Mumbai: The outstanding loans of Indian lenders to the micro, small and medium enterprises (MSMEs) expanded two-and-a-half times in five years through 2018, credit information company TransUnion CIBIL said, while also warning about debt build-ups leading to possible stress in the quality of assets.
The Reserve Bank of India injected a total liquidity of Rs 2.98 lakh crore in the market in 2018-19, one of its reports said on Thursday.
The share of state-run banks in loan disbursals to MSMEs has dropped from 58 percent to 39 percent in December 2018, a report by SIDBI and Cibil Transunion said.
Mumbai: Last week, when the Reserve Bank of India (RBI) cut repo rate — the rate at which the central bank lends to commercial banks – by 25 basis points (bps) to 6%, it sent out hope that your loans will get cheaper. One bps is one hundredth of a percentage point.
Loans of Indian banks jumped 13.2 percent year-on-year, in the two weeks ended March 29, while deposits rose 10 percent, the Reserve Bank of India's weekly statistical supplement showed on Friday.
Following RBI governor Shaktikanta Das’ announcement the RBI would issue a revised circular following the apex court’s verdict, the Indian Banks’ Association has written to the RBI with at least seven recommendations.