Mumbai: Bank credit to industry grew at a slower pace of 6.7 per cent in the fortnight ended April 18 annually compared with 6.9 per cent in the corresponding period of the previous year, showed Reserve Bank data on Friday.
Among major industries, outstanding credit to ‘basic metal and metal products’, ‘all engineering’, ‘vehicles, vehicle parts and transport equipment’, ‘textiles’ and ‘construction’ recorded an accelerated year-on-year growth, according to sectoral deployment of bank credit – April
2025 data.
However, credit growth in the infrastructure segment decelerated, the Reserve Bank said.
Also, credit growth to agriculture and allied activities slowed to 9.2 per cent (19.8 per cent in the corresponding fortnight of the previous year).
On a year-on-year (y-o-y) basis, non-food bank credit as on the fortnight ended April 18, 2025, grew by 11.2 per cent as compared to 15.3 per cent during the corresponding fortnight of the previous year (April 19, 2024).
RBI said the data on sectoral deployment of bank credit for April 2025 has been collected from 41 select scheduled commercial banks, accounting for about 95 per cent of the total non-food credit by all SCBs.
“Credit to services sector moderated to 11.2 per cent (y-o-y) (19.5 per cent in the corresponding fortnight of the previous year), primarily due to decelerated growth in credit to ‘non-banking financial companies’ (NBFCs).
Credit growth (y-o-y) to ‘trade’ and ‘computer software’ segments remained elevated,” RBI said.
Further, RBI said that the credit to personal loans segment registered a decelerated growth of 14.5 per cent, as compared with 17 per cent a year ago, largely due to a decline in growth of ‘other personal loans’, ‘vehicle loans’ and ‘credit card outstanding’.