Two State Bank of India associates (State Bank of Patiala and State Bank of Indore), Andhra Bank, Union Bank of India, Allahabad Bank and Canara Bank top the list with an asset growth of over 20 per cent each.
The asset of State Bank of Patiala (SBP) rose 31.47 per cent. Borrowings have more than doubled and deposit liability grew by 27.48 per cent.
Overall, deposits of these banks grew by Rs 170,948 crore (Rs 1709.48 billion) or 12.26 per cent. Andhra Bank, State Bank of Indore, Canara Bank, Corporation Bank and State Bank of Mysore have registered over 20 per cent growth in deposits.
With strong credit offtake by all sectors, advances of 15 banks rose by over 31 per cent each, while eight other banks witnessed 20-30 per cent credit growth. Only two banks, Bank of India and Vijaya Bank, had a modest 16 per cent growth in advances.
Credit to the services and retail sectors remained the mainstay of loan growth for the banking sector for the second consecutive year in a row.
Total advances to the retail, infrastructure, agriculture, food processing, steel, cotton textiles and construction sectors rose 30.09 per cent or by Rs 2,39,617 crore (Rs 2396.17 billion). With this, advances of public sector banks rose to Rs 10,358,39 crore (Rs 10358.39 billion).
To accommodate the increased credit demand, public sector banks unwound their holdings of SLR securities. Consequently, for the first time in many decades, their investment in government securities actually declined by 13.43 per cent (Rs 72,660 crore).
The aggregate value of investment of public sector banks declined by 8.06 per cent or Rs 51,998 crore (Rs 519.98 billion) to Rs 595,509 crore (Rs 5955.09 billion).
During the year, Andhra Bank, Allahabad Bank, Bank of Baroda, Syndicate Bank and Union Bank of India entered the capital market with follow-on offers. The reserves of public sector banks rose by Rs 17,413 crore (Rs 174.13 billion), up 22.19 per cent.
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