Cr growth increasingly getting broad-based across sectors: RBI

Mumbai, Jan 25 (PTI) The Reserve Bank today said thatcredit growth is now becoming increasingly broad-based acrosssctors and industries.

"Disaggregated data suggest that credit growth, whichwas earlier driven by the infrastructure sector, is becomingincreasingly broad-based across sectors and industries,evidencing growth momentum and demand pressures," the apexbank said in its third-quarter review of its monetary policyfor FY 11.

Credit flow to the services sector increasedsignificantly for transport operators, tourism, hotel andrestaurant and commercial real estate, besides retail housingand personal loans, it said.

Within industry, apart from infrastructure, increasein credit was significant for metals, engineering, textiles,food processing and chemical and chemical products.

According to the Reserve Bank, the total flow offinancial resources (rough estimates) from banks andnon-banks to the commercial sector during April-December 2010stood at Rs 9,01,000-crore, up from the Rs 6,36,000--croreduring the year-ago period.

It said that there was a surge in bank credit to thecommercial sector but fund-flow from other sources was lowerthan last year''s level.

This was mainly on account of lower net inflows fromforeign direct investment, it said (FDI).