ReferIndia News Indian lenders pay steepest premium for short-term funds in 6 years as borrowings hit record

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Indian lenders pay steepest premium for short-term funds in 6 years as borrowings hit record

Published on: March 20, 2026, 5:59 p.m. | Source: The Economic Times

Indian banks are paying record premiums for short-term funds. This is driven by sluggish deposit growth and a heavy reliance on certificates of deposit. Borrowings have reached an all-time high. Experts anticipate this pressure to continue until the end of the year. Banks are seeking measures to ease this funding strain.

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