India’s most valuable lender HDFC Bank reported a sequential drop in its retail loan disbursements while resurrected Yes Bank showed a contraction in its overall loan book. The restrictions on mobility and business during the second wave were less stringent than those during the nationwide lockdown. Yes Bank disbursed ₹5099 crore worth of retail loans in the June quarter against just ₹7828 crore it gave in the previous quarter. Indians are unwilling to spend due to the increased uncertainty over employment and income prospects after the second wave. Yes Bank has fortified its capital but its pile of delinquent loans is still high and form 15% of its loan book.

Source: Mint July 05, 2021 05:03 UTC