Bank lending grew by 9.6% in April 2024 — BSP

MANILA, Philippines — Loans given by banks in  April 2024 grew by 9.6%, the Bangko Sentral ng Pilipinas (BSP) said. 

Preliminary data released by the central bank on Friday showed that outstanding loans of universal and commercial banks, net of reverse repurchase placements with the BSP, expanded by 9.6% year-on-year in April, up from 9.4% in March.

On a month-on-month seasonally adjusted basis, outstanding loans from universal and commercial banks, excluding reverse repurchase agreements (RRPs), rose by 0.9%.

Outstanding loans to residents, excluding RRPs, also increased to 9.6% in April from 9.5% in March.

Loans to non-residents rose significantly to 10.8% in April, up from 9.1% the previous month.

Outstanding loans for production activities expanded by 7.8% in April, slightly up from 7.7% in March.

The central bank attributed this increase to the rise in lending to specific industries such as real estate (11.0%), electricity, gas, steam, and air conditioning supply (9.2%), and wholesale and retail trade and repair of motor vehicles and motorcycles (7.6%).

Transportation and storage saw a notable increase of 21.8%, while construction grew by 15.1%.

Consumer loans to residents increased by 25.3% in April, slightly down from 25.4% in March, primarily due to the ongoing rise in credit card, motor vehicle, and salary-based general-purpose consumption loans.