Lending in the economy falls, business "stays away" from borrowing in foreign currency

2024-08-30 09:39:53Biznes SHKRUAR NGA REDAKSIA VOX

Lending in the economy falls, business "stays away" from borrowing in

The credit for the economy reached 798.3 billion ALL at the end of July this year according to the latest data of the "Bank of Albania". Meanwhile, in June it registered a total of 795.9 billion ALL. So, in the time frame of one month, the loan is about 0.3% higher, with an addition of 2.3 billion ALL.

Compared to July of last year, the loan this year is 13.3% higher, with an addition of nearly 93 billion lek or nearly 900 million euros. This increase is mainly attributed to the expansion of lending to "Other financial corporations".

On the other hand, credit for business has also seen a slight improvement. From ALL 447.3 billion in June, it was added ALL 99 million in July, reaching about ALL 447.4 billion. Compared to the same period last year, business loans have increased by about 12.9%.

But how is the loan presented according to the currency? From the data of the "Bank of Albania" it seems that the loan in foreign currency has decreased. In July, loans in foreign currency for businesses decreased by 0.3%, while loans in Lek registered a modest increase of 0.4%, compared to June

If we extend the analysis to the time frame of one year, we see that the loan for businesses in foreign currency has increased by 10.4% in July of this year, compared to July of 2023, while in the local currency there has been a strong increase of 15.7%.


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