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This Article is From Apr 06, 2022

Banks, Insurance Q4 Preview - Business Momentum Strong; Earnings To Gain Further Traction: Motilal Oswal

Banks, Insurance Q4 Preview - Business Momentum Strong; Earnings To Gain Further Traction: Motilal Oswal

Banks, Insurance Q4 Preview - Business Momentum Strong; Earnings To Gain Further Traction: Motilal Oswal
A customer counts Indian one-hundred rupee banknotes before depositing them at a bank. (Photographer: Dhiraj Singh/Bloomberg)

BQ Blue's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer BloombergQuint's subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

Systemic loan is showing signs of a revival with credit growth accelerating to ~8.5% YoY as of March 11, 2022, underpinned by strong disbursements across segments.

Disbursement growth across several retail products has surpassed the pre-Covid-19 levels, while the corporate segment too witnessed a revival with a focus on high-rated corporates primarily for working capital needs.

We expect the capex cycle to pick-up during H2 FY23, which will drive further recovery in loan growth over FY23E. Among the segments – home, vehicle, tractor, unsecured and small business will continue to do well in Q4 FY22 while commercial vehicle and micro finance institution are likely to trail the normalised levels.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

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