Non-food credit offtake from banks by major sectors recorded a growth of 16.8% in November, the lowest rise this fiscal so far, suggesting the impact of high interest rate regime on the economy.
The credit growth in non-food sector was 22.1% in the same month last year.
While the farm sector, services and industry reported lower credit growth offtake in November as compared to the same month in 2010, it was higher in case of personal loans, as per the latest data released by the Reserve Bank of India (RBI).
"On a year-on-year basis, non-food bank credit increased by 16.8% in November, 2011, as compared with 22.1% in the same period of previous year," the RBI said.
According to experts, the prevailing high interest rate regime has affected the credit growth.
The total non-food credit disbursement stood at Rs 38.72 lakh crore in November, up from Rs 33.15 lakh crore in the same month of the previous fiscal.
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As per the data, the total credit disbursement to agriculture and allied areas grew by only 7.3% at Rs 4.18 lakh crore in November.
"Credit to industry increased by 20.9% year-on- year in November, 2011, as compared with 27% in the previous year...," the RBI said.
The total credit disbursement to industry -- which includes infrastructure, metals, food processing, rubber, plastic and their products and engineering -- was Rs 17.71 lakh crore in November.
"Credit to the services sector increased by 16.9% year-on-year in November 2011, lower than 22.5% in the previous year," the RBI said.
The sector saw bank credit offtake rise to Rs 9.38 lakh crore in November this year.
Within services, while segments like transport, computer software, tourism and commercial real estate witnessed slower growth in credit offtake in November, disbursements to non-banking financial companies saw a jump.
"Credit growth to NBFCs on a year-on-year basis in November, 2011,at 39.2% was significantly higher than 30.9% in the previous year," the apex bank said.
Bank credit disbursement to the NBFC segment stood at Rs 1.87 lakh crore in November this year.
On the other hand, the silver lining was the credit growth of 13.4% in the personal loan sector during November, 2011, compared to a growth of 12.6% during the same month a year ago.
During the month under review, total credit offtake by the sector stood at Rs 7.20 lakh crore.