PRELIMINARY data indicate that outstanding loans of commercial banks, net of reverse repurchase (RRP) placements with the BSP, expanded at a slower rate of 19.1 percent in January from 19.4 percent (revised) in December.
Ghe growth of bank lending inclusive of RRPs decelerated to 18.3 percent in January from 18.4 percent (revised) in the previous month. On a month-on-month seasonally-adjusted basis, commercial bank loans net of RRPs and loans inclusive of RRPs both increased by 1.3 percent.
Loans for production activities—which comprised 88.4 percent of banks’ aggregate loan portfolio, net of RRP — grew by 18.1 percent in January, slower compared to the 18.6-percent (revised) growth in the previous month. The growth in production loans was driven by increased lending to real estate activities (18.0 percent); electricity, gas, steam and air conditioning supply (24.8 percent); wholesale and retail trade, repair of motor vehicles and motorcycles (13.2 percent); manufacturing (11.9 percent); information and communication (52.6 percent); and, financial and insurance activities (15.0 percent). Bank lending to other sectors also increased during the month except in agriculture, forestry and fishing (-11.6 percent), and administrative and support services activities (-43.2 percent).
Growth in loans for household consumption slowed down to 20.3 percent in January from 20.8 percent (revised) in December. The slower increase in motor vehicle loans, salary-based general purpose loans and other types of household loans offset the faster expansion in credit card loans in January. (PR)