Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

TaxBrackets.org via Creative Commons/Flickr
Loans

Loans to households, businesses declined during December

Despite the dip in lending, households’ deposits with banks rose in December

LOANS TO HOUSEHOLDS continued to decline December and were 3.8 per cent lower on a year-to-year basis at end-2011, according to the newest figures released by the Central Bank.

The annual fall in November was 4.1 per cent – with mortgage lending down by 2.5 per cent over the year and lending for other purposes down by 8 per cent.

During December, lending to households dropped by €90 million while loans for house purchases increased by €37 million.

Meanwhile, lending to businesses in December was also down 1.6 per cent on the same period of the previous year. Business loans with terms of between one and five years displayed the most significant fall. In contrast, loans with a maturity of up to one year have continued to increase, according to the figures.

Despite the dip in lending, households’ deposits with banks grew by €108 million in December.

This saw the annual rate of decline reduce to 7.3 per cent in December, compared with 9 per cent in November.

Read: Consumer sentiment picks up after December dip – but shoppers still gloomy>

Read: Retail sales still dropping, industry figures show>

Your Voice
Readers Comments
9
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.