Central Bank of Ireland : Money and Banking Statistics: November 2012

The related data tables  are available in the statistics area of the Central Bank website.

Loans and other credit

• Loans to Irish households decreased at a rate of 3.6 per cent in the year ending November 2012, this follows a decrease of 3.7 per cent for each of the previous three months. Lending for house purchase was 1.6 per cent lower on an annual basis in November, while lending for consumption and other purposes decreased by 9.1 per cent over the same period.
• Lending to households declined by €264 million during the month of November, following a net monthly decrease of €515 million during October. This month-on-month change arises from an increase of €3 million in loans for house purchase, while loans for consumption and other purposes fell by €267 million for November.
• The monthly net flow of loans to households averaged minus €289 million in the three months ending November 2012, which is comprised of average net flows of minus €57 million in loans for house purchase, minus €195 million in loans for consumption purposes, and minus €37 million in lending for other purposes.
• Lending to Irish resident non-financial corporations (NFCs) declined by 3.9 per cent in the year ending November 2012, this follows a decrease of 4.2 per cent for each of the previous two months.
• During November 2012 loans to NFCs recorded an increase of €287 million, only the second monthly increase so far in 2012. The monthly net flow of loans to NFCs averaged minus €175 million in the three months ending November 2012, compared with an average of minus €349 million in the three-month period up to end-October 2012.
• The developments in outstanding loans to NFCs during November 2012 were driven mainly by an increase of €167 million in longer-term loans with an original maturity over five years; this compares to a decrease of €404 million during October 2012. Short-term loans with an original maturity of up to one year, which include the use of overdraft facilities, increased by €133 million during November, while medium-term NFC loans, with a maturity between one and five years, declined by €131 million.
• On an annual basis, NFC loans with an original maturity over five years remained constant over the year to November 2012. Short-term loans to NFCs declined by 0.8 per cent in the year ending November 2012, while medium-term loans declined by 12.1 per cent over the same period.  
• Credit institutions' holdings of debt and equity securities issued by the Irish private sector declined by €192 million during the month of November 2012, with an annual rate of change of minus 5.5 per cent. This follows a decline of 5.2 per cent for the year ending October 2012. Developments in holdings of private-sector securities continue to be dominated by holdings of debt securities issued by Other Financial Intermediaries (OFIs), primarily asset-backed securities issued by special purpose vehicles (SPVs).

Deposits and other funding

• Irish resident private-sector deposits rose at an annual rate of 2.2 per cent in November 2012, this follows a 2.4 per cent increase in the year ending October 2012. Deposits from households were 1.4 per cent higher on an annual basis at end-November, while deposits from Insurance Corporations and Pension Funds (ICPFs) and OFIs increased by 6.8 per cent. Deposits from NFCs fell by 1.5 per cent over the same period.
• There was a month-on-month decrease of €1,603 million in Irish resident private-sector deposits during November 2012.  This was driven by decreases across three of the four depositor sectors. Deposits from OFIs decreased by €235 million, NFC deposits fell by €1,137 million and deposits from Irish resident households decreased by €314 million during the month. However, deposits from ICPFs increased by €82 million over the month of November.
• Private-sector overnight deposits decreased by €522 million during November 2012, largely reflecting developments in the NFC sector where overnight deposits fell by €467 million. Overnight deposits from OFIs and households also declined during November, by €267 million and €4 million, respectively. Meanwhile overnight deposits from ICPFs rose during the month by €216 million.
• Deposits with agreed maturity up to two years fell by €989 million in November 2012, mainly reflecting a decrease of €660 million in the NFC sector and €234 million in the ICPF sector. Household and OFI deposits in this category showed more moderate decreases of €56 million and €39 million, respectively.
• Deposits of over two year agreed maturity rose by €87 million during November.  Meanwhile deposits redeemable at notice up to three months also declined over the month (€171 million). These overall developments across the deposit categories are somewhat different to what occurred earlier in the year, particularly for households and NFCs. In most recent months the shift into more liquid deposit categories would suggest the need to support consumption and spending decisions. Earlier in the year, transactions across the deposit categories were more influenced by the relative pricing of deposit products.
• Private-sector deposits from non-residents declined by €1.7 billion during November 2012. Other euro area private-sector deposits rose by €80.9 million, while private-sector deposits from non-euro area residents fell by €1.8 billion over the month. Total non-resident private-sector deposits had fallen by 6.8 per cent on an annual basis at end-November 2012, with deposits from other euro area private-sector entities being 10.6 per cent lower, and those from the non-euro area private sector being 4.2 per cent lower.
• Credit institutions' borrowings from the Central Bank as part of Eurosystem monetary policy operations fell by €6.4 billion in November 2012. The outstanding stock of these borrowings from the Eurosystem by Irish resident credit institutions amounted to €78 billion at end-November. Domestic market credit institutions accounted for €65.7 billion of this total outstanding stock. 
• A number of credit institutions have issued debt under the Eligible Liabilities Guarantee scheme and have retained the bonds concerned for their own use. For methodological reasons these are not included in the Money and Banking Statistics tables. At end-November 2012, the outstanding amount of these bonds was €3 billion.

Money and Banking statistics are compiled in respect of business written out of all within-the-State offices of both credit institutions authorised to carry on banking business in the State under Irish legislation and credit institutions authorised in other Member States of the EU operating in Ireland on a branch basis.  Credit institutions authorised in other EU Member States operating in Ireland on a cross-border basis, i.e. with no physical presence in the State, are not included in the statistics. A full list of Credit Institutions resident in the Republic of Ireland is available on the Central Bank of Ireland website. Recent data are often provisional and may be subject to revision. The extensive set of Money and Banking Statistics tables are also available on the Central Bank website, along with the detailed Money and Banking Explanatory Notes.

Domestic market credit institutions are those who have a significant level of retail business with Irish households and NFCs, and would exclude the more internationally focused banks in the IFSC.  A full list of these institutions is available in the Credit, Money and Banking section of the Statistics portal of the Central Bank of Ireland website.