Bank Credit Growth Rose To 17.2% In July-September: RBI

Bank credit growth increased to 17.2 per cent in the September quarter as against 7 per cent in the year-ago period, the Reserve Bank of India (RBI) said today.

It stood at 14.2 per cent at the end of June quarter of this financial year.

Credit growth remained broad-based as all population groups and bank groups recorded double-digit annual growth, the central bank said.

According to the quarterly statistics on deposits and credit of scheduled commercial banks (SCBs), aggregate deposit growth was at 9.8 per cent in September 2022.

The same has been in the range of 9.5-10.2 per cent since June 2021.

The RBI further noted that in deposit mobilisation private sector banks have been outpacing public-sector banks, foreign banks, and regional rural banks.

Bank branches in metropolitan centres have been recording higher annual growth than those in rural, semi-urban, and urban areas since December 2020, it added.

"Growth in term deposits rose to 10.2 per cent in September 2022 from 6.4 per cent a year ago, whereas current and savings deposits growth moderated to 8.8 per cent and 9.4 per cent from 17.5 per cent and 14.5 per cent, respectively, a year ago," the RBI said.

The share of savings deposits in total deposits, moderated to 34.7 per cent in the July-September period. It peaked at 35.2 per cent in June 2022.