During 2024–2025, foreign banks in India had strong loan growth of 8.4%, which was a little rise from 8.1 percent the year before.
According to data from the Reserve Bank of India, the growth of deposits at foreign banks’ branches in India slowed in FY25, growing by 6.8% as opposed to 16.4% in the previous year.
Foreign Banks Growth Trends
According to statistics, foreign bank branches in India mobilized $129.5 billion in deposits in FY25, up from $121.2 billion in the previous year. Compared to Rs 10.10 lakh crore in FY20, this equates to Rs 11.08 lakh crore in FY25.
A little rise from 8.1 percent the year before, foreign banks in India saw a strong loan growth of 8.4 percent in 2024–2025.
The fee revenue of foreign banks in India rose 9.4% in 2024–2025, while that of Indian banks’ overseas branches gained 4.3%. According to the RBI, services connected to credit, derivatives, stocks and securities, currency trading, payment and money transmission, and trade finance accounted for more over two-thirds of all fee revenue.
Indian Banks Overseas Performance
Through the subsidiary/joint venture approach, Indian banks increased their global footprint in FY25, increasing their branch and staff counts by 1.9% and 6.1%, respectively, compared to the prior year.
When taking into account all Indian bank branches and their subsidiaries, the overall number of employees rose by 3.4% in FY25.
According to the RBI announcement, lending and deposit mobilization by Indian banks’ foreign branches improved during the year, growing by 5.6% and 9.4% in USD terms, respectively.
Among operational economies, Indian bank branches in Hong Kong produced the largest fee revenue, rising from fourth to the top spot with a significant rise over the previous year. In contrast, the RBI said that fee revenue from Indian banks’ UK branches saw a steep drop, dropping them from the top spot to fourth place from the previous year.