Retail loan growth slows in Q4CY18: CIBIL

While the pace of growth of retail loans has slowed, the demand for credit products has accelerated due to factors like rising consumerism and the impact of demonetisation.

Retail loans are starting to show signs of deceleration due to the slowdown in the economy in the last few quarters, said a report by TransUnion Cibil.

Aggregate retail lending growth in value terms (balance outstanding in INR) declined from 27.4 per cent in Q1 2018 to around 19 per cent in Q4 2018. Similarly, the rate of growth in volume terms (the number of accounts) declined from 30.2 per cent in Q1 2018 to 20.8 per cent in Q4 2018.

While the pace of growth of retail loans has slowed, the demand for credit products has accelerated due to factors like