Charts: India’s Banks Lend Very Conservatively

“Despite the apparent strength of the banking system, the ratio of private sector credit to GDP is still low by international standards (see Chart 3). Some of the restrictions on the banking system, and the incentives for banks to hold government bonds rather than make loans, have stifled lending. Consequently, the average ratio of loans …

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Chart: US Government Borrowing Rises Sharply

Consumers have been cutting down borrowing since the credit crunch began. However the Federal government borrowing has been growing at a staggering rate recently as the chart from CFR’s Brad Setser’s blog shows below. Source: Council on Foreign Relations Checkout also More on the fall in private borrowing and the rise in the fiscal defict.