The State Bank of India (SBI), the nation's largest lending institution, is on track to achieve a significant milestone.
Fueled by strong demand within a favorable low-interest environment, its home loan division is projected to exceed ₹10
lakh crore in the next financial year.
As SBI Chairman C S Setty told PTI, the bank's existing home loan holdings already exceed ₹9 lakh crore. According to
Setty, this segment represents the bank's single largest business unit, accounting for over 20% of SBI's total assets.
Maintaining a 14% expansion rate, SBI is well-positioned to reach this ₹10 lakh crore goal in its home loan business
during the upcoming fiscal year, Setty noted.
Last month, SBI's home loan portfolio surpassed the ₹9 lakh crore threshold, solidifying its position as the country's
foremost mortgage provider. The bank concluded FY25 with ₹8.31 lakh crore in home loans, demonstrating a 14.4% increase
from the prior fiscal year.
Over the years, SBI has steadily cultivated its home loan portfolio, growing from ₹1 lakh crore in March 2011 to ₹9 lakh
Furthermore, SBI has successfully maintained non-performing assets (NPAs) in this sector below 1% through continuous and
proactive monitoring. At the close of FY25, the bank's gross NPA in home loans stood at 0.72%, ranking among the lowest
Previously, Setty voiced optimism that the momentum within the Retail, Agriculture, and MSME (RAM) segment would fuel an
overall credit expansion of 14% during the current fiscal year. In September, the RAM segment, which constitutes 67% of
SBI’s total loan portfolio, exceeded ₹25 lakh crore.
Given the improvement in economic expansion, SBI has revised its credit growth target upward from 12% to 14% for the
"We've raised our credit growth projections, adjusting it from 12% to 14%," Setty stated. "We anticipate substantial
credit growth, particularly from the RAM sector, with MSME experiencing almost 17-18% growth, while agriculture and
Additionally, Setty mentioned the bank is seeing positive growth in gold loans, and express credit, which represents
unsecured personal loans, is poised for double-digit growth.