Loans to non financial corporations 2021Jun
Published on the 27th of July 2021
Equipment loan remains dynamic
- The annual growth rate of outstanding loans to non-financial corporations rises by 3.5% in June, after 4.5% in May. This smaller increase reflects a base effect, linked to the strong increase in outstanding loans in spring and summer 2020. However, the level of credit remains high: +14.9% compared to pre-crisis levels two years ago.
- The base effect of PGEs is particularly visible on treasury loans, whose annual growth rate is contracting over one year (-0.3%, after +3.0% in May), while remaining high over two years (+29.0%). Changes in outstanding treasury loans are close to zero as banks have extended many PGEs over one year.
- Investment loans remain close to the dynamics of the previous months (+4.9%, after +4.8% in May): continued growth of the real estate component (+4.7%, after +4.5% in May) and near stability of the equipment component (+5.0%, after +5.1% in May) with a monthly flow of EUR 2.8 billion, which exceeds the 5-year average (EUR 2.5 billion).
(Outstanding amounts in EUR Bn, annual growth rates in %)
| Annual growth rate | |||||||
| End-of-month level | Over one year | Over two years | |||||
| Jun-2021 | Apr- 2021 | May-2021 | Jun-2021 | Apr- 2021 | May-2021 | Jun-2021 | |
| Total | 1,208 | 7.5 | 4.5 | 3.5 | 16.3 | 15.4 | 14.9 |
| Investment | 824 | 5.0 | 4.8 | 4.9 | 11.2 | 11.0 | 10.8 |
| Equipment | 508 | 5.4 | 5.1 | 5.0 | 13.0 | 12.7 | 12.6 |
| Real estate | 316 | 4.2 | 4.5 | 4.7 | 8.5 | 8.3 | 8.0 |
| Treasury | 316 | 14.2 | 3.0 | -0.3 | 32.0 | 29.9 | 28.9 |
| Other lending | 68 | 8.3 | 7.5 | 5.0 | 13.6 | 11.8 | 9.1 |
Monthly changes in stocks of equipment loans (seasonally adjusted flows) ![]()
(Monthly flows in EUR Bn)
Monthly changes in stocks of treasury loans (seasonally adjusted flows *) ![]()
(Monthly flows in EUR Bn)
* Seasonal adjusted monthly net flows of other lending to NFC are allocated to treasury loans in proportion to the outstanding amounts.
Source et réalisation : BANQUE DE FRANCE - DIRECTION GÉNÉRALE DES STATISTIQUES, DES ETUDES ET DE L'INTERNATIONAL
Additional information
Growth over 2 years of the outstanding amounts of loans to NFCs
Non-financial corporations include all companies whose main activity is the production of goods and non-financial services. excluding sole proprietor and unincorporated partnerships.
Calculations are made with the aim to give the best possible image of the evolution of the lending activity:
- Loans that have been securitized or sold by credit institutions are considered as remaining in their books
- Accounting changes that are not reflecting economic transactions. in particular write-offs/write-downs. are eliminated
- The impact of statistical modifications in the scope of the MFI sector (e.g. the reclassification of an entity from the non-financial corporations sector to the government sector) is also eliminated
- As FX hedges are unknown. loans in foreign currencies are however taken into account at their face value in Euros at the end of the month
The two-year growth rate is the ratio of the outstanding amount in month m to the outstanding amount in month m-24. Therefore this rate is not annualized.
Calculations are made with the aim to give the best possible image of the evolution of the lending activity:
- Loans that have been securitized or sold by credit institutions are considered as remaining in their books
- Accounting changes that are not reflecting economic transactions. in particular write-offs/write-downs. are eliminated
- The impact of statistical modifications in the scope of the MFI sector (e.g. the reclassification of an entity from the non-financial corporations sector to the government sector) is also eliminated
- As FX hedges are unknown. loans in foreign currencies are however taken into account at their face value in Euros at the end of the month
The two-year growth rate is the ratio of the outstanding amount in month m to the outstanding amount in month m-24. Therefore this rate is not annualized.
Download the PDF version of the document
CRE_SNF_2238_en__SI_credit_SNF_202106_EN.pdf
Updated on the 26th of August 2021