The Reserve Bank data (RBI) has said that growth of bank credit to industry decelerated to 7 per cent in April 2023 as compared with 8 per cent in corresponding month in the previous year. It also said personal loans growth registered a growth of 19.4 per cent (y-o-y) in April 2023 as against 14.4 per cent a year ago, mainly driven by housing and vehicle loans. Loan to agriculture and allied activities improved to 16.7 per cent (y-o-y) in April 2023 from 10.6 per cent a year ago.
RBI said size-wise, credit to large industry rose by 5.3 per cent as compared with 1.3 per cent a year ago. Credit growth of medium industries was 19.1 per cent as against 53.7 per cent last year. Credit to micro and small industries registered a growth of 9.7 per cent in April 2023 (29.8 per cent a year ago).
It further said among major industries, credit growth (y-o-y) to 'basic metal & metal products' and 'petroleum, coal products & nuclear fuels' accelerated in April 2023 as compared with the corresponding month of the previous year. Credit growth to 'chemicals & chemical products', 'food processing', 'infrastructure' and 'textiles' decelerated. Bank credit growth to the services sector accelerated to 21.6 per cent annually in April 2023 from 11.2 per cent a year ago, primarily due to the improved credit offtake to non-banking financial companies and trade.
