Private Non-financial Sector Credit Growth Up 5.2 Pct In November

 

KUALA LUMPUR, Dec 31 (Bernama) -- Credit to the private non-financial sector grew by 5.2 per cent in November versus 5.1 per cent in October 2024, driven mainly by higher growth in corporate bonds (3.8 per cent; October 2024: 2.6 per cent), according to Bank Negara Malaysia (BNM).

The central bank said in a statement today that growth in business loans was unchanged at 5.4 per cent against October 2024.

“Growth for investment-related loans remained forthcoming, particularly among small and medium enterprise borrowers (9.4 per cent; October 2024: 9.2 per cent),” the central bank added.

Meanwhile, loans for working capital purposes moderated to 3.5 per cent against 3.8 per cent in October 2024.

The central bank added that growth for household loans was sustained at 6.0 per cent (October 2024: 6.1 per cent).

The banking system continued to record healthy liquidity buffers with an aggregate liquidity coverage ratio of 147.9 per cent (October 2024: 146.8 per cent).

The aggregate loan-to-fund ratio remained broadly stable at 83.6 per cent versus 84 per cent in October 2024.

It also said that banking system asset quality remains sound, with overall gross and net impaired loans ratios remaining stable at 1.5 per cent and 0.9 per cent, respectively.

Loan loss coverage ratio (including regulatory reserves) continued to be prudent at 128.1 per cent of impaired loans (October 2024: 126.6 per cent).

-- BERNAMA