Bank credit up 11% annually: RBI data

Bankers believe that gradually credit growth in the system has started picking up

Credit in the banking system continues to grow at a tepid pace despite the festival offers extended by lenders. Data from the Reserve Bank of India suggests that in the period between November 14-28, bank credit increased marginally by 0.5 per cent.

However, in the past one year credit growth was up by 11 per cent to Rs 62,84,396 crore.

Credit growth in the previous fortnight had slipped marginally. However, bankers believe that credit growth in the system has started picking up, gradually.

“There is some demand coming for loan from new projects in commercial real estate and renewable energy segment. The year-on credit growth till November-end was about 10 per cent for the country’s largest lender,” said Arundhati Bhattacharya, chairman, State Bank of India.

Even deposits increased marginally by 0.76 per cent in the same period. In the past one year, deposits swelled by 11.7 per cent to Rs 83,17,049 crore from Rs 74,45 544 crore in the same period a year ago.