MANILA – Lending operations of banks' net of reverse repurchase placement with the central bank, rose by 18.7 percent last March from month-ago’s 18 percent, the Bangko Sentral ng Pilipinas reported yesterday.
Including RRP placements, bank lending in the third month this year rose by 17.7 percent from last February’s 16.1 percent, BSP Governor Amando Tetangco Jr. said.
Outstanding loans of commercial banks have been growing steadily at double digit since the start of this year, the press release said.
Specifically, production loans, which account for 80 percent of banks’ total loan portfolio, increased by 19.3 percent from 18.4 percent last February.
Among the production loans, those extended for wholesale and retail trade expanded by 58 percent, the manufacturing by 35 percent; real estate, renting, and business services, 25.1 percent; financial intermediation, 32.1 percent; electricity, gas, and water, 21.6 percent, the press release said.
Loans extended to public administration and defense grew by 41.1 percent; transportation, storage, and communication, 16.9 percent; and construction, 38.4 percent.
Negative growth was registered by loans extended to mining and quarrying at -28.7 percent and agriculture, hunting and forestry, -44.9 percent.
Relatively, consumer loans decelerated to 18.5 percent last March from 20.3 percent in the second month this year because of the slower growth in auto loans and the credit card receivables.
Tetangco said the continued growth in bank lending “is expected to support real sector activity in the months ahead amidst an uncertain global economic environment.”*PNA