Finance & Economy | News & Insights

In FY24, Credit Offtake to Continue Rising and Outpacing Deposit Growth

Published: June 30, 2023
Author: TEXTILE VALUE CHAIN

Synopsis

Bank credit growth maintained a double-digit growth and continued to outpace deposit growth in FY23. The personal loans segment has remained the largest segment, along with NBFCs, while the industrial sector reported muted growth. The private sector banks (PVBs) have continued to outpace the public sector banks (PSBs). The medium-term prospects look promising with rising personal loans along with NBFC borrowings and a substantial buffer for provisions. Additionally, given that in FY23, credit offtake closed with a growth of 15%, it would be working off a higher base CareEdge estimates the credit growth to be in the range of 13%-13.5% during FY24 excluding the impact of the merger of HDFC with HDFC Bank, if we include the merger, the growth is likely to be higher by around 3%. However, elevated interest rates and global uncertainties could adversely impact credit growth.

In_FY24_Credit_Offtake_to_Continue_Rising_and_Outpacing_Deposit_Growth

Related Posts

With only 13% of the kharif labour completed, farmers may need to resow.

TVS Emerald Contributes INR 1.11 Crore Towards Stormwater Drain Transformation at Nedungundram Village