Updated: 20 September 2026 | Section: Banking Awareness
The Reserve Bank of India (RBI) has released the Quarterly Basic Statistical Return (BSR)-2 on Deposits with Scheduled Commercial Banks for June 2026. The data gives an unusually detailed picture of India’s deposit structure: scheduled commercial bank deposits grew 11.5% year-on-year at the end of June 2026, private sector banks recorded 13.8% growth, public sector banks recorded 10.3%, and the household sector accounted for 58.8% of total deposits.
For banking and competitive-exam preparation, this is more useful than memorising a single percentage. BSR-2 explains what kind of deposits are growing, who owns them, how deposits are distributed across branches, and how the maturity and interest-rate structure is changing.
What Happened?
On 31 August 2026, the RBI released the Quarterly BSR-2 publication covering the end-June 2026 position on its Database on Indian Economy portal. BSR-2 collects branch-wise quarterly information from scheduled commercial banks, excluding regional rural banks, on current, savings and term deposits, ownership by institutional sector, the age distribution of individual deposits, maturity patterns, deposit size, interest-rate ranges and employee information.
The key headline is 11.5% year-on-year growth in aggregate deposits. That was marginally higher than the 11.3% growth recorded a year earlier but slightly lower than the 11.6% growth in the preceding quarter. The data therefore points to continued deposit expansion, although the rate was broadly stable rather than accelerating sharply.
Why It Matters
Deposits are the principal funding base for banks. When deposits rise, banks generally have a larger pool of funds that can support credit creation, subject to liquidity requirements, regulatory constraints, capital adequacy and the bank’s own asset-liability strategy.
The composition matters as much as the total. RBI’s June 2026 BSR-2 data show that term deposits grew 12.9%, faster than savings deposits at 10.6% and current deposits at 5.3%. This means the headline deposit number is being supported strongly by term deposits rather than by current-account balances.
The data also show a maturity preference. About 70% of term deposits were in the original maturity bucket of one to three years, while deposits with an original maturity of up to one year represented 20.4% of term deposits. For bank-exam candidates, this gives a practical illustration of why maturity transformation and interest-rate risk matter in banking.
BSR-2 June 2026: Data Figure
| Indicator | June 2026 position |
|---|---|
| Total deposit growth of SCBs, YoY | 11.5% |
| Private sector bank deposit growth | 13.8% |
| Public sector bank deposit growth | 10.3% |
| Household sector share of deposits | 58.8% |
| Share of incremental deposits from household sector | 98.9% |
| Term-deposit growth | 12.9% |
| Savings-deposit growth | 10.6% |
| Current-deposit growth | 5.3% |
| Term deposits, original maturity 1–3 years | Nearly 70% |
| Term deposits, original maturity up to 1 year | 20.4% |
| Term deposits of size ₹1 crore and above | 47.3% |
| Deposits of ₹5 crore and above within the ₹1 crore+ segment | 35.7% |
Private Sector Banks vs Public Sector Banks
Private sector banks recorded 13.8% year-on-year deposit growth in June 2026, while public sector banks recorded 10.3%. The difference is a useful current-affairs data point, but it should not be interpreted as a ranking of banks’ overall performance. Deposit growth is only one indicator and does not by itself capture profitability, asset quality, capital adequacy or liquidity risk.
For exam purposes, remember the exact pairing: 13.8% = private sector banks; 10.3% = public sector banks.
Households Remain Central to Deposit Growth
The household sector accounted for 58.8% of total deposits at the end of June 2026 and contributed 98.9% of incremental deposits during the period. This is important because household deposits are the key link between household saving behaviour and the banking system’s funding base.
A change in household preference between savings deposits, term deposits and other financial assets can therefore alter the funding profile available to banks. That is why deposit composition is closely watched by policymakers and bank management.
Why Term Deposits Matter
Term deposits offer banks relatively more predictable funding than immediately withdrawable balances, although the exact stability depends on maturity, pricing and customer behaviour. The June 2026 data show term deposits growing at 12.9%, the fastest among the three broad deposit types reported here.
The maturity structure is equally informative. Nearly 70% of term deposits had an original maturity of one to three years. In contrast, the up-to-one-year bucket accounted for 20.4%. A candidate should not confuse original maturity with the remaining maturity of a deposit on the reporting date. BSR-2 uses the former for this classification.
Interest-Rate Structure: Another Important Exam Angle
More than two-thirds of term deposits carried an interest rate of less than 7% as of June 2026, compared with 35.0% a year earlier. The sharp change is directly relevant to banking-awareness questions because it demonstrates how the distribution of deposit rates can change even when aggregate deposit growth remains robust.
The data also show concentration at the upper end of deposit size. Deposits of ₹1 crore and above accounted for 47.3% of total term deposits at end-June 2026, and within that group, deposits of ₹5 crore and above represented 35.7%. These figures provide a useful bridge between banking current affairs and the concept of concentration in deposit portfolios.
What Exactly Is BSR-2?
BSR stands for Basic Statistical Return. BSR-2 is designed around deposit data. It should be distinguished from BSR-1, which covers bank credit. The RBI uses these statistical returns to build structured information on the banking system that can be used for policy analysis, monetary and financial-sector monitoring and research.
The BSR-2 reference date is the last day of the quarter. The June 2026 edition therefore describes the position at the end of June 2026 rather than an average for the entire quarter.
Static GK Connection
The RBI was established on 1 April 1935 under the Reserve Bank of India Act, 1934, and was nationalised in 1949. Its headquarters is in Mumbai, Maharashtra. The present RBI Governor is Sanjay Malhotra.
For exam revision, connect BSR-2 with the RBI’s Database on Indian Economy (DBIE), scheduled commercial banks, deposit classifications, monetary policy transmission and the statutory framework under which the banking system reports data.
Banking Concepts Behind the Numbers
Current deposits: primarily transaction-oriented accounts, generally associated with businesses and other entities requiring frequent payments and withdrawals.
Savings deposits: deposit accounts designed mainly for savers and households, combining liquidity with interest earnings.
Term deposits: deposits placed for a specified period, with the maturity structure influencing banks’ liability duration and pricing decisions.
Deposit growth: year-on-year growth compares the current reference period with the corresponding period a year earlier; it should not be confused with quarter-on-quarter growth.
Exam Relevance
SBI/IBPS/RRB: memorise 11.5%, 13.8%, 10.3%, 58.8%, 98.9% and 12.9%, together with the deposit-type definitions and BSR-1 versus BSR-2 distinction.
SSC: questions may ask which return deals with deposits, the RBI reference date, or match a percentage with the correct bank group.
UPSC/State PSC: use the figures to discuss household financial savings, bank funding, monetary transmission and financial intermediation.
Possible MCQ Areas
- What was the year-on-year growth in deposits of scheduled commercial banks at end-June 2026?
- Which bank group recorded 13.8% deposit growth?
- What share of total deposits belonged to the household sector?
- What percentage of incremental deposits came from the household sector?
- Which deposit category grew fastest in June 2026?
- What was the growth rate of term deposits?
- Which original maturity bucket accounted for nearly 70% of term deposits?
- What share of term deposits was in the up-to-one-year original maturity bucket?
- What is the difference between BSR-1 and BSR-2?
- Who is the RBI Governor in September 2026?
- Where is the RBI headquartered?
- What is the reference date used for a quarterly BSR publication?
Top Office Holder to Remember
Sanjay Malhotra — Governor, Reserve Bank of India (RBI).
Official Source
Reserve Bank of India — Quarterly BSR-2 on Deposits with Scheduled Commercial Banks, June 2026
RBI Database on Indian Economy (DBIE)
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RBI Current Affairs · Banking Awareness revision · BSR-1 and BSR-2 banking statistics