Overview
In today’s edition of our monthly newsletter, we look at the
loans and deposit growth in June’24.
We hope you enjoy reading this document and find it
valuable.
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Outstanding loans of scheduled commercial banks touched ~INR
164T in Jun’24 with consumer loans accounting for 33% and loans to the services
sector contributing 29%, making them the major contributors. Overall deposits
touched ~INR 212T in Jun’24 with Y-o-Y growth of ~11%.
- Credit growth to agriculture and allied activities remained
robust at 17.4% Y-o-Y in Jun’24 but it was lower compared with 19.7% Y-o-Y in
Jun’23.
- Credit to industry grew by 7.7% amounting to INR 37.12T on a
Y-o-Y in Jun’24 as compared with 7.4% Y-o-Y in Jun’23. Among major industries,
while Y-o-Y growth in credit to chemicals and chemical products, food
processing, and infrastructure was higher in Jun’24, credit growth to basic
metal and metal products, petroleum, coal products, and nuclear fuels and
textiles moderated.
- Credit growth to the services sector moderated substantially
to 15.1% Y-o-Y in Jun’24 from 26.8% Y-o-Y in Jun’23, primarily driven down by
lower credit growth in NBFCs and trade segments.
