Vehicle loan registered an accelerated growth in June 2020 as against its level in the previous month and the corresponding period last year. Housing loans have also continued to perform well.
Credit growth to industry grew by 2.2 per cent in the month, as compared to 6.4 per cent growth in June 2019. Advances to large industries increased by 3.7 per cent in June 2020, over 7.6 per cent in the same period previous year.
Within industry, credit growth to food processing, beverage & tobacco, petroleum, coal products & nuclear fuels, and paper & paper products accelerated in June, compared to the corresponding month a year ago.
Loan growth to infrastructure has also picked up in June vis-a-vis its level in the previous month, though it is much lower than in June 2019.
"However, credit growth to chemicals & chemical products, cement & cement products, construction, gems & jewellery, glass & glassware and all engineering decelerated/contracted," the RBI said.
Credit growth to agriculture and allied activities increased by 2.4 per cent in June 2020 as compared to a higher growth of 8.7 per cent.
Advances to the services sector continued to grow at a robust, albeit decelerated, rate at 10.7 per cent in June 2020, compared to 13 per cent last year, it said.
Credit to commercial real estate and computer software has bucked the downtrend, registering accelerated growth as against the same month previous year.
Loans to NBFCs have also continued to grow at a healthy pace, it showed.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.