Credit growth vaults in metros to 9.7% in FY22 despite second wave

The growth was 1.7% in FY21 and 4.8% cent in FY20, a pre-pandemic year

Metropolitan centres, which have a dominant share in bank loans, posted a sharp year-om-year rise in credit offtake at 9.7 per cent in FY22 as against 1.7 per cent in FY21. The YoY growth in credit at metropolitan centres was 4.8 per cent in FY20, the pre-pandemic year.

The credit growth in urban, semi-urban and rural centres remained in double digits in all quarters of 2021-22, RBI said in a statement.

Despite facing a second wave of Covid-19, FY22 marked an upturn in the economic and business cycle. This came after demand destruction caused by the first wave in FY21.