Drop in bank lending speeded up in May
Published 30/06/2011 | 12:38
Bank loans to consumers were 4.8pc lower last month compared with 4.6pc in April, according to new Central Bank figures.
Mortgage lending fell by 2.1pc while other lending dropped by 13.6pc.
The same trend applied to the business sector when the fall in lending also gathered pace falling 2.6pc.
Bank deposits also showed a drop of 8.7pc but the rate of decline has been slowing recently.
And pressure on the banks to recapitalise can also be seen in the figures although the amount dropped in May.
Domestic banks borrowed €74.4bn from the euro system through the Central Bank in May.