Bulgarian banks gave 9259 new corporate loans in July-September, compared to 9724 in the previous quarter, data from the central bank has showed. Over the same period, households borrowed 103 332 times, down from 121 208 over the previous three months.
The falling number of loans is the first real sign of a weakening credit market as the crisis that tore through the global financial system put lenders on their guard and had them target savers, not spenders.
Corporate and household loans combined topped 47.4 billion leva, growing by an annual 18.6 per cent and 47.5 per cent in the third quarter, respectively, easing from 20.6 per cent and 52.6 per cent annual growth rate in the previous three months.
The real sector was also waiting to see which way the global economy would go and whether the crisis has reached its peak, United Bulgarian Bank executive director Stiliyan Vatev said.
UniCredit Bulbank CEO Levon Hampartzoumian said that banks would not slam on the brakes on lending.
Bankers also said that the credit crunch was making banks more disciplined after the wild euphoria of the boom in recent years.
