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Mumbai, May 31, 2025 – The Reserve Bank of India (RBI) has released data on the sectoral deployment of bank credit for April 2025, showing a slowdown in the overall growth of non-food bank credit. The data, collected from 41 major scheduled commercial banks—covering nearly 95% of total non-food credit—offers insight into how different sectors of the economy are using bank loans.
According to the report, non-food bank credit grew by 11.2% year-on-year (y-o-y) as of April 18, 2025, which is lower than the 15.3% growth recorded during the same period last year.
Key Highlights by Sector:
1. Agriculture and Allied Activities
- Credit growth to this sector stood at 9.2% in April 2025.
- This marks a significant drop compared to the 19.8% growth seen during the same period last year.
2. Industry
- Loans to the industrial sector grew by 6.7%, slightly below the 6.9% recorded a year ago.
- However, some industries saw stronger demand for credit, including:
- Basic metal and metal products
- Engineering
- Vehicles and transport equipment
- Textiles
- Construction
- In contrast, credit to the infrastructure segment showed slower growth.
3. Services Sector
- The services sector saw a moderation in credit growth to 11.2%, down from 19.5% a year earlier.
- The main reason was a decline in credit to Non-Banking Financial Companies (NBFCs).
- However, credit growth remained strong in segments like trade and computer software.
4. Personal Loans
- Credit to individuals, or the personal loans segment, grew by 14.5%, compared to 17% last year.
- The slowdown was due to reduced growth in:
- Other personal loans
- Vehicle loans
- Credit card outstanding balances
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