Lok Sabha Question No. 4009 (UNSTARRED), answered on 2016-12-09
Subject: Credit Deposit Ratio
Ministry: FINANCE
Asked by: R.P. MARUTHARAJAA, KANWAR SINGH TANWAR

## Government of India Ministry of Finance

## Department of Financial Services

## LOK SABHA

UNSTARRED QUESTION NO. 4009

TO BE ANSWERED ON DECEMBER 9, 2016/AGRAHAYANA 18, 1938 (SAKA)

## CREDIT DEPOSIT RATIO

## QUESTION

4009. SHRI R.P. MARUTHARAJAA: SHRI KANWAR SINGH TANWAR:

## Will the Minister of FINANCE be pleased to state:

- (a)  whether  the  Government  has  fixed  any  criterion  regarding  credit  deposit  ratio  of nationalised banks and if so, the details thereof;
- (b) whether the Government has reviewed to banks complying with this ratio; and
- (c) if so, the details thereof, bank-wise along with the steps being taken by the Government in this regard?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI SANTOSH KUMAR GANGWAR)

(a)  to  (c):Reserve  Bank  of  India  guidelines  on  improving  credit  deposit  ratio  advise Scheduled  Commercial  Banks  including  Nationalised  Banks  to  achieve  a Credit Deposit (CD) ratio of 60% in respect of their rural and semi-urban branches separately on  an  all-India  basis.In  order  to  minimize  regional  imbalance  in  credit  deployment, banks are required to avoid wide disparity in the ratios between different States/Regions.

RBI has advised banks that the CD ratios should be monitored at different levels viz  banks'  head  office  level,  State  Level  Bankers  Committee  (SLBC)  and  District Consultative Committee (DCC). Special Sub-Committee (SSC) of DCC to be set up in the  districts  having  CD  ratio  less  than  40%,  to  monitor  the  CD  ratio  and  to  draw  up monitorable Action Plans (MAPs) to increase the CD ratio. The Districts with CD ratio less than 20% needs to be treated on a special footing.

RBI also monitors the CD ratio of banks. Out of 673 districts in India, 158 districts have CD ratio less than 40% and Special Sub Committees of DCC have already been formed in 148 districts.

A Statement indicating bank-wise CD Ratio of public sector banks is Annexed.

## Statement referred to in reply to the parts (a to c) of the Lok Sabha Unstarred Question No. 4009 for answer on 06-12-2016 regarding 'CREDIT DEPOSIT RATIO'

ANNEX Bank wise CD Ratio of Public Sector Banks

| Sl. No.   | Bank Name                        | As on 31st March, 2014   |   As on 31st March, 2015 |   As on 31st March, 2016 |   As on 30th September, 2016 |
|-----------|----------------------------------|--------------------------|--------------------------|--------------------------|------------------------------|
| 1         | Allahabad Bank                   | 71.9                     |                     76.7 |                     75.5 |                         74.1 |
| 2         | Andhra Bank                      | 78.2                     |                     83.5 |                     78.1 |                         79.7 |
| 3         | Bank of Baroda                   | 78.9                     |                     77   |                     73.7 |                         68.4 |
| 4         | Bank of India                    | 73.4                     |                     73.5 |                     73.3 |                         72.8 |
| 5         | Bank of Maharashtra              | 78.0                     |                     84.3 |                     81.2 |                         79.7 |
| 6         | BharatiyaMahila Bank Ltd.        |                          |                     65.4 |                     66.9 |                         61.9 |
| 7         | Canara Bank                      | 72.2                     |                     71.6 |                     71.5 |                         71.4 |
| 8         | Central Bank of India            | 79.8                     |                     78.7 |                     74.5 |                         69.2 |
| 9         | Corporation Bank                 | 70.5                     |                     72.9 |                     71.1 |                         64.8 |
| 10        | Dena Bank                        | 73.7                     |                     72.4 |                     76.5 |                         72.8 |
| 11        | IDBI Bank Limited                | 89.1                     |                     87.3 |                     93.5 |                         92.3 |
| 12        | Indian Bank                      | 76.3                     |                     76.6 |                     70.6 |                         70.3 |
| 13        | Indian Overseas Bank             | 75.2                     |                     69.7 |                     73.8 |                         75.4 |
| 14        | Oriental Bank of Commerce        | 72.9                     |                     72.7 |                     72.8 |                         72.4 |
| 15        | Punjab And Sind Bank             | 75.9                     |                     77.9 |                     72.4 |                         70.1 |
| 16        | Punjab National Bank             | 78.1                     |                     77.2 |                     77.6 |                         72.3 |
| 17        | Syndicate Bank                   | 79.7                     |                     75.9 |                     74.5 |                         72.3 |
| 18        | UCO Bank                         | 82.3                     |                     77.3 |                     67   |                         64.7 |
| 19        | Union Bank of India              | 74.8                     |                     80   |                     76.1 |                         70.9 |
| 20        | United Bank of India             | 61.1                     |                     67.6 |                     63.1 |                         59.6 |
| 21        | Vijaya Bank                      | 66.4                     |                     69.5 |                     74.2 |                         72.2 |
| 22        | State Bank of Bikaner And Jaipur | 90.9                     |                     84.5 |                     79.9 |                         76.6 |
| 23        | State Bank of Hyderabad          | 81.8                     |                     82.6 |                     81.6 |                         79.5 |
| 24        | State Bank of India              | 78.8                     |                     73.8 |                     74.7 |                         67.2 |
| 25        | State Bank of Mysore             | 83.2                     |                     83.9 |                     79.6 |                         74.4 |
| 26        | State Bank of Patiala            | 86.8                     |                     87.5 |                     80.1 |                         78.6 |
| 27        | State Bank of Travancore         | 81.3                     |                     77.2 |                     66.6 |                         65.6 |
|           | ALL INDIA-PSB                    | 77.1                     |                     76   |                     75   |                         71.2 |

Source: RBI