SBI Sees Strong Credit Momentum In H2, Ups FY26 Growth Guidance To 12–14%

Optimism Builds As Corporate Lending Picks Up  

At a recent press conference, senior executives at State Bank of India (SBI) projected sustained credit demand in the second half of the fiscal year, underpinned by economic reforms and rising corporate loan disbursements. The bank now anticipates overall credit growth for the banking sector to reach 11–12% in FY26, with SBI’s own growth expected to be in the 12–14% range.

The bank also reaffirmed its full-year net interest margin (NIM) guidance of above 3%, citing stable funding costs and healthy loan yields. SBI highlighted that recent regulatory reforms introduced by the Reserve Bank of India are expected to further support credit expansion and improve asset quality.

Key Highlights  

• SBI expects credit demand to remain strong in H2 FY26  
• Revises FY26 credit growth guidance to 12–14%  
• Banking sector credit growth seen at 11–12%  
• Corporate loan growth to remain in double digits  
• NIM guidance retained above 3% for the full year  

Sources: Reuters, Business Standard, Moneycontrol, SBI Press Conference Transcript