In February 2023, new loans extended¹ (Infographic 1) totalled MDL 3,789.9 million, increasing by 21.2% compared to January 2023. The largest share (63.8%) belongs to domestic currency loans, which accounted for MDL 2,418.2 million increasing by 12.6% compared to the previous month.

Infographic 1. Development in new extended loans

In terms of maturity, loans with maturity ranging from 2 to 5 years recorded the highest demand, having a share of 48.3% in the total amount of extended loans. The share of these loans extended to legal entities accounted for 35.9% in the total amount of extended loans.

Non-financial commercial companies contracted the largest share (73.0%) of new extended loans.

The average nominal interest rate on new domestic currency loans increased by 0.08 percentage points as compared to the previous month and accounted for 14.34%, while the average interest rate on foreign currency loans decreased by 0.05 percentage points, accounting for 5.72%.

In February 2023, individuals received their loans (Infographic 2) in the amount of MDL 666.7 million increasing by 19.3% compared to the previous month, the largest share (72.3%) being extended to consumer loans. The largest share of these loans (MDL 397.9 million) was extended in domestic currency with a maturity ranging from 2 to 5 years.

Infographic 2. New loans extended to individuals

A share of 22.6% of total loans extended to individuals belongs to mortgage loans and was mainly extended in domestic currency (70.4% of total mortgage loans).

The average interest rate on consumer loans extended in domestic currency decreased by 0.28 percentage points and totalled 16.42%, while the average interest rate on domestic currency loans extended for the purchase of residential property decreased by 0.19 percentage points, accounting for 13.02%.

Compared to the previous month, legal entities requested, in the reporting month, more loans not only in domestic currency (+7.3%) but in foreign currency (+39.6%) and in foreign-currency-linked loans3 (+53.0) as well.

The average interest rate on domestic currency loans extended to legal entities (Infographic 3) increased by 0.22 percentage points, reaching 13.67%. At the same time, the average interest rate on foreign currency loans decreased by 0.04 percentage points and accounted for 5.66%.

Infographic 3. New loans extended to legal entities

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Developments in deposits markets in February 2023

Statistical data

Instruction on the compilation and submission of reports on interest rates applied by the banks in the Republic of Moldova, approved by the DEB of the NBM No 331 of 01.12.2016

1. Data presented according to Instruction on preparation and presentation of reports on interest rates applied by banks in the Republic of Moldova, approved by Decision of the Executive Board of the NBM No 331 of 1 December 2016, Official Monitor of the Republic of Moldova No 441-451 of 16 December 2016, as subsequently amended and supplemented.

2. Individuals performing an activity, in accordance with the Instruction on completion by licensed banks of the Report on monetary statistics, approved by the Decision of the Executive Board of the NBM No 255 of 17 November 2011, Official Monitor of the Republic of Moldova No 206-215 of 2 January 2011, as subsequently amended and supplemented, work in associations without legal personality and are producers of goods and/or services for market, and namely, individual enterprises, farms, entrepreneur license holders, notaries, lawyers, bailiffs, etc.

3  Loans foreign-currency-linked, according to the Regulation on the open currency position of the bank, approved by Decision of the Council of Administration of the National Bank of Moldova No 126 of 28.11.1997, Official Monitor of the Republic of Moldova No 112-114/198 of 14.10.1999, with further modifications and completions, refer to the assets which balance, according to the conditions established in the relevant contracts concluded by the bank, shall be modified depending on the evolution of the exchange rate of Moldovan currency against the attached exchange rate.