Banking Sector Registers Record Growth, NPAs Decline Sharply: Finance Ministry Official

By  Firstdespatch Desk   May 27, 2026

Agartala, May 27 (FD) M Nagaraju, IAS, Secretary, Department of Financial Services under the Union Ministry of Finance, on May 26 highlighted the strong performance of India’s banking sector while attending two credit outreach programmes in Tripura, where loans amounting to Rs 604 crore were sanctioned to nearly 8,000 beneficiaries.

Speaking to reporters in Agartala, the senior Finance Ministry official said both public and private sector banks in the country are performing “very well”, with an annual growth rate of 15.90 per cent — the highest recorded in the history of Indian banking.

He also stated that Non-Performing Assets (NPAs) across the country have declined significantly to 0.40 per cent compared to previous years, reflecting improved financial health and stronger banking operations.

During his visit to Tripura, Nagaraju participated in programmes aimed at strengthening financial inclusion and expanding institutional credit support across various sectors.

The sanctioned loans are expected to benefit small businesses, entrepreneurs and other eligible beneficiaries in the state, while boosting economic activities and improving access to formal banking and financial services in Tripura. FD JK