Banks may see weaker margins in Q2 FY26
Banks are expected to face weaker margins in Q2 FY26 as rising deposit costs, tighter liquidity, and growing competition from smaller lenders put pressure on profitability. While credit demand remains strong, the need to offer higher deposit rates and the possibility of increased provisioning for stressed assets could weigh on earnings. Though the long-term outlook for the sector is positive, the coming quarter will test how well banks can balance growth with stability in a challenging economic environment.
Comments
Post a Comment