Data released by Reserve Bank of India has showed that the Indian banking industry has had a narrow escape from the effects of global economic slowdown. Banking sector has recorded 17% growth in deposits and a 16.6% growth in loan book in the fiscal last ended that is 2009-10 as compared to the fiscal prior to that.
The industry's deposits amounted to Rs 47,52,456 crore while advances were R34,97,054 crore in 2009-10.
The major contribution to the growth of the sector in tough conditions has been attributed to the public sector banks. The PSBs recorded a 18.6% growth in deposits amounting to Rs 36,91,802 crore while there was a 19.6% growth in credit offtake which grew to Rs 27,01,300 crore in 2009-10.
On the other hand, deposits of private sector banks saw only 11.7% growth Rs 8,22,801 crore and advances by 9.9 per cent to Rs 6,32,494 crore.
Bank employees have seen a rise in their wages this time. The percentage of wages over total expenses figured to 14.8% in 2009-10 as compared to 13.6% in 2008-09.