RBI Data: Fresh Loan Interest Rates Fall to 8.51% and Deposit Rates Drop to 5.61% in September 2026

India’s fresh loan interest rates declined in September 2026, while deposit rates also recorded a fall, according to the latest data released by the Reserve Bank of India (RBI) on lending and deposit rates of scheduled commercial banks (SCBs).

Highlights:

Lending Rates:

• The weighted average lending rate (WALR) on outstanding rupee loans of SCBs remained unchanged at 8.96 per cent in September 2026 compared to August 2026.
• The WALR on fresh rupee loans of SCBs declined to 8.51 per cent in September 2026 from 8.61 per cent in August 2026.
• 1-Year median Marginal Cost of Funds based Lending Rate (MCLR) of SCBs declined to 8.55 per cent in October 2026 from 8.61 per cent in September 2026.
• The WALR on fresh as well as outstanding rupee loans exhibited a mixed movement across sectors in September 2026.

Deposit Rates:

• The weighted average domestic term deposit rate (WADTDR) on outstanding rupee term deposits of SCBs marginally declined to 6.55 per cent in September 2026 from 6.56 per cent in August 2026.
• The WADTDR on fresh rupee term deposits of SCBs declined to 5.61 per cent in September 2026 from 5.67 per cent in August 2026.