Festive season pushes retail lending in Sept to 16.6% from 15% a year ago

Consumer durable and housing loan accelerated the most, service sector witnesses a sharp fall in the credit growth rate

Banks' thrust on retail lending is finally beginning to pay off. As the pace of growth in this segment accelerated during the festive season, retail lending of the sector rose to 16.6 per cent in September 2019 from 15.1 per cent in September 2018.

As per monthly data released by Reserve Bank of India on the back of the start of festive season, the pace of growth in housing loans rose to 19.3 per cent in September 2019 compared to 13.8 per cent in September 2018. The outstanding portfolio grew from Rs 10.5 trillion in September 2018 to Rs 12.53