Neutral impactSector

Bank lending rates rise for first time since Jan 2025 as rate-cut transmission weaken

Economic Times 4 hrs ago·3 Sept 2026, 12:03 am

The increase in outstanding WALR was the first since January 2025, after a period of unidirectional moderation. Fresh WALR, meanwhile, remained broadly stable month-on-month, with public sector banks seeing a 5-basis-point decline to 7.98% after an increase of 10 bps in the previous month, while private banks saw a 3-bps moderation.

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