Credit deposit ratio inch up Dec qtr; top PSBs report lower than pvt peers

The CD ratio is the ratio of the funds that banks lend compared to the funds raised in the form of deposits

Credit-to-deposit (CD) ratio of major public sector and private sector banks during the October-December quarter of FY24 inched up as compared to the previous quarter though government-owned lenders reported a lower rate than their private peers.

CD ratio is the ratio of the funds that banks lend as compared to the funds raised in the form of deposits.

The CD ratio of top public sector banks (PSBs) — State Bank of India, Punjab National Bank, Bank of Baroda and Canara Bank — was lower than their private counterparts. These include HDFC Bank, ICICI Bank, IndusInd Bank and Axis Bank. Among