State Bank of India expects double-digit uptick in corporate loans

State Bank of India says it is seeing a healthy demand of corporate loans and has a robust pipeline. Speaking at the sidelines of an event, Chairman Rajnish Kumar said: “We have a robust pipeline of corporate loan book and we are planning to cover this pipeline into disbursals. We expect a double-digit demand from the corporate sector.”

According to June 2019 data, SBI witnessed 11.62 per cent year on year growth in the corporate loan book. The Reserve Bank of India (RBI) data also reflects that compared to last year, this year corporate credit growth has seen some relief. The data showed credit growth to industry rose from 1.9 per cent in August 2018 to 3.9 per cent in August 2019.

Bankers believe that the relaxation in the corporation tax rate will also boost the sentiments of the corporate and the demand for loan will be strong.