Loans to Irish households continue to decline – Central bank
LOANS to Irish households continued to decline last month, figures from the Central Bank show.
Lending fell 4.5pc in May following from a 4.3pc fall in April.
Lending for house purchases dropped 2.1pc over the year, while lending for consumption and other purchases was 11.5pc lower for the same period.
Irish private sector deposits rose at an annual rate of 7.6pc in May, following a 7.7pc increase in the year to the end of April.
The Professional Insurance Brokers Association said the figures show that the Government needs to face up to the banking crisis.
“The declining level of lending at a time when there is a strong and growing demand for mortgages is indicative of a seriously malfunctioning banking system,” Rachel Doyle, PIBA chief operations officer, said.