The credit growth of the banking sector picked up stood at 9.62% on year at Rs 183.14 lakh crore as on June 13, according to the fortnightly data released by the Reserve Bank of India on Friday. On a fortnightly basis, the credit growth was up 0.15%.
At the end of May, credit growth of the banking sector had fallen to a three year low at 8.97% on year. Several analysts had said that the credit growth at bottomed out and that they expect the credit growth at 12-13% in 2025-26 (Apr-Mar).
Deposit growth continued to outpace credit growth in June. The growth in deposits picked up and stood at Rs 230.7 lakh crore as on June 13, up 10.3% on year. However, on a fortnightly basis, deposits fell by 0.44%. As on May end, the deposit growth was 9.89% year-on-year.
Investments too fell on a fortnightly basis by 0.23% and stood at Rs 66.91 lakh crore. On a year-on-year basis, investments grew 7.38%.