Credit extended to the public by lending institutions grew at their strongest levels for some time according to data release by Bank of Jamaica in its first quarterly report for this year. For the March 2013 quarter, the stock of credit to the private sector grew by 5.3 per cent relative to the December 2012. This outturn was above the expansion of 3.8 per cent recorded for the corresponding quarter of 2012 as well as the average growth of 1.9 percent for the last five March quarters, the central bank stated.
Within private sector credit, loans & advances grew by 6.3 per cent for the review quarter. This pace of expansion was stronger than the average growth of 1.9 per cent for the last five March quarters. The growth in loans & advances for the March 2013 quarter reflected an expansion of 6.8 per cent in local currency denominated loans, the impact of which was partially offset by net repayment of 1.3 per cent in foreign currency loans.
Loans and advances extended to businesses grew by 5.3 per cent for the review quarter. This performance represented the strongest rate of quarterly growth since the December 2011 quarter, when there was an expansion of 7.3 per cent in business lending the reported concluded.
Lending net of repayment was $17.5803 billion in the March 2013 quarter and $9.2454 billion in the March 2012 quarter and in the December quarter $8.0527 billion.
