Bank Lending Survey (BLS): Q3 2022
25/10/2022 - Press Releases
- The credit standards for loans to non-financial corporations (NFCs) remained unchanged in the third quarter of 2022. The terms and conditions remained also unchanged, while the overall demand for corporate loans increased.
- The credit standards as well as the terms and conditions for loans to households remained unchanged. The demand for consumer credit increased, while the demand for housing loans decreased.
Loans to non-financial corporations
In the third quarter of 2022, the credit standards for loans to non-financial corporations (NFCs) remained unchanged (see Chart 1) compared with the second quarter of 2022, in line with the expectations expressed in the previous quarterly survey round. Moreover, banks expect that credit standards will remain almost unchanged during the fourth quarter of 2022.
The overall terms and conditions for loans to NFCs remained unchanged compared with the second quarter of 2022.
The overall demand for loans to NFCs, both for small/medium as well as for large enterprises, increased (see Chart 2), driven by financing needs for fixed investment and working capital. During the next quarter, the overall demand for loans to both small/medium and large corporations is expected to increase further.
In the third quarter of 2022, the ratio of rejected applications for loans to NFCs remained unchanged compared with the previous quarter (see Chart 3).
Loans to households
In the third quarter of 2022, the credit standards as well as the terms and conditions for loans to households remained unchanged compared with the second quarter of 2022 (see Chart 1), in line with the expectations expressed in the previous quarterly survey round.
The demand for consumer credit increased (see Chart 2), while the demand for housing credit decreased. The reduction in the demand for housing loans was due to the worsening of consumer confidence and to the general level of interest rates. During the next quarter, the overall demand, for housing and consumer loans, is expected to remain almost unchanged.
Banks expect that, during the fourth quarter of 2022, credit standards for housing and consumer loans will remain unchanged.
The ratio of rejected applications for loans to households remained almost unchanged during the third quarter of 2022 (see Chart 3) compared with the previous quarter.
Chart 1 - Credit Standards (Average)
Chart 2 - Demand (Average)
Chart 3 - Share of rejected applications (Average)
Related information:
The next Press Release on the “Bank Lending Survey” for Q4 2022 will be published in January 2023.
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More on the Bank Lending Survey
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