Bank credit growth improved to 17.2% in the September quarter from 7% in the year-earlier period, reflecting pick-up in economic activities.
“Credit growth remained broad-based: all population groups and bank groups recorded double-digit annual growth,” the Reserve Bank said while releasing ‘Quarterly Statistics on Deposits and Credit of SCBs: September 2022’.
Bank credit growth improved further to 17.2% (year-on-year) in September from 14.2 per cent a quarter earlier and 7% a year ago, it said.
Aggregate deposits growth (y-o-y), which remained in the close range of 9.5-10.2% since June 2021, stood at 9.8% in September. Since December 2020, bank branches in metropolitan centres have been recording higher annual growth than those in rural, semi-urban and urban areas.
Private sector bank group has been outpacing public sector banks, foreign banks and regional rural banks in deposit mobilisation, the RBI said.
As per the data, year-on-year growth in term deposits rose to 10.2% in September 2022 from 6.4% a year ago. Current and savings deposits growth moderated to 8.8% and 9.4% from 17.5% and 14.5%, respectively, a year ago.
“The share of savings deposit in total deposits, which increased from 32.4% in June 2019 to a peak of 35.2% in June 2022, moderated marginally to 34.7% in the latest quarter,” the RBI added.
It further said the all-India credit-deposit (C-D) ratio increased further to 74.8% in September 2022 from 73.5% a quarter ago and 70% a year ago. The C-D ratio for metropolitan bank branches, which have a dominant share in the banking business, stood much higher at 87.6% in September 2022 (82.8% a year ago).
For all the latest business News Click Here
