Aug bank advances to NBFCs, industry 'robust'

Banks advances in the sectors like non-banking financial companies (NBFCs), industry, personal loans and services continues to remain robust in August, according to latest data released by the Reserve Bank of India.

The credit off-take in the services sector, led by a 55 per cent growth in advances in the NBFCs sector, went up by 20.6 per cent to Rs 9.01 lakh crore — compared to Rs 7.47 lakh-crore a year ago. The credit to the NBFCs sector, stood at 1.74 lakh crore.

Advances as personal loans grew by 15.7 per cent as against 7.9 per cent a year ago. The total outstanding bank credit in personal loans stood at Rs 7.04 lakh-crore.

Though the total credit deployed by the scheduled commercial banks in the industry increased by 23.6 per cent last month to Rs 17.14 lakh crore, it was slower compared to last year’s August, when advances in the sector grew by 26.5 per cent over the previous year.

While the growth in credit was modest at 13.3 per cent in the micro and small industries, advances in the medium and large industries were higher by 30.2 per cent and 24.7 per cent respectively, on an annual basis.

Credit disbursal in the priority sector, which includes agriculture and allied activities, went up by 17.3 per cent to Rs 12.41 lakh crore for the year ended August 26. The export credit growth slumped to 11.8 per cent as against 59.5 per cent a year ago.

The total non-food credit as on August, 26 stood at Rs 37.59 lakh-crore as against Rs 36.67 lakh-crore reported in the same period a year ago. The total gross bank credit by the scheduled commercial banks as on August 26 stood at Rs 38.30 lakh-crore, up 20.2 per cent compared to Rs 31.86 lakh-crore reported a year ago.