Saving money concept Man hand putting row and coin Writing Finance Saving money concept Man hand putting row and coin Writing Finance | Photo credit: SARINYAPINNGAM
“SFBs’ profitability is subdued over 2024-2025 despite robust balance sheet growth. SFBs’ net profits declined due to a sharp increase in provision and contingency expenditure. SFBs’ asset quality showed a decline, with gross non-performing asset ratio (GNPA) increasing to 3.6 percent at end-March 2025 (from 2.4 percent last year). However, SFBs remain strong capitalized with CRAR at 21.5 percent and core CRAR (Tier 1 capital) at 18.8 percent at end-March 2025,” the RBI said.
Provisions and contingencies of SFBs rose 80 per cent year-on-year (YoY) to ₹8,144 crore in 2024-25. By the end of March 2025, 11 SFBs were operational with 7,403 domestic branches in India.
Overall, the combined balance sheet size of SFBs continued to grow by double digits over 2024-2025, outpacing the growth of other lender categories. Term deposits accounted for 73.9 percent of SFBs’ total deposits as of March 2025.
As deposit growth continues to outpace credit growth, the CD ratio of SFBs fell to 86.4 per cent in March 2025 from 90.1 per cent a year ago, the RBI said.
Published on December 29, 2025
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