New residential loans down 32% in October

New approvals of residential mortgage loans and commercial real estate loans both decreased in October, according to statistics from the Monetary Authority of Macao. Outstanding balances for residential loans dropped, whereas those for commercial loans increased.

New residential loans approved by Macau banks dropped by 32.2% to MOP2.33 billion, and the non-resident component also decreased to MOP1.6 million. The monthly average of new residential loans approved between August and October was MOP3.1 billion, down by 16.2% from the previous period (July to September).

New residential loans collateralized by uncompleted units, such as equitable mortgages, fell by 47.6% to MOP204.4 million. On an annual basis, new equitable mortgage approvals dropped by 41.5%.

New commercial real estate loans fell by 36.6% to MOP1.96 billion in October. Within this total, new commercial loans to residents, which comprised 99.1% of total loans, decreased by 33.8% to MOP1.95 billion. New commercial loans to non-residents also dropped to MOP16.9 million. The monthly average of new commercial loans approved between August and October was MOP3 billion, a decrease of 50.5% from the previous period. Staff reporter