Reserve Bank of India reports decline in fresh term deposit rates

Data from the Reserve Bank of India (RBI) indicates that interest rates on fresh rupee term deposits declined in July 2026. The average rate for fresh term deposits fell to 5.90 per cent, down from 5.99 per cent in June.

Lending rates for new rupee loans remained relatively stable, with the average rate for fresh loans decreasing marginally to 8.52 per cent from 8.53 per cent in June. However, the average rate on existing outstanding loans saw a slight increase, rising to 8.97 per cent from 8.96 per cent.

The RBI reported mixed movement across different sectors. Fresh lending rates for the trade sector and professional services declined, while rates for infrastructure, large industries, and MSMEs saw increases. The data covers scheduled commercial banks, excluding small finance and regional rural banks.