MUMBAI, Jan 23 (Reuters) - Indian banks' deposit advances
and deposits grew at a slower pace in the first nine months of
the financial year 2012-13 compared with a year earlier and are
likely to fall short of the central bank's projection by
So far this fiscal, banks' advances grew 7.4 percent,
compared with 10.5 percent a year earlier, while deposit growth
was 7.3 percent compared with 11.3 percent in the same period a
year ago, data from the Reserve Bank of India showed on
"I think credit growth is going to be much slower this year
than what the RBI has projected because of cumulative slowdown
in industrial and economic growth and, unless credit picks up,
deposit growth is unlikely to grow," said B. A. Prabhakar,
chairman and managing director of the state-run Andhra Bank
The Indian economy is headed for the weakest full-year
growth in a decade, at about 5.5 percent, far below the near
double-digit pace before the global economic downturn.
In its second-quarter review of the monetary policy, the RBI
cut its credit and deposit growth projection by 1 percentage
point each to 16 percent and 15 percent, respectively.
As of Jan. 11, banks' advances stood at 50,427.87 billion
rupees ($939.1 billion), up 0.3 percent from two weeks ago,
while deposits were up 0.9 percent at 65,385.95 billion rupees.
(Reporting by Neha Dasgupta; Editing by Anupama Dwivedi)