Bank credit growth accelerated to 14.2% in the quarter ended June 2022 compared to 6% a year ago, RBI data showed.

In the quarter-ago period, bank credit had grown 10.8%.

The Reserve Bank of India (RBI) on Thursday released the ‘Quarterly Statistics on Deposits and Credit of SCBs for June 2022’. This data is collected from all scheduled commercial banks (SCBs), which include regional rural banks (RRBs), small finance banks (SFBs) and payments banks (Pbs).

“Credit growth has been broad-based: all the population groups (i.e., rural, semi-urban, urban and metropolitan), all the bank groups (i.e., public/private sector banks, foreign banks, RRBs and SFBs) and all the regions of the country (i.e., central, eastern, north-eastern, northern, southern and western) recorded double-digit annual credit growth in June 2022,” as per the data.

Aggregate deposit growth year-on-year has remained in the range 9.5 – 10.2% during the last five quarters.

Metropolitan branches continue to account for over half of the bank deposits and their share increased marginally over the last one year.

The share of current account and savings account (CASA) deposits in total deposits has been increasing over the last three years. It stood at 42% in June 2020, 43.8% in June 2021 and 44.5% in June 2022.

As credit growth is outpacing deposit growth in the recent period, credit-deposit (C-D) ratio has been on the rise, the data showed.

In June 2022, C-D ratio stood at 73.5% at all-India level from 70.5% a year ago. It stood at 86.2% for metropolitan branches of banks, up from 84.3% a year ago.