In July, the annual growth rate of loans to firms stood at 7%, more than double its level in February. Bank lending rates, meanwhile, have remained close to historical lows. Benefiting from these developments, industrial production and the Purchasing Managers’ Indices (PMIs) have rapidly improved, partly recuperating the previous losses (Chart 3).
It is indeed a great pleasure for me to share my views on this subject. 3. The RBI’s financial inclusion efforts can be traced back to the 1960s when the focus was on channelizing of credit to the neglected sectors of the economy and weaker sections of the population.