The number of newly approved credits to small and medium-sized enterprises (SMEs) dropped in the second half (2H) of 2022, a statistic released by the Monetary Authority of Macao (AMCM) has shown.
The new lending approved in the 2H totaled MOP7.5 billion, down 0.5% from the first half (1H) of 2022. The collateralized ratio also dropped 13.6% from the last survey period to 55.1%. The collateralized ratio indicates the proportion between the credit limit and the tangible assets pledged.
The larger share of total loans granted was related to the construction and public works industry sector (40.3%), followed by the wholesale and retail trade (15.3%).
For credit utilization, at end of 2022, the outstanding balance of SME loans totaled MOP85.2 billion, up 1.4% from the end of June.
Compared to the previous survey period, outstanding SME loans to restaurants, hotels and similar grew 11.3%, followed by an increase also in the wholesale and retail trade (5.9%). Moving in the opposite direction were the outstanding loans to transport, warehouse and communications, which decreased 4.0%.
The utilization rate, defined as the proportion of outstanding credit balance to the credit limit granted, rose 3.1% in 2H when compared to 1H, reaching 81% at the end of last year.
Also decreasing in the 2H was the outstanding balance of delinquent SME loans which registered a drop of 19.4% from June 2022 to MOP560.6 million. The delinquency ratio dropped 0.2% from the end of June 2022 to 0.7% at the end of last year.
The delinquency ratio refers to the fraction of delinquent loans to total SME loans outstanding.
