RBI
Chennai: Credit growth outpaced deposit growth for commercial banks in June, the Reserve Bank of India (RBI) said in its quarterly statistics on deposit and credit of commercial banks for June 2022 released on Thursday.
As credit growth is outpacing deposit growth in the recent period, credit-deposit (C-D) ratio has been on the rise: In June it stood at 73.5 percent at the all-India level (70.5 percent a year ago) and 86.2 percent for metropolitan branches of banks (84.3 percent a year ago), the RBI said.
According to RBI, the credit growth (y-o-y) accelerated further to 14.2 percent in June from 6 percent a year ago and 10.8 percent a quarter ago.
Credit growth has been broad-based: All the population groups (i.e., rural, semi-urban, urban and metropolitan), all the bank groups (i.e., public/private sector banks, foreign banks, regional rural banks, small finance banks) and all the regions of the country (i.e., central, eastern, north-eastern, nothern, southern and western) recorded double-digit annual credit growth in June, the RBI said.
Aggregate deposit growth (y-o-y) has remained in the range 9.5-10.2 percent during the last five quarters: Metropolitan branches continue to account for over half of the bank deposits and their share increased marginally over the last one year.
The share of current account and savings account (CASA) deposits in total deposits has been increasing over the last three years (42.0 percent, 43.8 percent and 44.5 percent in June of 2020, 2021 and 2022, respectively).
This post was last modified on August 25, 2022 9:03 pm