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Steady Strength in India's Banks
- India's top private banks are stable with steady profits despite slower growth.
- They maintain strong asset quality and cautious lending practices, preparing for future challenges.
Banks Slow Lending to Build Deposits
- Credit growth in India has slowed sharply, partially due to banks deliberately reducing loan-to-deposit ratios.
- Deposits are rising, enabling banks to strengthen their funding bases for future growth.
Margin Pressure from Rate Cuts
- Margins in Indian banks face pressure as lending rates drop faster than deposit rates.
- Banks struggle to maintain profit margins amid rising deposit costs and expected rate cuts.