MUMBAI: Bank credit growth accelerated to 17.2 per cent in the September quarter 2022 from 7 per cent in the year-ago period, reflecting pick-up in economic activity. Releasing the ‘Quarterly Statistics on Deposits and Credit of SCBs: September 2022’, the Reserve Bank said, “Credit growth remained broad-based: all population groups and bank groups registered double-digit annual growth.”
Bank credit growth accelerated to 17.2 per cent (y-o-y) in September 2022 from 14.2 per cent a quarter ago and 7 per cent a year ago.
Gross deposit growth (y-o-y), which has been around 9.5-10.2 per cent since June 2021, to 9.8 per cent in September 2022. Rural, semi-urban and urban areas.
RBI said that private sector bank groups are leaving behind public sector banks, foreign banks and regional rural banks in raising deposits.
As per the data, the year-on-year growth in fixed deposits rose to 10.2 per cent in September 2022 from 6.4 per cent a year ago. Current and savings deposit growth decelerated to 8.8 per cent and 9.4 per cent, respectively, from 17.5 per cent and 14.5 per cent a year ago.
“The share of savings deposits in total deposits, which increased from 32.4 per cent in June 2019 to a peak of 35.2 per cent in June 2022, declined marginally to 34.7 per cent in the latest quarter,” the RBI said.
It further said that the all-India debt-deposit (CD) ratio is expected to rise to 74.8 per cent in September 2022 from 73.5 per cent a quarter ago and 70 per cent a year ago. The CD ratio for Metropolitan Bank branches, which have a major share of banking business, was much higher at 87.6 per cent in September 2022 (82.8 per cent a year ago).