Cyprus posts bank credit expansion
Total new loans in Cyprus increased by 172.8 million euros in November compared to the previous month, despite an increase in interest rates across all loan categories.
According to data released on Wednesday by the Central Bank of Cyprus (CBC), the growth in new loans was driven mainly by lending to companies of over €1 million and to a lesser extent to the increase in housing loans.
Total new loans recorded an increase to €413.1 million in November, compared with €240.3 million in October.
New consumer loans dropped to €14.1 million, against €15.1 million in October, while new loans for home purchases posted an increase to €91.8 million, from €72.7 million a month earlier. New loans to non-financial corporations for amounts up to €1 million increased to €48.9 million, compared with €42.7 million in the previous month. New loans to non-financial corporations for amounts over €1 million registered an increase to €247.5 million, compared with €102.6 million in October.
At the same time, lending rates increased in November in all credit categories, with the consumer credit rate increasing to 3.84% from 3.57% in October, and the mortgage rate at 2.95% from 2.93%.
