Karachi, May 21, 2020 (PPI-OT): Banks: Deposit growth in Apr-2020 touches 15% YoY
Banking deposits increased by 15% YoY during 4MCY20, registering the highest growth since 4MCY15; while Borrowings also showed a sturdy growth (+75% YoY).
During the same period, M2 expanded by 17% YoY (NDA: +13% YoY). However, currency in circulation (CIC) expanded by a faster pace, keeping 31% of the broad money out of the banking system.
With higher deposit mobilization and borrowings, total assets registered 23% YoY growth as at Apr-2020, where Investments were up by 58% YoY, routed to government securities.
Advances growth remained limited at 5% YoY (growth in credit to private sector: +4% YoY). While growth in credit to the textile (+14% YoY) and power (+11% YoY) sectors remained in the double-digit range, growth in loans to Wholesale and Consumer financing declined to an average of 3% YoY.