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Private Banks Stretch Deposit Base To Meet Rising Credit Demand
A high credit-deposit ratio indicates pressure on banks’ resources.
20 Mar 2019, 02:35 PM IST
As demand for credit rises, private banks are facing a shortfall in deposits.The credit-deposit ratio—a measure of how much a bank is lending out of its deposits—of the top six private lenders is at about 96 percent as of December against the average of around 87 percent over financial years 2011-2018, according to the data available on the banks’ websites. By comparison, for the top three public sector peers, credit-deposit ratio wa...
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