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LOANS GRANTED BY CROATIAN COMMERCIAL BANKS ON THE RISE

ZAGREB, Sept 28 (Hina) - The volume of credits granted by Croatian commercial banks to other sectors steadily climbed from the start of 2001 to the end of July when they amounted 68.4 billion kuna, i.e. they were higher by 12.5 percent as against the beginning of this year.
ZAGREB, Sept 28 (Hina) - The volume of credits granted by Croatian commercial banks to other sectors steadily climbed from the start of 2001 to the end of July when they amounted 68.4 billion kuna, i.e. they were higher by 12.5 percent as against the beginning of this year.#L# According to September's bulletin of the Croatian National Bank (HNB), the real trend of the rise came to 1.4 percent a month. Given that a bulk of the loans was indexed to foreign currencies, the real rise in credits was actually 17 percent in the first seven months this year, the central bank's analysts assessed. The volume of loans granted by the commercial banks to companies increased by 12.6 percent and the volume of loans given to citizens by 16.4 percent in the first seven months. Commercial banks' interest rates are still on the fall. Positive interest rates are falling with oscillations, but they are close to nine percent. On the other hand, negative interest rates are steadily falling. The average interest rate on term foreign-currency deposits decreased to 3.87 percent, whereas the average interest rate on term deposits in the kuna fell to 6.07 percent. The difference between positive and negative interest rates has for some time been at the level of six (6) percentage points. (hina) ms

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