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India: Rise in loans to real estate, retail disproportionate

Posted on 15 November 2011

The Reserve Bank of India (RBI) has pointed out banks’ disproportionate growth in loans to the commercial real estate sector, the retail segment and the infrastructure sector. Banks have also been found lending heavily to non-banking financial companies (NBFCs).

The banking regulator, however, said there was no evidence of a credit boom in the economy, and that continuous monitoring was required for these sectors as the trend may lead to asset-liability mismatches………………………………………Full Article: Source


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