30 Sep 2010

Domestic revival still weak

8:28 am on 30 September 2010

Latest figures indicate the domestic revival remains weak.

The pace of contraction in business lending declined slightly, with Reserve Bank figures showing that companies borrowed $72.3 billion in August, a decrease of 7% on the same month a year ago.

The pace of agricultural lending increased by 2% to $47.9 billion.

Seasonally adjusted total household lending rose more than 2% to $181.3 billion in August, but it was the lowest increase since the series began in 1991.

The rise reflects demand for housing credit, offsetting a fall in consumer financing.