Credit

Credit, in its broadest financial definition, is the provision of money, goods, or services to a borrower or buyer with the agreement that repayment — of the principal, plus interest or fees — will occur at a future date, based on trust in the borrower's ability and intention to repay. Credit is the foundational mechanism of modern economies and financial systems, enabling individuals to purchase homes, businesses to fund expansion, governments to finance infrastructure, and economies to grow beyond immediate savings constraints. In India, the credit market spans bank loans, bond markets, trade credit, NBFCs, and microfinance. In accounting, 'credit' also refers to the right-hand side of a double-entry bookkeeping ledger entry. In personal finance, credit ratings and credit scores determine an individual's borrowing eligibility and cost of debt. For investors on Ventura Securities, credit dynamics — including credit growth trends, credit spreads, non-performing assets, and RBI's monetary policy stance — are among the most powerful macro indicators for timing equity sector rotation between financials, cyclicals, and defensives across the Indian market cycle.