Bank Credit: November Sectoral Deployment Shows Some Encouraging Trends, Says ICICI Securities
An employee counts rupee currency notes inside a private money exchange office in New Delhi. 

Bank Credit: November Sectoral Deployment Shows Some Encouraging Trends, Says ICICI Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

The Reserve Bank of India has released bank credit sectoral deployment data for November 2020 wherein non-food credit after rising 0.6% month-on-month now stands flat year-to-date at Rs 92 trillion (6% YoY growth) with steadily improving collection trends (repayments/prepayments) offsetting the increased momentum in disbursement.

A few encouraging trends during the month -

1. downward trajectory in industry credit (particularly large industries) was arrested and, after six consecutive months of decline, there was marginal uptick in Nov-20;

2. with the economy opening up, transport operators, tourism / hotels / restaurants, commercial real estate, etc. witnessed month-on-month 3-6% uptick in credit.

Click on the attachment to read the full report:

ICICI Securities Banking Credit November Sectoral Deployment.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.