Bank loans rise in September, indicates ample support for growth
11/10/2009 | 06:40 PM
Despite tough competition with bonds as a source of financing, bank lending nearly doubled in September, the Bangko Sentral ng Pilipinas said on Tuesday.
The BSP reported that bank loans grew 6.1 percent to P2.2 trillion, a significant rise from its acceleration of 3.1 percent a year ago.
The higher bank lending is an indication of the economy’s positive growth going forward.
Bank loans net of those placed overnight with the BSP also continued to grow by just under six percent, unchanged from that posted in August.
Consumer loans, which include credit card use, personal loans as well as car and housing loans, rose 6.9 percent to P168.68 billion, said Amando M. Tetangco Jr., BSP governor.
Production loans, or those extended to agriculture, fishery, manufacturing, transport, real estate and even to financial intermediaries, among others, grew 5.2 percent, but slower than the growth of 5.7 percent to P1.765 trillion in the previous month
.
Meanwhile, the Money Market Association of the Philippines or MART expressed optimism that liquidity levels will continue to be favorable going forward as policy planners pursue their growth goals with vigor.
Paul Favila, MART president and a Citibanker, said bank lending as far as consumer loans should continue to grow this year as interest rates continue to favor borrowers. - GMANews.TV
The BSP reported that bank loans grew 6.1 percent to P2.2 trillion, a significant rise from its acceleration of 3.1 percent a year ago.
The higher bank lending is an indication of the economy’s positive growth going forward.
Bank loans net of those placed overnight with the BSP also continued to grow by just under six percent, unchanged from that posted in August.
Consumer loans, which include credit card use, personal loans as well as car and housing loans, rose 6.9 percent to P168.68 billion, said Amando M. Tetangco Jr., BSP governor.
Production loans, or those extended to agriculture, fishery, manufacturing, transport, real estate and even to financial intermediaries, among others, grew 5.2 percent, but slower than the growth of 5.7 percent to P1.765 trillion in the previous month
.
Meanwhile, the Money Market Association of the Philippines or MART expressed optimism that liquidity levels will continue to be favorable going forward as policy planners pursue their growth goals with vigor.
Paul Favila, MART president and a Citibanker, said bank lending as far as consumer loans should continue to grow this year as interest rates continue to favor borrowers. - GMANews.TV
