Retail lending increased by 15.8% in the twelve months to the end of June, and was 424 billion higher in the second quarter alone, according to a central bank report released on Friday.
Lending increased at the highest rate in the European Union during the period, National Bank of Hungary (NBH) department head Bálint Dancsik said, presenting the NBH’S latest report on lending trends. Adjusted for the impact of a repayment moratorium, the retail loan portfolio still grew by more than 7%, he added. Housing mortgages came to 364 billion forints in Q2, a new record, as borrowers brought home purchases forward amid the rise in home prices, concerns over inflation and higher interest rates. Almost two-thirds of banks said they expect a further pickup in demand for home loans.