According to statistics released today by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) rebounded whereas commercial real estate loans (CRELs) dropped in August 2012. With regard to outstanding balance, both RMLs and CRELs witnessed increases.

New Lending Approved

In August 2012, new RMLs approved by Macao banks rose 16.6% month-to-month to MOP4.4 billion; of which, 88.3% was extended to residents. In terms of value, new RMLs to residents and non-residents increased 8.9% and 151.0% respectively.

New RMLs collateralised by uncompleted units (i.e. equitable mortgage) rose 43.9% month-to-month to MOP237.3 million. The equitable mortgage extended to residents, which accounted for 91.4% of the total, rose 39.9% while the amount to non-residents grew notably by 108.3%.

New CRELs decreased 64.2% month-to-month to MOP1.8 billion; of which, 97.2% was granted to residents. In terms of value, new CRELs to residents and non-residents declined by 64.7% and 33.0% compared with the previous month.

Outstanding Balances

As at end-August 2012, the outstanding value of RMLs reached MOP88.6 billion, an increase of 2.9% from one month earlier. The resident component made up 92.5% of the total. Outstanding RMLs to residents and non-residents grew by 2.6% and 6.7% respectively.

Concurrently, the outstanding value of CRELs edged up 0.8% from end-July to MOP64.8 billion. Residents accounted for 90.5% of the loans. Compared with one month earlier, outstanding CRELs to residents grew by 0.9% while those to non-residents remained largely unchanged.

Delinquency Ratios

At the end of August 2012, the delinquency ratio for RMLs remained unchanged from end-July at 0.06%. The ratio for CRELs edged up 0.01 percentage point from end-July to 0.09%.