Home loan outstanding stands at Rs 17.7 lakh crore at the end of July 2022. There has been a moderate spike in the home loans segment of banks’ overall credit to 14.34% in July 2022 from 14% at the end of July 2021.
The share of home loans in banks’ overall credit will see a spike after the merger of
and . Post the merger the home loan book of banks is expected to climb to Rs 21 lakh crore, according to a report in Times of India.
According to the latest data put out by the RBI, bank credit grew at 14.52% to Rs 123.69 lakh crore while deposits increased 9.14% to Rs 169.72 lakh crore in the fortnight ended July 29.
The pick up in personal loan segment shows that the consumption is slowly getting back to normal after a prolonged slowdown seen in the wake of the COVID curbs. The recent Q1 GDP data, which came in at 13.5% and was below estimates, also saw private consumption surging nearly 26% on year.
Consumer loans have surged 16.5% since end of March 2022. Lonas against fixed deposit advances have grown 11.8% in the same period.
The worry in the industrial loans segment remains with a subdued credit growth with infrastructure performing better than sectors like gems and jewellery, telecom, engineering and edible oils.