Bajaj Finance Records Strong Festive Season, Sees Record Consumer Loan Disbursals

Bajaj Finance Limited, a prominent non-bank lender and part of Bajaj Finserv, announced exceptionally strong performance during the recent festive season. The company witnessed a record number of consumer loan disbursals, with a 27% increase in volume and a 29% increase in value compared to the same period in the previous year. This robust momentum was attributed to positive impacts from Goods and Services Tax (GST) reforms and changes in personal income tax regulations.

Specifically, reduced GST rates on consumer durables like televisions and air conditioners led to a 6% decrease in average loan ticket sizes. This affordability shift encouraged customers to upgrade to higher-end products, fueling a premiumisation trend. For instance, loans for televisions with screens of 40 inches and above constituted 71% of total TV financing, up from 67% a year prior.

From September 22 to October 26, 2025, Bajaj Finance disbursed around 63 lakh loans and onboarded 23 lakh new customers. Significantly, over 52% of these new customers were categorized as new-to-credit, indicating a successful expansion into previously unbanked segments of the population. Sanjiv Bajaj, Chairman of Bajaj Finance, highlighted the company's role in deepening financial inclusion and empowering the Indian consumer through its extensive digital platforms and wide distribution network.

Impact: This strong festive season performance is highly positive for Bajaj Finance, demonstrating its market leadership and ability to capitalize on economic trends and consumer demand. It is expected to boost investor confidence and potentially lead to stock price appreciation. The significant onboarding of new-to-credit customers also points to sustainable future growth. Rating: 9/10

Difficult Terms: Disbursing: The act of paying out money, in this context, issuing loans to customers. Consumption Finance: Loans provided to individuals for the purchase of goods and services, such as electronics, appliances, and vehicles. GST reforms: Changes and adjustments made to the Goods and Services Tax system in India, aimed at simplifying taxation and boosting economic activity. Premiumisation: A trend where consumers choose to buy higher-quality, more expensive products or services over standard options, often driven by increased disposable income or perceived value. New-to-credit: Individuals who have never taken a formal loan or used credit facilities before. Financial Inclusion: Ensuring that individuals and businesses have access to useful and affordable financial products and services that meet their needs, such as banking, credit, and insurance.