New Delhi, Oct. 18 -- Finance minister Nirmala Sitharaman has asked rural banks to leverage the consumption boost from lower goods and services tax rates to boost credit in semi-urban and rural areas.

The rationalisation of GST rates has opened new opportunities in rural areas due to an increase in consumption, an indication of more bank funding, Sitharaman said, while chairing a meeting to review the business performance of the Karnataka Grameena Bank (KaGB) at Ballari on October 16.

".the rural banks should leverage this opportunity to cater to the credit requirement in semi-urban and rural areas," Sitharaman said during the meeting, where she also assessed key indicators including credit growth, non-performing assets, performance und...