Indian banks witnessed their first operating profit decline in 13 quarters during July-September, primarily due to sluggish net interest income growth. This dip, a 1% year-on-year fall to ₹1.5 lakh crore, stemmed from faster loan repricing downwards than deposits, squeezing margins. Analysts anticipate this contraction phase is nearing its end, with stabilization expected soon.
Originally published by The Economic Times https://economictimes.indiatimes.com/markets