Banks’ credit growth rate slows to 8.8%, shows RBI data

Throughout this fiscal so far, credit growth has been in the low-double-digit. This reflected severe economic crisis arising from both structural and cyclical issues and a massive fall in consumption demand.

Indian banks’ credit growth rate, for the first time this fiscal, slowed to single digit at 8.8 per cent to ₹97.71 lakh crore during the fortnight to September 27, according to the Reserve Bank of India supplementary data. During the same period, deposits climbed 9.4 per cent.

Indian banks’ credit growth rate, for the first time this fiscal, slowed to single digit at 8.8 per cent. (PTI File Photo)

Outstanding loans rose ₹596.53 trillion ($8.40 billion) from a fortnight earlier to ₹97.71 trillion as on September 27.

Non-food credit gained ₹64.30 billion to ₹97.11 trillion, while food credit fell ₹46.51 billion to ₹600.85 billion while bank deposits grew ₹1.83 trillion to ₹129.07 rupees in the two weeks ended September 27.

Throughout this fiscal so far, credit growth has been in the low-double-digit. This reflected severe economic crisis arising from both structural and cyclical issues and a massive fall in consumption demand.