Bank credit grows 7.1% to Rs 99.5 lakh crore

MUMBAI: Credit and bank deposits grew 7.1% and 10.1% to Rs 99.5 lakh crore and Rs 130 lakh crore in the fortnight ended December 20, according to the latest RBI data. In the fortnight of the year, the bank advances were Rs 92.9 lakh crore, while the deposits were Rs 118.2 lakh crore. In the fortnight ended December 6, credit had grown 7.9% to Rs 99.3 lakh crore and deposits had increased 10.3% to Rs 131 lakh crore.

On an annual basis, bank credit growth slowed to 7.2% to Rs 86.7 lakh crore in November 2019 from a 13.8% increase to Rs 80.9 lakh crore in the same period last year.

Loans for the growth of the industry fell to 2.4% to Rs 27.7 lakh crore in November from 4% in the same period in 2018. During the month, credit for agriculture and allied activities slowed down to 6.5% from 7.7% on last year.

Progress in the service sector slowed sharply to 4.8% from 28.1% last year. Personal loans grew at a marginally lower rate of 16.4% in November 2019 compared to the previous 17.2%, according to RBI data.