Loan demand is getting broad-based with demand coming back from corporates as well. RBI to release data on the sectoral flow of bank credit in a year when government-supported schemes helped grow banks’ loan books.Credit growth to industry rose 6.5 percent year-on-year (y-o-y) in February 2022 from 1.0 percent in February 2021. But a distinct trend is that loan growth to large corporates turned positive, recording a marginal growth of 0.5 percent against a contraction of 0.6 percent during the same period, according to the data on sectoral deployment of bank credit released by the Reserve Bank of India. With yields on corporate paper rising, borrowers are finding raising funds from the market more expensive than from banksLoans to medium-sized firms rose 71.4 per cent in February 2022 as compared to 30.6 per cent last year mainly on the back of support from various government schemes and RBI liquidity support to help them tide over the crisis they faced on account of COVID induced restrictions and the consequent disruption in economic activity. Credit growth to micro and small industries accelerated to 19.9 per cent from 3.1 per cent and credit to large industries recorded a marginal growth of 0.5 per cent against a contraction of 0.6 per cent during the same period. Retail loans continued to expand at a robust rate and grew by 12.3 per cent in February 2022 from 9.6 per cent in February 2021, driven primarily by housing loans and vehicle loans, the RBI release said.Credit to agriculture and allied activities rose 10.4 per cent in February 2022 as compared to 8.6 per cent in February 2021. Credit growth to the services sector was 5.6 per cent in February 2022 as compared to 8.8 per cent a year ago. Within services, credit growth to NBFCs improved significantly to 14.6 per cent in February 2022 from 7 per cent a year ago.Within industry, credit growth to ‘all engineering’, ‘chemicals & chemical products’, ‘food processing’, ‘infrastructure’, ‘leather & leather products’, ‘mining and quarrying’, ‘petroleum, coal products & nuclear fuels’ and ‘rubber plastic & their products’ accelerated in February 2022 as compared to the corresponding month of the previous year. However, credit growth to ‘basic metal & metal products’, ‘beverage and tobacco’, ‘cement & cement products’, ‘construction’, ‘glass & glassware’, ‘gems & jewellery’, ‘paper & paper products’, ‘textile’, ‘vehicles, vehicle parts & transport equipment’ and ‘wood & wood products’ decelerated/contracted.