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New corporate lending contracts rise and fall

The value of new contracts Hungarian banks signed with non-financial companies in April rose for forint-based loans but fell for euro-based ones compared to March, fresh data from the National Bank of Hungary published on Friday show.

The value of new HUF-based corporate loans rose to HUF 183.8 billion in April from HUF 141.1 billion in March, but was still well under the HUF 211.0 billion in contracts signed in the same month a year earlier. Contracts for loans up to the equivalent of €1 million came to HUF 64.1 billion. Contracts for bigger amounts were worth HUF 109.9 billion.

The average corporate lending rate for HUF-based loans was 11.63bp in April, down 27bp from March. The average rate for loans up to €1 million was 12.43% and the average rate for bigger loans was 11.05%.

The value of new forint overdrafts in April fell to HUF 780.6 billion from HUF 793.1 billion in March and was well under the HUF 827.2 billion value in April 2008.

The value of new EUR-based loan contracts fell to HUF 201.8 billion in April from HUF 227.5 billion in March, but was higher than the HUF 160.2 billion level twelve months earlier. The value of contracts up to €1 million within new loans came to HUF 21.2 billion, and the value of contracts over €1 million was HUF 92.8 billion.

The average corporate lending rate for EUR-based loans was 4.57% in April, practically unchanged from March. The average rate for loans up to €1 million was 4.82% and the rate for bigger loans was 4.52%.

The value of euro overdrafts fell to HUF 201.8 billion in April from HUF 227.5 billion in March, but was over the HUF 160.2 billion in April 2008.

The value of new fixed corporate deposits in forints fell sharply to HUF 1,765.3 billion in April from 1,986.8 billion in March - perhaps as the consequence of dividend payments - but exceeded the HUF 1,671.9 billion amount twelve months earlier.

The average deposit rate for fixed deposits was 9.12% in April, up a slight 14bp from March.

The value of new fixed corporate deposits in euros also showed a steep drop to HUF 742.9 billion in April from HUF 900.9 billion in March. The value in the same month a year earlier was HUF 759.2 billion.

The average rate paid on fixed deposits was 1.82% in April, little changed from the previous month. (MTI-ECONEWS)