Bank credit grows by 5.93%, deposits by 11.06%

Bank credit grew 5.93 per cent to Rs 107.05 lakh crore, while deposits rose 11.06 per cent to Rs 147.98 lakh crore in the fortnight ended January 29, RBI data showed.

In the fortnight ended January 31, 2020, bank credit stood at Rs 101.05 lakh crore and deposits at Rs 133.24 lakh crore.

In the previous fortnight ended January 15, 2021, growth in bank credit was 6.36 per cent, while deposits rose 11.41 per cent.

During the first nine months of the current fiscal, bank credit rose by 3.2 per cent and deposits by 8.5 per cent.

In December 2020, non-food credit growth of banks stood at 5.9 per cent as compared to 7 per cent in the same month of the previous year, according to RBI data on Sectoral Deployment of Bank Credit for December 2020, released last month.

During the reporting month, growth in credit to agriculture and allied activities accelerated to 9.4 per cent from 5.3 per cent in December 2019.

Loans to industry contracted by 1.2 per cent as compared to 1.6 per cent growth earlier, mainly due to contraction in credit to large industries by 2.4 per cent as against 1.8 per cent growth a year ago, the data showed.

Personal loans registered a decelerated growth of 9.5 per cent in the reporting month as compared with 15.9 per cent growth in December 2019.