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Bank credit growth eases to 7.1% as on 20 December 2019

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Capital Market
Last Updated : Jan 02 2020 | 7:04 PM IST

Deposits rises 10.1% as on 20 December 2019

The Scheduled commercial banks (SCBs) credit growth moderated to 7.1% YoY to Rs 9947202 crore as on 20 December 2019, compared with 7.9% growth a fortnight ago. The credit growth has also decelerated from 13.9% at end December 2018.

Non-food credit, accounting for 99.1% of the share of the total credit, recorded a growth of 7.1%, YoY, at Rs 9862059 crore as on 20 December 2019 as against a rise of 7.5% fortnight ago and 13.8% rise a year ago.

Food credit moved up 10.1% to Rs 85143 crore as on 20 December 2019.

The overall credit-deposit ratio increased on sequential basis to 76.5% as on 20 December 2019 from 75.8% a fortnight ago, while eased from 78.2% in December 2018 with the faster growth in deposits.

Aggregate deposits growth of the scheduled banks increased 10.1% YoY at Rs 13008651 crore as on 20 December 2019, compared with 10.3% growth a fortnight ago and 8.9% rise a year ago. The time deposits showed an increase of 9.7% at Rs 11653865 crore, while the demand deposits increased at slower pace of 13.9% to Rs 1354786 crore as on 20 December 2019.

The banks investment in government and other approved securities that qualify for treatment of statutory liquidity ratio jumped 10.9% YoY to Rs 3712898 crore as on 20 December 2019, showing acceleration in growth from 8.7% increase a fortnight ago. The banks investment had declined -0.5% in December 2018. The investment-deposit ratio declined to 28.5% as on 20 December 2019, which is much higher above the Statutory Liquidity Ratio of 18.75%.

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First Published: Jan 02 2020 | 6:55 PM IST

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