Non-food Bank Credit Up 12 Per Cent In FY19: RBI

Non-food bank credit increased by a robust 12.3 per cent year-on-year (YOY) in March 2019, compared to an increase of 8.4 per cent in March 2018, according to the Reserve Bank of India’s data on sectoral deployment of bank credit.

The central bank said credit to agriculture and allied activities increased by 7.9 per cent in March 2019, up from an increase of 3.8 per cent in March 2018. Credit to industry rose by 6.9 per cent in March 2019, compared to an increase of 0.7 per cent in March 2018.

“Credit growth to infrastructure, chemical and chemical products, and all engineering accelerated. However, credit growth to basic metal and metal products, textiles and food processing decelerated/contracted,” the central bank said.

Credit to the services sector expanded by 17.8 per cent in March 2019, compared to 13.8 per cent in March 2018. Personal loans increased at a slower clip of 16.4 per cent in March 2019, compared to an increase of 17.8 per cent in March 2018.