According to Topline Securities, the volume of auto financing in November 2025 rose to Rs. 318 billion, up from Rs. 235 billion in November 2024. This marks a 36% increase year-on-year and a 1% rise compared to the previous month.
Despite this growth, the current level remains 14% below the historical peak of Rs. 368 billion recorded in June 2022.
Experts attribute the increase to a significant reduction and stability in interest rates, which has boosted consumer confidence and encouraged vehicle purchases.
Trading economics reports that the interest rate has remained steady at 11% from May 2025 to mid-December, supporting greater activity in the automotive financing sector.