Leading public sector banks, including Canara Bank and Indian Bank, are experiencing a sustained trend where their loan disbursements are expanding at a quicker pace than customer deposits. According to reports from The Economic Times, this robust credit expansion, particularly in retail, agriculture, and MSME sectors, signals a dynamic lending environment for these financial institutions. The latest provisional Q1 results from Canara Bank confirm this trend, with the bank's global advances reaching ₹12.93 lakh crore, representing a 17.96% year-on-year growth. Indian Bank's advances grew 13.9% year-on-year to ₹6.85 lakh crore, marginally outpacing the deposits growth of 13.3% to ₹8.43 lakh crore.
Canara Bank reported strong provisional Q1 results with global advances of ₹12.93 lakh crore, up 17.96% year-on-year and 4.50% sequentially from the previous quarter. As per the latest exchange filing, the bank's global deposits increased to ₹16.13 lakh crore, marking a 2.80% quarter-on-quarter growth and 11.69% annual increase. The bank's domestic advances stood at ₹12.07 lakh crore, reflecting a 3.94% sequential rise and 16.93% annual growth. The domestic Retail, Agriculture and MSME (RAM) portfolio reached ₹7.65 lakh crore, growing 21.27% year-on-year and 4.73% quarter-on-quarter. Notably, the bank's retail, agriculture and MSME advances grew at 21.3% to ₹7.7 lakh crore, reflecting faster expansion than wholesale advances.
Indian Bank's advances grew 13.9% year-on-year to ₹6.85 lakh crore, marginally outpacing the deposits growth of 13.3% to ₹8.43 lakh crore. According to The Economic Times, this quarterly business performance shows that the trend of credit growth outpacing deposits growth has continued in the first quarter, following a pattern seen over the past few years.
The retail leasing market demonstrated robust growth in Q2 2026, with overall leasing activity jumping 18% year-on-year despite supply constraints. According to Cushman & Wakefield, prime high-street rents recorded an average growth of 2.1% quarter-on-quarter and 5.1% year-on-year, with appreciation remaining selective and location-specific. Key retail corridors such as Mumbai's Linking Road (+22% YoY), Bengaluru's Indiranagar 100 Feet road (+12% YoY), Chennai's Anna Nagar 2nd Avenue (+11% YoY), Ahmedabad's CG Road (+11% YoY) and Delhi NCR's Khan Market (+9% YoY) witnessed notable rental growth on a year-on-year basis. Looking ahead, supply constraints are likely to persist in the near term as retailer demand continues to outpace the availability of quality retail space across major markets.
