The trend of private lending in October 2023 was due to a 2.2% increase in local currency lending and a 11.8% rise in foreign currency lending.
In real terms, private lending fell 2.8% in October, amid a 5.5% decrease in local currency lending and a 10.6% increase in foreign currency lending expressed in euros.
Compared to September 2023, private lending edged up 0.2% in nominal terms (-0.4% in real terms) in October 2023. Local currency lending, accounting for 68.3% of the total private lending, inched up 0.6%, while foreign currency lending expressed in lei edged down 0.6% (-0.5% when expressed in euros).
The biggest annual growth rate was recorded in October 2023 by foreign currency loans contracted by companies (+18.7% to RON99 billion), while local currency loans contracted by companies (non-financial companies and non-monetary financial institutions) inched up 1.1% to RON109 billion.
On the household loan segment, loans in lei advanced 3% year-over-year to RON151 billion in October 2023, while foreign currency loans decreased by 11% on the year to RON22 billion.
Government credit dropped by 2.5% to RON184 billion in October 2023 compared to September 2023 and increased by 10.7% (2.4% in real terms) compared to October 2022.
Deposits of non-government resident customers inched down 0.1% to RON533 billion in June 2023 compared to May 2023, but grew by 10.8% versus June 2022 (+0.5% in real terms).
Household and corporate deposits advanced 11.7% (+3.4% in real terms) on the year to RON548 billion in October 2023, with RON-denominated deposits accounting for 68.7%. Compared to September 2023, the total volume of deposits denominated in lei and foreign currency edged up 0.1% in October 2023.
Compared to October 2022, RON-denominated deposits climbed 20.6% to RON376 billion (+11.6% in real terms) due to a 24.8% increase in household deposits, up to RON206 billion. On the corporate segment, RON-denominated deposits saw a 15.9% surge to RON170 billion.
Foreign-currency- denominated deposits shrank 3.8% to a total RON171 billion due to a 4% decrease in household deposits and a 3.5% slump in corporate deposits.