Retail, farm credit get traction in May amid Covid-induced slowdown

Credit to Mid, small units also see higher growth

The credit in retail segment and farming gathered pace on year-on-year basis in May 2021 amid the slowdown due to the lockdown imposed to contain the second wave of Covid-19 pandemic.

However, credit growth to industry and service sector decelerated in the reporting month (May 2021), according to Reserve Bank of India (RBI) data.

In the industry segment, overall credit growth dipped to 0.8 per cent in May 2021 from 1.7 per cent a year ago. Size-wise, credit to medium industries rose by 45.8 per cent in May 2021 as compared to a contraction of 5.3 per cent a year