ZAGREB, Jan 15 (Hina) - The third quarter of last year and the beginning of the last quarter saw a continued growth of bank loans granted to other sectors. An increase in deposits, economic revival and the market race of commercial
banks have contributed to the intensive growth of banks' loan activities.
ZAGREB, Jan 15 (Hina) - The third quarter of last year and the
beginning of the last quarter saw a continued growth of bank loans
granted to other sectors. An increase in deposits, economic revival
and the market race of commercial banks have contributed to the
intensive growth of banks' loan activities. #L#
According to Croatian National Bank (HNB) data, loans granted by
commercial banks to the non-banking sector amounted to 94.3 billion
kuna (approx. EUR12.6 billion) at the end of last October. That
month was marked by a 29.4 percent real annual growth rate of
loans.
The rate of growth of loans to citizens grew faster than that of
loans granted to companies.
At the end of the third quarter of last year, the overall amount of
loans granted to citizens was 35.5 percent higher than the amount of
loans at the end of September 2001, while the amount of loans
granted to companies marked a growth of 20.3 percent.
The average interest on long-term loans with a currency clause at
the end of the third quarter amounted to 9.59 percent. Interest on
housing loans to citizens continued dropping in the third quarter
last year, to 7.4 percent.
Interest rates in Croatia are higher than those of other EMU
members, although the difference is closing in, which makes it
possible for foreign banks to make additional profit.
(hina) lml