Public sector banks disbursed a record Rs 4.91 lakh crore of loans during the festive months of October and November, the finance ministry said on Tuesday.
In a bid to boost consumption and revive the economy, Finance Minister Nirmala Sitharaman in September had asked banks to reach out to customers and signal their willingness to lend after following all prudential norms.
Under her direction, outreach camps or loan melas were conducted across 374 districts across the country to improve credit delivery and support the needs of the economy, with particular focus on MSMEs, NBFCs, corporates, retail and agriculture sector borrowers, without compromising prudential lending.
Banks disbursed Rs 2.52 lakh crore during October and Rs 2.39 lakh crore in November. This has raised the total disbursement by public sector banks to various sectors since the launch of the customer outreach in October to Rs 4.91 lakh crore, the finance ministry said.