Household loan growth slowed to 12.7% in January from 13.6% the previous month.
Philippine bank loans expanded at a more subdued pace in January after loan growth moderated to 15.3% in January from 15.7% in December, data from the central bank show.
Bank lending growth inclusive of net of reverse repurchase (RRPs) also cooled down to 14.4% in January from 14.8% in December.
Data from the Bangko Sentral ng Pilipinas noted that loans for production activities, which comprised 88.6% of the aggregate loan portfolio of banks saw a slower pace of growth in January at 15.5% from 15.8% in December with the monthly gains driven by lending to wholesale and retail trade, repair of wholesale and retail trade, repair of motor vehicles and motorcycles (16.5%), financial and insurance activities (26.5%); manufacturing (14.8%); real estate activities (10.7%); electricity, gas, steam and airconditioning supply (11.9%); and, construction (45.8%) sectors.
Household consumption loans also slowed down to 12.7% in January from a 13.6% in December along with loans from the professional, scientific and technical sector which contracted 13.2%.
“The deceleration in credit card loans and motor vehicle loans as well as the contraction in salary-based general purpose consumption loans offset the expansion in other types of household loans during the month,” BSP explained.
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