Credit growth witnessed expansion in Q3FY22: SBI

The December 2021 quarter witnessed a visible expansion in credit growth across sectors, as per the State Bank of India (SBI)’s economic research report ‘Ecowrap’. The incremental credit-deposit (CD) ratio stood at 133 during October-December 2021 as compared to only two during April-September 2021. Sectors where demand for credit picked up in the last quarter include non-banking financial companies (NBFCs), telecom, petroleum, chemical, electronics, gems & jewellery and infrastructure including power and roads. The SBI reported that incremental deposits declined by Rs.2.2 trillion during October-December 2021, while net credit sales rose by Rs.3.5 trillion.