RBI said bank credit growth (y-o-y) accelerated further to 18 per cent in September 2022, compared with 14 per cent a quarter ago and 5.8 per cent a year ago. Private sector banks continued to outpace public sector banks and have increased their share in total credit to 38.4 per cent in September 2022 from 37.5 a year ago and 29.6 per cent five years ago. Personal loans recorded 21.9 per cent growth (y-o-y) in September 2022; it accounted for one third of the total incremental credit during last one year. Credit growth momentum in the industrial sector continued for the fourth successive quarter and recorded double digit growth in September 2022. The share of individuals in the total credit reached an all-time high of 44.4 per cent in September 2022; female borrowers accounted for 22.6 per cent of borrowings by individuals. Annual growth in working capital loans by banks, which stood in contraction zone in March 2021, increased successively thereafter and stood at 16.5 per cent (y-o-y) in September 2022. The overall weighted average lending rate (WALR) on outstanding credit increased by 33 basis points (bps) during the quarter ended September 2022.
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