According to statistics released today by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) and commercial real estate loans (CRELs) both decreased in September 2021. With regard to the outstanding balances, RMLs rose whereas CRELs witnessed a decline.

New lending approved

In September 2021, new RMLs approved by Macao banks dropped by 1.0% month-to-month to MOP3.43 billion. Of which, new RMLs to residents, representing 98.3% of the total, fell by 1.8% to MOP3.37 billion. On the other hand, the non-resident component grew by 91.9% from a relatively low base to MOP58.3 million. The monthly average of new RMLs approved between July and September 2021 was MOP3.7 billion, down by 3.7% from the previous period (June to August 2021). 

New RMLs collateralised by uncompleted units (i.e. equitable mortgage) increased by 27.7% month-to-month to MOP389.8 million. On an annual basis, new equitable mortgage approved dropped by 26.2%.

New CRELs decreased by 19.7% month-to-month to MOP3.09 billion. Within this total, new CRELs to residents, which occupied 95.0% of the total, fell by 22.3% to MOP2.94 billion; new CRELs to non-residents rose to MOP154.5 million. The monthly average of new CRELs approved between July and September 2021 was MOP6.0 billion, a decrease of 21.1% from the previous period (June to August 2021). 

Outstanding balances

As at end-September 2021, the outstanding value of RMLs was MOP237.7 billion, which increased by 0.5% month-to-month or 1.6% from a year ago. Of which, the resident component made up 94.9% of the loans. When compared with the previous month, outstanding RMLs to residents grew by 0.5% whereas those to non-residents dropped by 0.3%.

The outstanding value of CRELs decreased by 3.5% month-to-month or 9.2% from a year earlier to MOP157.9 billion, attributable to the repayment of loans with large denomination. Residents accounted for 93.2% of the loans. Compared with a month earlier, outstanding CRELs to residents fell by 3.8% whereas those to non-residents stayed virtually unchanged.

Delinquency ratios

At the end of September 2021, the delinquency ratio for RMLs was 0.24%, which went down by 0.01 percentage point from the preceding month or 0.02 percentage points from a year earlier. The ratio for CRELs was 0.59%, up by 0.06 percentage points from a month ago or 0.12 percentage points from end-September 2020.