Data on sectoral deployment of bank credit for the month of July 2024¹ collected from 41 select scheduled commercial banks, accounting for about 95 per cent of the total non-food credit deployed by all scheduled commercial banks, are set out in Statements I and II.

On a year-on-year (y-o-y) basis, non-food bank credit² registered a growth of 15.1 per cent in July 2024³ as compared with 14.7 per cent a year ago due to unfavourable base effect. 

Highlights of the sectoral deployment of bank credit³ are given below:

• Credit growth to agriculture and allied activities remained robust at 18.1 per cent (y-o-y) in July 2024, however, it was lower compared with 16.7 per cent a year ago.
• Credit to industry grew at 10.2 per cent (y-o-y) in July 2024 as compared with 4.6 per cent in July 2023. Among major industries, while y-o-y growth in credit to ‘chemicals and chemical products’, ‘food processing’ and ‘infrastructure’ was higher in July 2024, credit growth to ‘basic metal and metal product’, ‘petroleum, coal products and nuclear fuels’ and ‘textiles’ moderated. 
• Credit growth to services sector moderated substantially to 15.4 per cent (y-o-y) in July 2024 from 19.7 per cent a year ago, primarily driven down by lower credit growth in ‘non-banking financial companies (NBFCs)’ and ‘trade’ segments.
• Personal loans growth reduced to 17.8 per cent (y-o-y) in July 2024 as compared to 18.4 per cent a year ago, largely due to moderation in growth recorded in ‘other personal loans’ and ‘advances against fixed deposits’. However, credit growth to ‘housing’, the largest constituent of the segment, accelerated.

Ajit Prasad              
Deputy General Manager
(Communications)      

Press Release: 2024-2025/1004

¹ Data pertain to the last reporting Friday of the month.

² Non-food credit data are based on Section-42 return for the last reporting Friday of the month, which covers all scheduled commercial banks (SCBs).

³ Excluding the impact of the merger of a non-bank with a bank.