What one has to worry is if credit will continue to grow at the same pace one and a half years from now,” added Kochhar.

did in the year-ago period. Loans to industry have marginally dipped, but banks have seen a sharp rise in retail loans, particularly home loans this year. Home loans given by banks saw a 15.7% increase to Rs 3,66,889 crore. Private sector banks such as ICICI, HDFC Bank and Axis Bank have seen healthy growth in credit offtake in the period. ICICI Bank, the country’s largest private sector bank in second quarter saw a credit growth of 20%. “Retail loans have seen some moderation in growth. For the bank, the growth in credit is largely from home loans, car and commercial vehicle and working capital loans,” said ICICI Bank managing director and chief executive Chanda Kochhar. “Corporates are refinancing existing high cost rupee loans.