January credit growth hit 2-year high

Bank lending grew at its fastest pace in over two years in January amid the ongoing interest-cutting cycle of the Bangko Sentral ng Pilipinas (BSP).

MANILA, Philippines – Bank lending grew at its fastest pace in over two years in January amid the ongoing interest-cutting cycle of the Bangko Sentral ng Pilipinas (BSP).

Outstanding loans of big banks, net of reverse repurchase placements with the central bank, expanded by 12.8 percent, from 12.2 percent in the preceding month, the BSP reported.

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Data showed that was the quickest loan growth since December 2022.

Broken down, business loans went up by 11.8 percent in January from 10.8 percent before.

Bank lending to consumers grew by 24.4 percent, easing from the 24 percent expansion in December.