New Delhi, June 28 -- Credit growth in the economy is influenced more by overall economic activity than by the size of the liquidity surplus, according to a recent report by Standard Chartered, an international bank.

The report noted that while a high liquidity surplus may provide some support to unsecured personal loan growth (excluding consumer durable loans), it does not automatically lead to broad-based credit growth.

It stated, "Credit growth depends more on economic activity than the size of the liquidity surplus; however, unsecured personal loan growth (ex-consumer durables) could get a fillip on a large liquidity surplus".

In fact, as the report mentioned that the credit growth excluding unsecured personal and consumer durable ...