Home / Knowledge / News / Textiles / Credit demand from textile sector up in H1 F11
Credit demand from textile sector up in H1 F11
18
Apr '11
There has been a steep rise in the credit demand of the textile industry which rose by 110 percent to Rs. 177 billion during the initial six months of the current fiscal year which started on July 2010, as over same period in the earlier fiscal year.

In its recently released report, the State Bank of Pakistan (SBP) stated that, the textile sector availed over 50 percent of the private sector credit, which is suggestive of high prices of raw materials, and raw cotton in particular.

Demand for credit from the private sector accelerated with a rise of 51 percent in the stock of outstanding loans to Rs. 208.8 billion during the period under consideration, as over corresponding period last year. A rise in the seasonal demand for working capital and trade related loans has lead to a substantial rise in credit to private sector.

The impact of soaring prices of raw materials on credit demand was visible even in sectors other than textiles.

The upturn in the ratio for the textile sector is because of a rise in advances to the sector during second quarter of the current fiscal year. Besides, improvement in textile exporters' margin due to rise in export prices also boosted their capacity to payback some of the loans.

Conversely, the Gross Non-Performing Loans (NPLs) registered a rise of Rs. 58 billion to touch Rs. 517.9 billion by close of December 2010, as over a rise of Rs. 34.1 billion registered during corresponding period in the previous year.

Textile and energy sectors accounted for more than one-third of this increase in NPLs.

Fibre2fashion News Desk – India

Must ReadView All

Textiles | On 20th Jan 2017

TEA expects budget to upscale textile skill industry

The Tiruppur Exporters’ Association (TEA) has requested the Central...

Textiles | On 20th Jan 2017

Bangladesh could earn $60 billion in exports by 2021

Bangladesh is expected to earn over $60 billion in exports by the...

Courtesy: PIB

Textiles | On 20th Jan 2017

Govt to help Tangaliya weavers purchase looms: Irani

Government of India will facilitate Tangaliya weavers in purchase of...

Interviews View All

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Smita Murarka
Amanté

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search