The outstanding loans of universal and commercial banks (U/KBs), net of reverse repurchase (RRP) placements with the Bangko Sentral ng Pilipinas, grew by 7 percent year-on-year in December 2023, the same rate of increase a month prior. On a month-on-month seasonally-adjusted basis, outstanding universal and commercial bank loans, net of RRPs, increased by 0.3 percent.
Outstanding loans to residents, net of RRPs, went up by 7.3 percent in December from 7.4 percent in the previous month, while outstanding loans to non-residents decreased by 2.8 percent in December from a decline of 5.0 percent in November.
Outstanding loans for production activities rose by 5.5 percent in December from 5.7 percent in November, driven largely by the expansion in lending to key industries such as real estate activities (10.9 percent); wholesale and retail trade, and repair of motor vehicles and motorcycles (7.2 percent); and electricity, gas, steam, and airconditioning supply (6.2 percent).
Consumer loans to residents increased by 23.5 percent in December from 23.6 percent in November, due to the increase in credit card loans, motor vehicle loans and salary-based general purpose consumption loans.
Preliminary data also show domestic liquidity (M3) grew 5.9 percent year-on-year to ₱17.4 trillion in December from 7 percent the previous November. On a month-on-month seasonally-adjusted basis, M3 increased by 0.4 percent.
Domestic claims expanded by 9.0 percent year-on-year in December from 9.7 percent (revised) in the previous month. Claims on the private sector grew by 8.5 percent from 8.3 percent (revised) with the sustained expansion in bank lending to non-financial private corporations and households. Net claims on the central government also rose by 14.2 percent from 17.3 percent (revised) with the decline in the deposits of the National Government with the BSP.
Net foreign assets (NFA) in peso terms rose by 4.3 percent year-on-year in December from 3.2 percent in November. The BSP’s NFA grew by 7.4 percent. The NFA of banks contracted on account of lower interbank loans receivable.
