Preliminary data show that outstanding loans of commercial banks, net of reverse repurchase (RRP) placements with the BSP, grew by 17.2 percent in December from 18.6 percent in November.
Likewise, bank lending inclusive of RRPs expanded by 16.0 percent from 17.4 percent in the previous month.
On a month-on-month seasonally-adjusted basis, commercial bank lending for loans net of RRPs and loans inclusive of RRPs increased by 0.7 percent and 0.3 percent, respectively.
Loans for production activities—which comprised about 89.3 percent of banks’ aggregate loan portfolio, net of RRP — grew by 16.8 percent in December from 18.1 percent in November.
The growth in production loans was driven primarily by increased lending to the following sectors: information and communication (40.9 percent); real estate activities (20.6 percent); electricity, gas, steam and airconditioning supply (19.6 percent); financial and insurance activities (15.6 percent); wholesale and retail trade, repair of motor vehicles and motorcycles (12.4 percent); and manufacturing (6.3 percent).
Bank lending to other sectors also increased during the month except in the case of public administration and defense, compulsory social security (-7.2 percent); mining and quarrying (-5.7 percent); and water supply, sewerage, waste management and remediation activities (-0.7 percent).
Loans for household consumption also increased by 22.8 percent in December from 24.5 percent in November due to the sustained growth in credit card loans, motor vehicle loans and salary-based general-purpose loans, offsetting the decline in other types of household loans.