Data on sectoral deployment of bank credit for the month of August 2023¹ collected from 40 select scheduled commercial banks, accounting for about 93 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 15.0 per cent in August 2023³ as compared with 16.0 per cent a year ago.

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

• Credit growth to agriculture and allied activities improved to 16.6 per cent (y-o-y) in August 2023 from 13.4 per cent a year ago.

• Credit to industry registered a growth of 6.1 per cent (y-o-y) in August 2023 as compared with 11.4 per cent in August 2022. Among major industries, credit growth (y-o-y) to ‘basic metal & metal products’ and ‘textiles’ accelerated in August 2023 as compared with the corresponding month of the previous year, while that to ‘chemicals & chemical products’, ‘food processing’ and ‘infrastructure’ decelerated.

• Credit growth to services sector accelerated to 20.7 per cent (y-o-y) in August 2023 from 17.4 per cent a year ago, primarily due to ‘Non-Banking Financial Companies (NBFCs)’ and ‘commercial real estate’.

• Personal loans growth decelerated to 18.3 per cent (y-o-y) in August 2023 (19.4 per cent a year ago), due to moderation in credit to housing.

Shweta Sharma      
Deputy General Manager

Press Release: 2023-2024/1013

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.