Credit-deposit ratio registers decline

Staff Reporter

PALAKKAD: The credit-deposit ratio of banks declined by 9 percentage points in the district in the past year. The ratio was 79 per cent as on March 31, 2008 but declined to 70 per cent on March 31, 2009.

Sources in the banking sector said deposits in banks showed an increase. Deposits which stood at Rs.7,256.80 crore as on March 31, 2008 increased to Rs.9,139.49 crore on March 31, 2009.

The outstanding advances, which stood at Rs.5,733.04 crore as on March 31, 2008 increased to Rs.6,406.57 crore on March 31, 2009.

The total outstanding advances under the priority sector in the district stood at Rs.4,570 crore. Sources said the banks in the district were performing well in the sector as the statutory stipulation was 40 per cent.

Agriculture sector

The disbursement to the agriculture sector stood at Rs.1,872.94 crore against an annual target of Rs.1,600.18 crore. Loans to the non-farm sector touched only Rs.198.96 crore against a target of Rs.233.65 crore.