Banking Updates (Country: India)
Data on sectoral deployment of bank credit collected from select 41 scheduled commercial banks, accounting for about 95 per cent of the total non-food credit deployed by all scheduled commercial banks, for the month of June 2017 are set out in Statements I and II.
Highlights of the sectoral deployment of bank credit are given below:
- Credit to agriculture and allied activities increased by 7.5 per cent in June 2017, lower than the increase of 13.8 per cent in June 2016.
- Credit to industry contracted by 1.1 per cent in June 2017 in contrast with an increase of 0.6 per cent in June 2016. Credit growth to major sub-sectors such as ‘infrastructure’, ‘basic metal & metal products’, ‘textiles’, ‘chemicals & chemical products’, ‘all engineering’ and ‘food processing’ contracted. However, credit growth to ‘construction’, ‘vehicles, vehicle parts & transport equipment’ and ‘rubber, plastic & their products’ accelerated.
- Credit to the services sector increased by 4.7 per cent in June 2017, lower than the increase of 9.2 per cent in June 2016.