Banks still not lending to consumers but business loans better – Central Bank
Published 30/12/2011 | 12:48
NEW FIGURES from the Central Bank show that lending to consumers continued to fall last month although there was a slight pick-up in some loans to businesses.
Loans to households were off 4.1pc compared with November of last year while the annual fall in October was 3.9pc.
Mortgage lending was down by 2.7pc while general loans were off by 8.6pc.
But lending to business was up by €39m although it is still 1.5pc down compared with this time last year.
Short-term loans for less than one year are growing and those with terms of one to five years are recording the biggest falls.
Private sector deposits – those from households, businesses, financial institutions and pension funds - fell by more than €1.3bn during November. The annual rate of decline slowed, however, to 9pc from 11pc in October.
The bank said deposits held by households dropped by €1.2bn in November but this is partly explained by seasonal factors.