State-run lender Punjab National Bank has achieved a significant milestone by crossing the ₹30 lakh crore mark in global business for the first quarter of FY27, marking a 10.32% year-on-year growth as of June 30, 2026. According to the bank's latest provisional business update submitted to NSE and BSE, this represents a landmark achievement for the public sector lender, demonstrating sustained momentum across its core banking operations. The bank's domestic business also showed robust performance with 9.9% growth to ₹29 lakh crore, reflecting healthy expansion in both deposits and advances segments. Notably, unlike many banking peers that frequently see a minor dip in business during the first quarter immediately following the hectic March closing, PNB managed to keep its momentum moving forward with 1.02% quarter-on-quarter growth. The latest data from The Economic Times confirms that global business recorded more than 10% YoY rise to nearly ₹30 lakh crore, while domestic business also grew around 10% to ₹28.76 lakh crore.
On the lending front, PNB demonstrated robust credit growth with global advances rising 13% year-on-year to ₹12.75 lakh crore, outpacing deposit growth and indicating sustained demand across retail, agriculture, MSME and corporate lending segments. Domestic advances increased 11.7% to ₹12 lakh crore, while the bank maintained steady deposit growth with global deposits growing 9% to ₹17.24 lakh crore and domestic deposits climbing 8.6% to ₹16.7 lakh crore. The higher loan growth suggests continued improvement in the bank's deposit franchise despite intense competition for retail and bulk deposits across the banking sector. The provisional data highlights a solid lending performance, with loan distribution growing faster than its deposit base over the last 12 months, positioning the bank right on the edge of the historic ₹30 lakh crore milestone.
According to the bank's latest data, the Retail, Agriculture, and MSME (RAM) advances increased to ₹6.76 lakh crore as of March 31, 2026, from ₹6.03 lakh crore in the previous fiscal, reflecting 12% growth. The RAM segment's contribution to domestic advances stood at 56.6% at the end of March 2026. With regard to low-cost deposits, PNB's domestic CASA share was at 37% as on March 31, 2026, with current account deposits at ₹79,294 crore and savings deposits at ₹5.30 lakh crore. The sustained growth in the RAM segment underscores the bank's continued focus on strategic areas including retail, agriculture, MSME advances.
The state lender's net interest income (NII) declined nearly 4% YoY to ₹10,380 crore from ₹10,757 crore a year ago, as reported by The Economic Times. However, asset quality showed improvement on a sequential basis, with gross NPAs at 2.95% compared with 3.19% in the previous quarter, while net NPAs stood at 0.29% versus 0.32%. The bank's global CD ratio improved to 73.92% in Q1 FY27 from 71.09% in Q1 FY26, indicating better credit management. These provisional figures, currently subject to final audit by the bank's Statutory Central Auditors, set up a highly predictable and resilient floor for the bank's upcoming full Q1 financial earnings.
