Euro zone corporate lending growth slows to near zero in September

 

European Union flags flutter outside the European Commission headquarters in Brussels, Belgium, June 4, 2015. REUTERS/Francois Lenoir

Growth in lending to eurozone corporations slowed almost to a halt in September while a broader measure of money circulating in the euro zone was unchanged, the European Central Bank said on Tuesday.

Lending growth to non-financial corporations slowed to an annualised 0.1 percent in September from 0.4 percent a month before, while lending growth to households picked up to 1.1 percent in September from 1.0 percent in August.

Sparse lending to companies has dogged the struggling euro zone economy although the picture improved slightly over the summer months before September’s dip.

The ECB last week raised the prospect of providing more monetary stimulus to the euro zone economy, possibly as soon as December, to boost inflation and growth.

The M3 measure of money circulating in the euro zone, which is often an early indicator of future economic activity, grew by 4.9 percent in September, unchanged from August and missing forecasts for 5.0 percent. (Reuters)