AIRLINK 189.36 Increased By ▲ 1.33 (0.71%)
BOP 11.10 Decreased By ▼ -0.76 (-6.41%)
CNERGY 7.28 Decreased By ▼ -0.26 (-3.45%)
FCCL 36.65 Decreased By ▼ -1.14 (-3.02%)
FFL 14.95 Decreased By ▼ -0.29 (-1.9%)
FLYNG 26.19 Increased By ▲ 0.66 (2.59%)
HUBC 130.89 Increased By ▲ 0.74 (0.57%)
HUMNL 13.47 Decreased By ▼ -0.14 (-1.03%)
KEL 4.28 Decreased By ▼ -0.07 (-1.61%)
KOSM 6.08 Decreased By ▼ -0.09 (-1.46%)
MLCF 45.94 Increased By ▲ 0.26 (0.57%)
OGDC 201.86 Decreased By ▼ -4.57 (-2.21%)
PACE 6.12 Decreased By ▼ -0.26 (-4.08%)
PAEL 38.36 Decreased By ▼ -1.95 (-4.84%)
PIAHCLA 16.73 Decreased By ▼ -0.22 (-1.3%)
PIBTL 7.94 Decreased By ▼ -0.09 (-1.12%)
POWER 9.86 Decreased By ▼ -0.17 (-1.69%)
PPL 173.46 Decreased By ▼ -5.38 (-3.01%)
PRL 34.73 Decreased By ▼ -1.63 (-4.48%)
PTC 23.95 Decreased By ▼ -0.44 (-1.8%)
SEARL 101.74 Decreased By ▼ -1.42 (-1.38%)
SILK 1.07 No Change ▼ 0.00 (0%)
SSGC 32.70 Decreased By ▼ -3.54 (-9.77%)
SYM 17.93 Decreased By ▼ -0.30 (-1.65%)
TELE 8.14 Decreased By ▼ -0.24 (-2.86%)
TPLP 12.02 Decreased By ▼ -0.14 (-1.15%)
TRG 67.40 Increased By ▲ 0.07 (0.1%)
WAVESAPP 11.80 Decreased By ▼ -0.21 (-1.75%)
WTL 1.52 Decreased By ▼ -0.05 (-3.18%)
YOUW 3.90 Increased By ▲ 0.01 (0.26%)
BR100 11,819 Decreased By -87.9 (-0.74%)
BR30 35,000 Decreased By -554.1 (-1.56%)
KSE100 112,085 Decreased By -478.8 (-0.43%)
KSE30 34,946 Decreased By -148 (-0.42%)

FRANKFURT: The pace of growth in lending to eurozone households and businesses fell back in March, European Central Bank data showed Monday, in a fresh pointer towards slowing growth across Europe.

Overall growth in loans to the private sector inched down to 3.1 percent year-on-year, from 3.2 percent in February, the figures adjusted for some purely financial transactions showed.

Looking in more detail, credit growth to households also slowed by just 0.1 percentage points, to 3.2 percent.

But there was a sharper impact on expansion in lending to non-financial firms, which fell back 0.3 points to 3.5 percent.

The eurozone economy has been weighed down in recent months by uncertainty over multiple risks to the economic outlook, including a trade confrontation with US President Donald Trump's White House and Brexit.

Also sapping confidence has been weaker global trade, in part down to softer performance in important emerging market economies like China -- usually major consumers of European exports.

The gloom has prompted international organisations and the ECB to downgrade growth forecasts for the 19-nation eurozone, with most expecting little more than 1.0 percent expansion this year.

"Risks surrounding the euro area growth outlook remain tilted to the downside," central bank chief Mario Draghi said earlier this month.

In December the ECB ended mass bond purchases designed to prop up growth by pumping cash through the financial system, but has held interest rates at historic lows and continues to reinvest the proceeds from the "quantitative easing" scheme.

Some economists wonder whether the central bank could soon be forced to restart net bond purchases to counter anaemic growth and inflation.

Meanwhile, others are suggesting positive surprises, like a Brexit deal, could help the eurozone bounce back in the second half of the year.

Copyright Reuters, 2019

Comments

Comments are closed.