Singapore bank lending dips 0.2% in January from December on weaker business loans

Month-on-month, total loans to businesses declined 0.3 per cent to $428.35 billion.
Month-on-month, total loans to businesses declined 0.3 per cent to $428.35 billion.PHOTO: ST FILE

SINGAPORE - Bank lending dipped by 0.2 per cent in January, compared with the month before on a drop in loans to businesses, according to flash data from the Monetary Authority of Singapore on Friday (Feb 28).

Total borrowing in January crept down to $691.15 billion from the $692.4 billion in December last year, the data showed.

Compared to a year ago, though, lending was 3 per cent higher than in January 2019.

Month-on-month, total loans to businesses declined 0.3 per cent to $428.35 billion. The was mostly due to the drop in leading to financial institutions.

Total consumer loans inched up to $262.81 billion from $262.79 billion in December on a rise in housing loans, which account for three-quarters of consumer lending.

Housing loans inched up 0.04 per cent to $200.83 billion. Other types of consumer loans such as car, credit cards and share financing went down.

MAS figures for loans through domestic banks capture lending in all currencies, but reflect mainly Singapore-dollar lending.