It is becoming more difficult for companies to get new loans. 29.2 percent of those companies that are currently negotiating reported reluctance on the part of banks in September. In June it was only 21.3 percent. This emerges from the surveys by the ifo Institute. “The banks are gradually increasing loan interest rates and are becoming more cautious about lending,” says Klaus Wohlrabe, head of the Ifo surveys.
“In economically weaker phases, companies also have to contribute more to securing loans,” he adds. The increase in the ifo credit hurdle was primarily due to service providers (from 21.8 to 31.5 percent) and to industry (from 20.7 to 27.7 percent). Among manufacturers of electrical equipment, almost 40 percent of companies report reluctance from banks. In mechanical engineering the share is 31.6 percent. Due to the difficult situation in housing construction, banks are also cautious about companies in the real estate and housing sector (31 percent). In the events industry the proportion is around 35 percent.
In retail, the share also rose from 20.5 to 28.2 percent. The economic situation of many retailers remains difficult due to the reluctance to buy. This is also reflected in the lending conditions. The same applies to the construction industry, where 29.4 percent (after 26.9 percent in June) reported restrictive lending. Only in wholesale there was a decline from 22.6 to 20.2 percent.
Textquelle: ifo Institut
Graphic source: ifo Institute
2023-10-31 02:05:49
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