Bond subscriptions make up 90% of corporate lending
Photo by Shutterstock.com
Bond subscriptions accounted for more than 90% of banks' net corporate lending in January, according to monthly data released by the National Bank of Hungary (MNB) on its website.
Banks subscribed to HUF 66 billion of corporate bonds during the month; many were issued under the Bond Funding for Growth Scheme of the MNB, which is moving close to its allocation cap.
Banks' net lending to non-financial companies, including the corporate bond subscriptions, came to HUF 71 bln in January.
Corporate lending stock still fell by HUF 136 bln to HUF 11.32 trillion during the month as the stronger forint reduced the FX loan book.
The forint firmed close to 3% against the euro between the end of December and the end of January.
Companies made net withdrawals of HUF 624 bln from their accounts during the month, reducing corporate deposit stock to HUF 13.715 tln.
Richter Shareholders Approve HUF 423/Share Dividend
Liz & Chain Rooftop Bar Debuts Sustainable Cocktails
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
