to Crisil. MSME loans exposed to West Asia, along with micro-loans and unsecured advances, are key concerns. Other factors include Bihar's microfinance bill and Maharashtra's loan waiver impact.