Overdue loans in small and medium-sized enterprises recedes 0.3 p. P. compared to October, standing at 18.5% in late November

The credit extended by the financial sector in Portugal decreased in November, show figures now published by the Bank of Portugal (BoP). According to the supervisor, corporate borrowing fell 2.2% compared to November 2014 and loans to households decreased by 2.3%. Already in monthly terms, the bop identifies a decline of 0.2 points in lending to companies in November 2015 from the previous month. If the opposite of what was found in lending to households, which rose 0.1 percentage points compared to October.

Looking disaggregated for loans to non-financial corporations, the central bank noted that the annual rate of change (TVA) of loans to large companies “stood at -2.9%, while TVA of small and medium companies the -2.6% of value. ” In both cases the figures represent monthly decreases of 0.2 pp “Conversely, the TVA of loans to exporters private companies showed an increase of 0.2 p. P. for the previous month, standing at 1.9%. ”

Bad debt.

The Bank of Portugal pointed out that in November “the overdue loans of non-financial corporations” was 16.4%, “which represents a reduction of 0.2 percentage points compared to October.” But this is the global figure for all companies.

“The percentage of companies with overdue loans decreased 0.4 percentage points from the previous month, standing at 30%,” also stresses the statement.

Going into greater detail on the data released by the central bank, it is noticed that there was different behavior with regard to credit in November: “By size of company, the overdue loans ratio for large companies was 7.0%,” which represents ” an increase of 0.5 percentage points from the previous month. ”

Also in the “exporting private companies” registered an increase of overdue loans by 0.3 percentage points from October to November, rising to 6.2% non-performing loan ratio in this business segment.

Already in the small and medium enterprises the level of compliance increased. “Presented for this indicator a 18.5% value,” ie, “a reduction of 0.3 p. P. compared to October. ”

Also the families living in Portugal increased their degree of compliance credits during November. According to the BoP, “the overdue loans ratio for households stood at 5.2%” at the end of November, down 0.1 percentage points compared to October.

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