Bank credit shows sign of uptick, grows by 5.49%, deposits by 10.92%: RBI
Bank credit grew 5.49 percent to Rs 102.11 lakh crore, while deposits increased 10.92 percent to Rs 141.76 lakh crore in the fortnight ended August 28, according to RBI data.
In the fortnight ended August 30, 2019, banks’ advances were at Rs 96.80 lakh crore and deposits stood at Rs 127.80 lakh crore.
In the previous fortnight ended August 14, 2020, bank credit and deposits had grown by 5.52 percent and 11.04 percent to Rs 102.19 lakh crore and Rs 140.80 lakh crore, respectively.
On a year-on-year (y-o-y) basis, non-food bank credit grew at 6.7 percent in July as against a growth of 11.4 percent in the same month last year, according to the data on sectoral deployment of bank credit for July 2020, released recently by RBI.
Growth in loans to industry slowed to 0.8 percent in July as compared to 6.1 percent earlier, the data showed.
Advances to agriculture and allied activities registered a growth of 5.4 percent in the reporting month as against 6.8 percent growth in the same period last year.
Credit to the services sector grew 10.1 percent in July 2020 as against 15.2 percent earlier.
Personal loans continued to perform well, registering a growth of 11.2 percent as compared to 17 percent increase in July 2019.
Within this sector, vehicle loans registered accelerated growth of 8.1 percent as compared to 4.9 percent in July 2019, according to the data.