Kolkata: Quarterly business numbers of large government lenders like Canara Bank and Indian Bank showed that their credit growth outpaced deposits growth in the first quarter, in a continuation of the trend seen over the past few years.Canara Bank reported an 18% year-on-year advances growth to Rs 12.9 lakh crore at the end of June while its deposits grew 11.7% to Rs 16.1 lakh crore. The bank's retail, agriculture and MSME advances grew at 21.3% to Rs 7.7 lakh crore, reflecting a faster expansion than wholesale advances.Indian Bank's advances grew 13.9% year-on-year to Rs 6.85 lakh crore, marginally outpacing the deposits growth of 13.3% to Rs 8.43 lakh crore.
Canara Bank, Indian Bank credit growth outpaces deposits
Leading public sector banks, including Canara Bank and Indian Bank, are experiencing a sustained trend where their loan disbursements are expanding at a quicker pace than customer deposits. Canara Bank saw its advances surge by 18%, while Indian Bank reported a 13.9% rise in credit. This robust credit expansion, particularly in retail, agriculture, and MSME sectors, signals a dynamic lending environment for these financial institutions.
109 words~1 min read
