Bank credit rises 6.13%, deposits 11.04%, says RBI

Bank loan growth to industry decelerated to 1.7 per cent in May 2020 from 6.4 per cent in the same month last year. (Photo: Getty)


With banks taking risks in the pandemic-hit market, credit growth in the Indian Banking sector has grown by 6.13 per cent to Rs 102.91 lakh crore while the deposits have jumped to 11.04 per cent to Rs 140.75 lakh crore, RBI data showed on Saturday.

As per the data, in the fortnight ended July 5, 2019, bank loans stood at Rs 96.97 lakh crore and deposits at Rs 126.75 lakh crore. On June 5, data showed that bank credit and deposits had grown by 6.18 per cent and 11 per cent respectively.

For the fortnight ending in May, the non-food credit growth decelerated to 6.8 per cent year-on-year from 11.4 per cent in the same period last year.

The outstanding incremental non-food credit stood at Rs 90.3 lakh crore as of May 22, 2020 as against Rs 84.51 lakh crore on May 24, 2019.

Bank loan growth to industry decelerated to 1.7 per cent in May 2020 from 6.4 per cent in the same month last year.

May also witnessed an YoY decline in the loan growth to the service sector from to 11.2 per cent from 14.8 per cent in the same period previous year.

Similarly, the May month saw a fall in personal loans as well, it came down to 10.6 per cent in May 2020 from 16.9 per cent in May 2019.