Mumbai, June 12 -- The erosion in incremental bank credit since the start of the nationwide lockdown continues unabated, with the decline between 27 March and 22 May at '1.76 trillion.
According to data from the Reserve Bank of India (RBI), while non-food credit stood at '103.2 trillion as on 27 March, it shrank to '101.4 trillion as on 22 May. To be sure, credit growth is usually tepid in the first quarter of every financial year and incremental credit fell '1.68 trillion even between end of March and end of May last year. Still, it is notable that despite the government's efforts to revive flow of credit into the economy through various steps announced following the covid-19 outbreak, credit has shrunk on a year-to-date (YTD) basis.
On ...