According to recent data from the Reserve Bank of India (RBI), bank credit has grown by about 13.49% to touch Rs.87,89,259 crore during the two-week period that ended on August 31. During the corresponding period in the last financial year, bank advances came up to a total of Rs.77,44,237 crore.
The growth in bank advances during the period under review was also higher in comparison to the last fortnight that ended on 17 August 2018, when it grew by a total of 12.94% to touch Rs.86,75,129 crore.
RBI data also showed that during the two-week period that ended on 31 August 2018, bank deposits rose by 8.88% to touch a total of Rs.1,16,45,870 crore, in comparison to Rs.1,06,96,099 crore that was reported during the year-ago period that ended on 1 September 2017. In the fortnight that ended on 18 August 2017, bank deposits increased by 8.31% to touch Rs.1,06,28,428 crore.
Non-food bank credit grew by a total of 10.6% in July 2018, as compared to a total growth of 5.3% in July 2017. Loans/advances for agriculture and allied activities grew by 6.6% in July 2018, against a growth of 6.8% in the corresponding period during the previous financial year. Loans to the services sector grew by 23% during July 2018, in comparison to a growth of 4.9% in July 2017. Personal loans increased by 16.7% during July 2018, in comparison to 15% in July 2017.
Sources: The Economic Times