The Reserve Bank of India (RBI) announced that India’s year-on-year money supply (M3) grew by 10.9% as of February 15. This expansion reflects strong liquidity conditions in the economy, supported by rising deposits and credit growth, reinforcing India’s financial resilience amid global uncertainties and domestic growth momentum
India’s financial system continues to show robust liquidity, with the Reserve Bank of India (RBI) reporting a 10.9% year-on-year increase in money supply (M3) as of February 15. The growth in M3, which includes currency in circulation, demand deposits, and time deposits, highlights the strength of India’s banking sector.
The rise in money supply is closely linked to healthy deposit mobilization and strong credit demand, both of which have been driving India’s economic activity. This expansion underscores the resilience of India’s financial ecosystem, even as global markets face volatility.
Key Highlights
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Money Supply Growth: M3 rose 10.9% year-on-year as of February 15
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Liquidity Strength: Reflects robust deposit inflows and credit expansion
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Economic Context: Supports India’s growth trajectory amid global uncertainties
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Banking Sector: Strong fundamentals reinforce financial stability
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Outlook: Continued resilience expected with balanced liquidity and credit availability
This data reinforces confidence in India’s financial system, positioning the country as a stable growth engine in the global economy.
Sources: Reuters, Reserve Bank of India (RBI)