Credit to industry grows 7.3% as on fortnight ended February 21: RBI data
The Reserve Bank of India (RBI) in its latest report ‘sectoral deployment of bank credit - February 2025’ has showed that credit to industry recorded a growth of 7.3 per cent (y-o-y) as on the fortnight ended February 21, 2025, compared with 8.4 per cent for the corresponding fortnight of the previous year. Among major industries, outstanding credit to ‘petroleum, coal products and nuclear fuels’, ‘all engineering’, ‘construction’, and ‘paper & paper products’ recorded an accelerated y-o-y growth.
According to the report, credit to services sector recorded a growth of 13.0 per cent (y-o-y) as on the fortnight ended February 21, 2025 (21.4 per cent for the corresponding fortnight of the previous year), with a decelerated growth in credit to non-banking financial companies (NBFCs). However, credit growth (y-o-y) to computer software accelerated. Credit growth also remained robust in professional services and trade segments.
The RBI report also noted that credit to agriculture and allied activities registered a growth of 11.4 per cent (y-o-y) as on the fortnight ended February 21, 2025 (20.0 per cent for the corresponding fortnight of the previous year), while credit to personal loans segment registered a growth of 14.0 per cent (y-o-y) as on the fortnight ended February 21, 2025, as compared with 18.0 per cent a year ago, largely due to decline in growth rate in other personal loans, credit card outstanding and vehicle loans segments.
This data on sectoral deployment of bank credit for the month of February 2025 is collected from 41 select scheduled commercial banks, accounting for about 95 per cent of the total non-food credit deployed by all scheduled commercial banks.
