While the farm sector and industry reported lower credit offtake in This summer, 2011, vis-a-vis the same month of 2010, year-on-year growth was higher in the event of services and personal loans, as per the latest data released by the actual RBI.
Total outstanding non-food or commercial credit disbursement stood at Rs thirty seven. 28 lakh crore in July this year, up from Rs 31. 35 lakh crore within the same month of the previous fiscal.
Commercial credit offtake of all the actual sectors combined was Rs 26. 13 lakh crore in July, 2009.
"On the year-on-year basis, non-food gross bank credit increased by 18. 9% in This summer, 2011, as compared with 20% in the corresponding period of last 12 months, " the RBI said.
The RBI had last month revised its non-food credit growth projection with this fiscal downward to 18% from the earlier estimate of 19%.
The decline in credit offtake is due to the RBI's monetary tightening policy. The apex bank has raised its crucial policy rates 11 times since March, 2010, in a bid to acquire inflation, which is currently above 9%.
Gross bank credit, which also consists of food credit, grew by 19. 1% in July on an annual foundation, as against a growth of 19. 8% in the same month associated with 2010.
This is on account of a massive 31. 9% jump in food credit offtake throughout the month under review, as against a mere 9. 2% growth in July this past year.
Food credit offtake stood at Rs 67, 461 crore in July this season, compared to Rs 51, 281 crore in July last year. Food credit score offtake had stood at Rs 46, 971 crore in June, 2009.
Final fiscal, non-food credit offtake increased by 21. 5%, much above the RBI's projection associated with 20%.
As per the latest data, total credit disbursement to agriculture as well as allied areas grew by only 11. 8% in July, 2011, as against a rise of 19. 9% in the same month of 2010.
It was Rs four. 43 lakh crore in July, 2011, compared to Rs 3. 96 lakh crore in July this past year. In July, 2009, it stood a Rs 3. 30 lakh crore.
"Credit in order to industry increased by 21. 2% (year-on- year) in July, 2011, as in contrast to 27. 7% in the previous year..., " the RBI said.
On a good annual basis, total credit disbursement to industry -- which includes infrastructure, alloys, food processing, rubber, plastic and their products and engineering -- was Rs sixteen. 79 lakh crore in July, compared to Rs 13. 85 lakh crore within the same month last year. It stood at Rs 10. 84 lakh crore within July, 2009.
However, there was a moderate increase in the rate of growth of credit offtake from banks through the services sector.
"Credit to the services sector increased by 21. 3% (year-on-year) within July, 2011, up from 17. 4% in the previous year, " the actual RBI said.
The sector saw bank credit offtake rise to Rs 9. 06 lakh crore in July this season from Rs 7. 47 lakh crore in the corresponding month last 12 months. In July, 2009, the figure was Rs 6. 36 lakh crore.
Inside services, while segments like transport, computer software, tourism and wholesale trade witnessed slower growth within the offtake of credit during the month, disbursements to non-banking financial companies saw a large jump.
"Credit growth to NBFCs at 55. 6% on a year-on- 12 months basis in July, 2011, was significantly higher than that of 10. 9% growth throughout the corresponding period of the previous year, " the apex bank said.
Bank credit disbursement towards the NBFC segment stood at Rs 1. 73 lakh crore in July this season, as against Rs 1. 11 lakh crore in the same month this past year. Credit disbursement to NBFCs stood at Rs 10. 03 lakh crore within July, 2009.
Credit extended to the personal loans sector also went upward by 15. 4% during July, 2011, compared to a growth of 8% during the same month last year.
During the month under review, total credit offtake by the sector was at Rs 6. 98 lakh crore, as against Rs 6. 05 lakh crore within July, 2010. In July, 2009, the sector had availed credit to the actual extent of Rs 5. 60 lakh crore.