Lending activities of the Philippines’ large banks grew faster yet again for the eighth straight month as economic activities gained traction amid fewer COVID-19 cases, which enabled the easing of mobility restrictions.
Preliminary data at the Bangko Sentral ng Pilipinas (BSP) for March transactions show that outstanding loans of universal and commercial banks—net of short-term loans to the BSP—increased by 8.9 percent, slightly faster than the February rate of 8.8 percent.
Month-on-month, lending by universal and commercial banks in March grew by 0.2 percent over the February volume.
“Lending activity has gained further traction as the country’s improved COVID-19 caseload continues to support market confidence,” the BSP said in a statement.
The growth of outstanding loans to residents, net of short-term loans, showed the same numbers, picking up pace at 8.9 percent compared to 8.8 percent in February.
The BSP attributed this to the continued expansion of loans for production activities, which grew by 9.5 percent in March.