Page 45 - Banking Finance March 2022

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per Naukri job report. 34 lakh salaried Indians lost their
jobs in April 2021, Unemployment rate touches 8%
which is cause of concern for bankers as repayment of
retail loans will be under pressure.

revises to 9.% , crisil to 8.2%, Fitch 9.5% S & P 9.8% which
shows that still the GDP growth will be around 9%. D. Credit-Investment: The below chart shows (source RBI)
that during 2020-21, banks invested Rs. 7.2 lakh crore
The above projection shows that there is nothing more to in government securities, nearly double of their
worry regarding overall economic activity in India. investment in the previous year. Banks' investment in
2020-21 outpaced overall credit extended - a
B. GST Collection: GST revenue collection in April 2021 hit phenomenon not seen in nearly twenty years, barring
a record high of Rs. 1.41 lakh crore. April GST Receipts the year of demonetization. Looking at the data we can
was high because of high March Sales. From the graph interpretate that the Banks in India are moving towards
we can see dip in GST collection (April 2020) is a Narrow Banking and there will be negative impact on
temporary phenomenon only. Even there is expectation their profitability.
of another dip in GST collection but it will bounce back
in the coming months.

RBI MEASURES TO TACKLE SECOND COVID WAVE: In light
C. Hiring Activity/Unemployment rate: Hiring Activity of resurgence of Covid-19 pandemic in India, Reserve Bank
falls by 15% in April 2021 due to covid second wave as of India (RBI), vide notifications dated May 5, 2021, has

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