Industry credit rises by 5.2% YoY in July says RBI data | Business Upturn

Industry credit rises by 5.2% YoY in July says RBI data

According to the report, credit to aviation increased by 78.4% year over year to Rs 40,134 crore as of July 28 in the services sector.

According to data from the Reserve Bank of India (RBI), commercial banks’ credit to the industry increased by 5.2 percent year over year in July compared to an increase of 10.5 percent the year prior.

The data also shows that in July 2023, loan growth for agricultural and related businesses increased to 16.8 percent from 13.2 percent in July of the previous year.

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The selected 40 scheduled commercial banks (SCBs), which represent around 93% of the total non-food credit deployed by all SCBs, provide information on the use of bank credit to the central bank.

In July 2023, non-food bank credit increased by 14.8 percent compared to 15.1 percent the year before, according to the press release.

According to the press release, credit growth for “basic metal & metal products” and “textiles” among key industries surged in July 2023 when compared to the same month the year before.

But credit expansion for “chemicals & chemical products,” “food processing,” and “infrastructure” slowed down or decreased.

According to the report, credit to aviation increased by 78.4% year over year to Rs 40,134 crore as of July 28 in the services sector.

Similarly, loans for “housing” and “vehicle” purchases helped personal loans climb 18.4% year over year in July compared to 18.7% a year earlier.

As of July 28, housing loans had grown by 37.4% year over year to Rs 24.3 lakh crore, while automobile loans had grown by 21.2 % year over year to Rs 5.3 lakh crore.