Interest rate on bank loans in MDL fell to new historic low, 8.63 per cent annually

Chisinau, 20 June /MOLDPRES/- The average interest rate on credits in national currency granted by local banks fell in May 2018 to a new record low of 8.63 percent annually, compared to 10.26 percent in the same period last year.
It is for the first time that the interest rate for the financing in national currency falls below 9 percent, according to data by the National Bank of Moldova (BNM) made public today.
Experts believe that the period with relatively low interest rates will continue.
The BNM data also show that with cheaper loans, the amount of bank borrowing increased. Economic agents and people picked up loans worth over 1.6 billion lei in May, up by 35 million lei against the previous month and almost 600 million over the first month of the year. Credits granted on terms of 2 to 5 years were most requested. In May, their share accounted for about 45 percent of the total volume of credits in national currency, being granted at an average rate of 8.14 percent.
The major share of the new credits in national currency, 53.6% of the total volume of credits in national currency, accounted for the financing offered to legal entities with an average rate of 9.32%. At the same time, individuals have contracted credits in MDL with an average rate of 7.82 percent and the average interest on loans for real estate was 7.37 percent. The amount of real estate loans has doubled in the last four months, rising from 74 to 153 million lei.
The average interest rate on new loans granted in foreign currency during the reference period was 4.93%. In May, new loans in foreign currency were mainly represented by credits to legal entities at an average rate of 4.80 percent, accounting for 96.6 percent of total foreign currency loans in amount of 856 million lei.
 
(Reporter V. Bercu, editor A. Răileanu)