Comments
Bank credit increased to Rs 40,74,295 crore during the fortnight ended September 9, a rise of Rs 29,433 crore from Rs 40,44,861 in the previous fortnight ended August 26, 2011.
Over the same period last year the increase in credit was Rs 6,90,889 crore, or 20 per cent. As on September 10, 2010, bank credit was to the tune of Rs 33,83,406 crore.
According to bankers, demand for credit is sluggish and the credit offtake is more do to with corporates obtaining loans that were sanctioned earlier.
“There has been a clear slowdown in investment demand. There are hardly any new projects coming up due to both rise in interest rates and cost of inputs. Companies like steel and infrastructure which were earlier large consumers of credit are suffering,’’ said Mr S.S. Mundra, Executive Director, Union Bank of India.
Deposits increased to Rs 55,22,035 crore from Rs 55,09,100 crore in the previous fortnight and from Rs 46,97,863 crore in the last year period.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.