The Central Bank of Bosnia and Herzegovina (CBBiH) has published the results of surveys on the credit activity of the citizens of our country for the first three months of 2022.
The survey questionnaire contained 16 standard questions on realized and expected changes on the supply and demand side of loans: 4 questions related to future and 12 questions on realized changes. The questions covered three categories of loans: loans or loan lines to companies, housing loans to households; and consumer and non-purpose loans.
In the first quarter of 2022, there was a slight tightening of loanstandards for corporate loans (net percentage -14%). The slight tightening of credit standards refers to the approval of short-term as well as long-term loans to companies, according to the CBBiH.
Also, there was a slight change in the conditions for granting loans to companies, and they are connected to the interest rate network and collateral requirements. The net percentage for interest margin and collateral requirements was -14%. Other conditions for granting loans to companies remained unchanged compared to the previous quarter. The share of rejected applications for loans to companies also increased slightly compared to the previous quarter.
The company’s demand for loans and/or loan lines continued to grow in the first quarter of 2022, with a slightly larger increase in demand for short-term than long-term loans, according to the results of the CBBiH survey.
”According to bank reports, risk appetite, loan resource costs,and balance sheet restrictions have affected this easing of standards, while other factors have remained unchanged and have not affected credit standards applied in granting loans to households,” added the CBBiH.
Banks reported that in the first quarter of 2022 there was an increase in household demand for loans, which is in line with expectations from the previous round of reporting. The increase in demand for housing loans is very pronounced, while the increase in demand for consumer and non-purpose loans is slightly lower.
Based on questions about expectations, banks predict that there will be no change in standards for housing loans, while for consumer and non-purpose loans, loan standards are expected to ease in the second quarter of this year, the CBBiH added.
E.Dz.
