New Delhi
Lower real interest rates have not adversely affected deposit growth in India, according to SBI Research. The report noted that deposit mobilisation has remained resilient despite changes in interest-rate conditions, indicating continued public confidence in the banking system. Strong household savings, expanding financial inclusion and wider access to banking services have supported deposit inflows. SBI Research observed that deposit growth is influenced by several factors beyond interest rates, including income trends, liquidity needs and the availability of financial products. The findings suggest that banks may continue to maintain stable deposit resources even in a lower real-rate environment, supporting credit growth and overall financial-system stability.