Gross bank credit grows at around 6% in October 2017 as against 4.2% in September 2017. The gross bank credit growth stands at 6.4% during October 2016. On a year-on-year (y-o-y) basis, non-food bank credit increased by 6.6% in October 2017 as against 6.1% in September 2017. Credit to agriculture and allied activities increased by 5.5% in October 2017 as compared to 5.8% in September 2017.
Monthly trend in growth of gross bank credit (%) (YoY)
Source: PHD Research Bureau, compiled from RBI
Credit to industry contracted by 0.2% in October 2017 as compared with contraction of 0.4% in September 2017. Credit to industry contracted by 0.2% in October 2017 as compared with contraction of 1.7% last year. Credit growth to major sub-sectors such as infrastructure, basic metal & metal products, vehicles, vehicle parts & transport equipment and cement & cement products have contracted. However, credit growth to textiles, chemical & chemical products, all engineering and food processing have accelerated.
Deployment of Gross Bank Credit by major sectors (Rs. Billion)