The credit exposure of banks to Non-Banking Financial Companies (NBFCs) stood at Rs 13.8 lakh crore in July 2023, indicating a 23.6% year-on-year (y-o-y) growth. This expansion is indicative of the robust progress observed in NBFCs during the post-pandemic period. Furthermore, the proportion of NBFC exposure in relation to the overall credit aggregate has risen from 9.0% in June 2022 to 9.3% in July 2023. Notably, decreased international borrowings are attributed to the prevailing elevated global interest rates and the tightening of global monetary policies. Meanwhile, on a month-on-month (m-o-m) basis, the amount reduced by 3.3%.
