Business

Singapore bank lending sees fastest growth since 2018, up 1.5% in June: MAS data, Economy News & Top Stories

Singapore (THE BUSINESS TIMES) – Bank lending in Singapore grew 1.5 per cent in June, lifted mainly by stronger demand for business loans, data from the Monetary Authority of Singapore showed on Friday (July 30).

Loans through the domestic banking unit – which captures lending in all currencies but reflects mainly Singapore-dollar lending – were up for the eighth consecutive month to $703.92 billion in June.

The month-on-month loan growth of 1.5 per cent in June was the fastest since March 2018.

Business loans grew at a faster pace in June, up 1.9 per cent to $436.76 billion in June compared with the 0.2 per cent increase seen in May.

This came even as loans to the single largest business segment – building and construction – slipped 0.7 per cent to $151.33 billion.

In particular, loans to financial institutions were up 3.6 per cent to $103.51 billion, while loans to general commerce rose 5.4 per cent to $72.60 billion in June.

Year on year, total business loans were up 2.6 per cent, marking the first time in positive growth territory since July 2020.

Consumer loans extended its growth streak in June, up 0.7 per cent month on month to $267.17 billion, and up 5 per cent year on year.

Housing loans, which make up three-quarters of consumer lending, inched up 0.6 per cent to $206.29 billion in June.

Year on year, total bank lending in June increased by 3.5 per cent, faster than the 1.2 per cent rise in May.

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