RBI warns of faster private credit growth, says it risks financial stability
The Morning Standard|June 28, 2024
THE Reserve Bank has wanred of the rapid growth of private credit, which has jumped over four-fold in the past 10 years, due to their growing interconnectedness with banks and non-banking lenders, which can create vulnerabilities.
RBI warns of faster private credit growth, says it risks financial stability

Private credit is provided by non-bank lenders to corporates on a bilateral basis and the same grown four-folds over the past ten years, the RBI said in the financial stability report Thursday. "The rapid growth of private credit and increasing interconnectedness with banks and non-banks and their opacity can create vulnerabilities that can become systemic."

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