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Tuesday, January 21, 2025 | 11:35 PM ISTEN Hindi

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Page 2 - Credit Growth

UCB credit profile improves in H2FY24, says financial stability report

UCB executives said besides regulatory push for effective asset quality management, the upturn in credit growth and improvement in margins have helped enhance provision cover

UCB credit profile improves in H2FY24, says financial stability report
Updated On : 01 Jul 2024 | 10:21 PM IST

Commercial banks credit growth to moderate to 12-14% in FY25: Moody's

Resource mobilisation challenge, regulatory nudge to weigh on growth

Commercial banks credit growth to moderate to 12-14% in FY25: Moody's
Updated On : 13 Jun 2024 | 12:35 AM IST

Banks need to revise plans to deal with credit and deposit growth gap: Das

Banks need to re-strategise their business to deal with the persistent gap between credit and deposit growth, RBI Governor Shaktikanta Das said on Friday. He also said that further actions on moderating growth in unsecured loans could be taken, if required. In November last year, RBI had flagged certain concerns on excessive growth in the unsecured retail loans and over-reliance of NBFCs on bank funding. "Recent data suggests that there is some moderation in these loans and advances. We are closely monitoring the incoming data to ascertain if further measures are necessary," he said while announcing the bi-monthly policy. "The message is to convey that RBI is watchful of every aspect of financial sector especially in the banking sector. We are agile, we are watchful and if and when some further measures are required, we will come," he said during an interaction with reporters. The Reserve Bank increased risk weights on unsecured consumer credit and bank credit to NBFCs on Novembe

Banks need to revise plans to deal with credit and deposit growth gap: Das
Updated On : 07 Jun 2024 | 4:37 PM IST
Updated On : 24 Apr 2024 | 11:38 PM IST

ICRA revises FY25 outlook for banking sector to 'stable' from 'positive'

Rating agency expects credit growth and profitability to moderate in the sector

ICRA revises FY25 outlook for banking sector to 'stable' from 'positive'
Updated On : 10 Apr 2024 | 3:00 PM IST

Private credit faces liquidity risks if stress rises, says IMF report

Private credit also remains largely untested in an economic slump, according to the analysis. It caters to mostly small and mid-size borrowers with higher leverage, implying more risk

Private credit faces liquidity risks if stress rises, says IMF report
Updated On : 09 Apr 2024 | 11:22 PM IST

PNB reports 11.5% loan growth in quarter ending March, BoB's up by 12.4%

State-owned Punjab National Bank (PNB) on Friday said it has posted a credit growth of 11.5 per cent at Rs 9.85 lakh crore for the March quarter. Total advances were Rs 8.84 lakh crore at the end of March 31, 2023, PNB said in a regulatory filing. The lender reported a 7 per cent increase in total deposits to Rs 13.70 lakh crore as against Rs 12.81 lakh crore at the end of the fourth quarter of the previous financial year. Total business of the bank rose 8.8 per cent to Rs 23.56 lakh crore as compared to Rs 21.65 lakh crore at the end of March 31, 2023. The Credit Deposit (CD) ratio increased to 72 per cent at the end of March 31, 2024 as against 69.1 per cent in the year-ago period. Another public sector lender Bank of India reported a credit growth of 13.56 per cent at Rs 5.86 lakh crore for the March quarter. The outstanding credit was Rs 5.15 lakh crore at the end of March 31, 2023, Bank of India said in a separate regulatory filing. The total deposit of the bank rose 10.20

PNB reports 11.5% loan growth in quarter ending March, BoB's up by 12.4%
Updated On : 05 Apr 2024 | 9:47 PM IST

Bank of Maharashtra reports 16% credit growth in Q4 at Rs 2.03 trn

State-owned Bank of Maharashtra (BoM) on Friday said it has posted a credit growth of 16.31 per cent at Rs 2.03 lakh crore for the March quarter. The outstanding credit was Rs 1.75 lakh crore at the end of March 31, 2023, BoM said in a regulatory filing. The Pune-headquartered lender reported 15.63 per cent increase in total deposits to Rs 2.70 lakh crore as against Rs 2.34 lakh crore at the end of the fourth quarter of the previous financial year. During the quarter, it said, Current Account and Savings Account (CASA) declined to 52.73 per cent of the total deposits as against 53.39 per cent. The Credit Deposit (CD) ratio increased to 75.23 per cent at the end of March 31, 2024 as against 74.87 per cent in the year-ago period.

Bank of Maharashtra reports 16% credit growth in Q4 at Rs 2.03 trn
Updated On : 05 Apr 2024 | 2:41 PM IST

Retail credit growth moderates to 18.1% in February, shows RBI data

The loan growth in agriculture and allied activities remained robust at 20.1 per cent YoY in February 2024, up from 15 per cent a year ago

Retail credit growth moderates to 18.1% in February, shows RBI data
Updated On : 28 Mar 2024 | 10:16 PM IST

Bank credit to industry grows 8.6% in Feb on increased borrowing: RBI data

Bank credit to industry grew 8.6 per cent year-on-year in February mainly due to accelerated pace of borrowing by sectors, like infrastructure and textiles, Reserve Bank of India (RBI) data released on Thursday revealed. Credit growth to agriculture and allied activities remained robust at 20.1 per cent in February compared to 15 per cent in the year-ago month, said the RBI's data on sectoral deployment of bank credit. Data on sectoral deployment of bank credit for February has been collected from 41 select commercial banks, accounting for about 95 per cent of the total non-food credit deployed by all lenders, the data showed. "Credit to industry grew by 8.6 per cent (year-on-year) in February 2024 as compared with 6.8 per cent in February 2023," the RBI said. Among major industries, the annual growth in credit to "food processing", "infrastructure", and "textiles" accelerated in February as compared with the corresponding month of the previous year, while that to "basic metal and

Bank credit to industry grows 8.6% in Feb on increased borrowing: RBI data
Updated On : 28 Mar 2024 | 8:26 PM IST

Uttar Pradesh sees rise in education loans, outstanding amount declines

In UP, the number of digital transactions jumped nearly threefold to 11.74 billion in FY23 from 4.26 billion in FY22

Uttar Pradesh sees rise in education loans, outstanding amount declines
Updated On : 25 Mar 2024 | 5:18 PM IST

RBI directs credit card issuers to give users choice of other networks

RBI on Wednesday said issuers of credit cards shall not enter into any arrangement or agreement with card networks that restrain customers from availing the services of other networks

RBI directs credit card issuers to give users choice of other networks
Updated On : 06 Mar 2024 | 10:36 AM IST

High gap between credit, deposit growth to impact loan sales, NIMs: Report

The continuing gap between credit and deposit growth rates is likely to impact both future loan sales as well as net interest margins of banks, says a report. Credit off-take grew at 20.3 per cent in this fiscal so far while deposits grew at a slower pace of 13.6 per cent YTD, according to the report by Care Ratings. The gap between credit off-take and deposit growth rates has resulted in a lower liquidity coverage ratio (LCR) while private banks led by HDFC Bank are reporting lower LCR than their public sector peers. According to a Care Ratings analysis, HDFC Bank has seen the highest fall from 120 per cent in the July-September quarter of FY24 to around 102 per cent in the third quarter, followed by ICICI Bank and Axis Bank at 118 per cent each for both quarters. On the other hand, the largest lender SBI has around 140 per cent in the second quarter and around 137 per cent in the third quarter of the current fiscal, while PNB and BoB has over 140 per cent each for both quarters.

High gap between credit, deposit growth to impact loan sales, NIMs: Report
Updated On : 04 Mar 2024 | 8:13 PM IST

A third of withdrawn insolvency processes fully settled, says IBBI

IBBI said that the credible threat of the code that a company may change hands has changed the behaviour of debtors

A third of withdrawn insolvency processes fully settled, says IBBI
Updated On : 20 Feb 2024 | 11:04 PM IST

Credit growth in India expected to moderate to 14% in FY25: S&P Global

Credit growth in India is expected to moderate to 14 per cent in FY25 from the existing 16 per cent as deposit growth is unable to keep pace with loans, a global rating agency said in a report. "Deposit tightness will remain a system overhang. Our base case is for loan growth to slightly moderate, leading to manageable competition for deposits. Indian banks will have to strike a fine balance between maintaining strong loan growth and paying more for deposits to fund that growth," S&P Global Ratings said. If the clash for deposits gets fiercer, Indian banks will take a hit, either with slimmer margins or slower growth, it said. "Credit demand is strong. The economic backdrop is highly conducive to growth. Asset quality is improving, buoyed by a confluence of supportive structural and cyclical factors. All that India's banks are missing is a boom in deposits," it said. As per the report, system-level credit growth to moderate to 14 per cent in 2024-25 from about 16 per cent ...

Credit growth in India expected to moderate to 14% in FY25: S&P Global
Updated On : 15 Feb 2024 | 7:30 PM IST

Audit of Rs 22.7K cr microloans due to large claim amount: Bandhan CEO

The maximum eligible amount a bank can claim under the CGFMU insurance is 15 per cent of the total insured amount

Audit of Rs 22.7K cr microloans due to large claim amount: Bandhan CEO
Updated On : 13 Feb 2024 | 11:55 PM IST

Credit growth of banks could moderate in FY25 on tighter liquidity: S&P

S&P Global Ratings on Monday said strong credit growth of Indian banks could moderate to 12-14 per cent in the next fiscal if deposit growth remains tepid. "Deposit growth continues to lag credit for the Indian banks we rate, leading to tight liquidity conditions," S&P Global Ratings credit analyst Nikita Anand said. Banks may be compelled to look for wholesale funding, S&P said, adding that higher costs of such funding could further strain margins and hurt profitability. Rising cost of funds and potential rate cuts in fiscal 2025 will squeeze net interest margins, it added. "Liquidity is tightening for Indian banks. The sector's strong credit growth could moderate to 12-14 per cent in fiscal 2025 if deposit growth remains tepid, compounded by higher deposit costs and competition for funds," S&P said in a report titled 'Tight liquidity shackles Indian banks' robust credit growth'. S&P expects the share of unsecured personal loans in the banks' total loan book to ...

Credit growth of banks could moderate in FY25 on tighter liquidity: S&P
Updated On : 05 Feb 2024 | 7:36 PM IST

Priority sector credit target to be Rs 3.97 trn for K'taka in FY25: Nabard

NABARD has estimated a credit potential of Rs 3.97 lakh crore for priority sector lending in Karnataka during 2024-25, its Chief General Manager (CGM) T Ramesh said here on Tuesday. Speaking during the State Credit Seminar for Karnataka at their Regional Office, the NABARD CGM said the estimated credit potential is 10.67 per cent higher than the previous years' credit projection. Of the total, the share of agriculture sector including agri-infrastructure and ancillary activities is Rs.1.85 lakh crore (46 per cent), MSME sector is Rs.1.58 lakh crore (40 per cent) and other priority sector activities is Rs.0.54 lakh crore (14 per cent), a statement issued by NABARD quoted him as saying. In the wake of severe drought situation, NABARD has been complementing the efforts of State government by extending financial support to the tune of Rs 990 crore for 119 irrigation projects and Rs 611 crore for drinking water projects under Rural Infrastructure Development Fund and has sanctioned Rs 29

Priority sector credit target to be Rs 3.97 trn for K'taka in FY25: Nabard
Updated On : 30 Jan 2024 | 7:19 PM IST

Margin pressure

Investment revival will boost credit growth

Margin pressure
Updated On : 28 Jan 2024 | 9:21 PM IST

Tight liquidity spurs high demand at RBI's variable rate repo auction

Banks bid for Rs 3.08 trillion against notified amount of Rs 2.5 trillion

Tight liquidity spurs high demand at RBI's variable rate repo auction
Updated On : 25 Jan 2024 | 10:58 PM IST