Demand for credit from corporate India is going up, say top bankers

Demand for credit from corporate India is going up, bankers said, with the capacity utilisation of manufacturing companies touching 76.1 per cent in the July-September quarter (Q2) and many planning to start new projects in the coming months.

Citing investment proposals from the firms in the steel, textiles, cement, oil and gas sectors, bankers said the capex cycle is showing clear signs of traction. 

“Corporate credit is growing... initially in the working capital cycles. We are seeing traction in the steel, cement, textiles, and chemicals sectors. When capacity utilisation breaches the 75 per cent-mark, such as now, the capex cycle