The report shows that Assets Under Management (AUM) in India’s retail credit market reached ₹137 lakh crore in March 2026, up 19% year-on-year. New loan originations also accelerated sharply, rising 31% YoY to ₹75 lakh crore, reflecting sustained credit demand across consumer segments.
Experian said the growth was supported by both secured and unsecured lending. Secured credit gained a larger share of overall portfolios, led by strong traction in gold loans and housing finance, while unsecured lending rebounded in FY26 after a contraction in the previous year.
Asset quality improved across the industry, with net 30+ delinquencies easing to around 3% as of March 2026, compared with higher levels last year. The report attributed the improvement to stronger underwriting practices, better repayment behaviour and more disciplined lending standards.
NBFCs and fintech lenders continued to play a key role in driving retail credit expansion, particularly in unsecured and consumption-led segments, while public sector banks strengthened their presence in secured lending such as home loans.
“India’s financial ecosystem is witnessing sustained momentum, supported by strong economic activity and growing confidence among borrowers and lenders,” said Manish Jain, Country Managing Director, Experian India. He added that the sector is moving towards a more balanced and resilient credit environment, supported by digital innovation and wider distribution.
Among segments, personal loans recorded steady growth with AUM rising 15% YoY to ₹16.1 lakh crore, while gold loans surged 47% to ₹11.9 lakh crore, supported by higher gold prices and rising ticket sizes. Credit cards grew modestly at 2% YoY, while consumer durable loans rose 28% and two-wheeler loans expanded 17%.
Home loans increased 12% YoY to ₹43 lakh crore, with higher average ticket sizes indicating a shift toward premium housing finance. Auto loans also grew 15%, supported by demand for higher-value vehicles.
Experian said the overall trend points to a more resilient and data-driven credit environment, with lenders focusing on responsible growth and improved risk management.
