Slowness In Loan Disbursement Due To Corona Crisis: RBI
Slowness in loan disbursement due to Corona crisis, the boom in deposits: RBI. Due to the Corona crisis, the pace of delivery by banking credit i.e banks has slowed down.
But the Reserve Bank of India (RBI) data show that even before the onset of the Corona epidemic, the impact of diminishing economic activity in the country had started showing on the pace of loan disbursement by banks.
The figures also show an interesting fact that on the one hand there is talk of increasing unemployment and affecting the income of the people due to Corona.
Slowness in loan disbursement: On the other hand, deposits in banks are increasing.
During the Covid period ie after March 2020, as the prevalence of the Covid-19 epidemic has increased in the country, the deposits of banks have also increased and the pace of debt has slowed down.
In March 2019, the growth rate of banking sector loans was 13.1 percent, which was 6.4 percent in March 2020 and 5.6 percent in March 2021.
The decrease in the pace of banking debt is directly linked to the slowdown in economic activity. It is also noteworthy that India’s economic and industrial growth rate has been sluggish since March 2019.
It is also a matter of concern that the pace of loan disbursement of banks has slowed down in a period when the government and RBI have been successful in bringing the interest rates to the lowest level of the last decade.
Meaning that despite the rates being cheaper, people are not taking loans. On the other hand, the pace of deposits in banks has been increasing throughout the corona call.
The deposit amount was 9.5 percent in March 2020, which increased to 11 percent in September 2020. According to the data released on Friday, in March 2021, this pace has been 12.3 percent.
This is the largest growth in deposits in banks since June 2017. It seems that during the Corona crisis, there has been a tendency for people to save money for difficult times.
Record procurement of wheat with bumper yields, government procurement of 40 million tons, production estimate 10.87 million tons.
Recent estimates of bumper yields and record-breaking government procurement have dismissed questions and doubts being raised on wheat production figures.
So far more than 40 million tonnes of wheat have been procured in the current Rabi marketing season, which is more than one million tonnes as compared to last year’s total procurement.
This amount of government procurement of wheat is the highest ever. This situation is when government procurement is still going on in two major wheat-producing states Madhya Pradesh and Uttar Pradesh.
However, government procurement is still 27 lakh tonnes behind the target set.
Last year, the total government procurement of wheat was 38.9 million tonnes, while the production was 10.78 million tonnes.
In comparison, wheat production is estimated at 10.87 million tonnes in the current crop year 2020-21.
The biggest indicator of heavy wheat production is government procurement in the current marketing season. So far, more than 40 million tonnes of wheat have been procured.
