MUMBAI, October 15 — The Reserve Bank of India (RBI) on Thursday evening released its latest bulletin on Financial Stability and Monetary Policy Transmission, confirming that non-food bank credit growth among Scheduled Commercial Banks (SCBs) maintained a robust momentum of 14.1 percent year-on-year.
The central bank's analytical report documented exceptional balance-sheet resilience across the domestic banking system. The aggregate Gross Non-Performing Asset (GNPA) ratio declined to a multi-year low of 2.74 percent, while the Net NPA ratio settled at a historic decadal low of 0.76 percent. Concurrently, the Capital to Risk-Weighted Assets Ratio (CRAR) stood comfortably at 16.8 percent, well above regulatory Basel-III requirements.
RBI economists highlighted that credit expansion was driven predominantly by services, micro, small, and medium enterprises (MSMEs), and retail housing portfolios, supported by rapid transmission of monetary impulses through the External Benchmark-based Lending Rate (EBLR) mechanism.
The monetary policy toolkit of the RBI (Repo, Reverse Repo, Standing Deposit Facility, Marginal Standing Facility), banking sector prudential indicators (GNPA, Provisioning Coverage Ratio - PCR, CRAR), the structural mandate of the National Asset Reconstruction Company Limited (NARCL), and Basel-III frameworks are central study themes across UPSC Civil Services (GS-III: Monetary Economics) and RBI Grade B / Banking examinations.