According to statistics released today by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) decreased while those of commercial real estate loans (CRELs) increased in April 2019. With regard to the outstanding balances, both RMLs and CRELs witnessed monthly increases.
New lending approved
In April 2019, new RMLs approved by Macao banks dropped by 24.9% month-to-month to MOP2.54 billion. Of which, new RMLs to residents, representing 98.6% of the total, decreased by 23.1% to MOP2.50 billion; the non-resident component also fell by 72.1% to MOP34.8 million. The monthly average of new RMLs approved between February and April 2019 was MOP2.6 billion, down by 19.5% from the previous period (January to March 2019).
New RMLs collateralised by uncompleted units (i.e. equitable mortgage) decreased month-to-month by 22.9% to MOP607.9 million; of which, the equitable mortgage extended to residents accounted for 96.3% of the total. On an annual basis, new equitable mortgage approved dropped by 8.8%.
New CRELs increased by 1.7% month-to-month to MOP4.75 billion. Within this total, new CRELs to residents, which occupied 97.9% of the total, rose by 0.7% to MOP4.65 billion; new CRELs to non-residents also grew by 97.2% from a relatively low base to MOP98.9 million. The monthly average of new CRELs approved between February and April 2019 was MOP4.2 billion, down by 7.4% as compared with the previous period (January to March 2019).
Outstanding balances
As at end-April 2019, the outstanding value of RMLs was MOP219.2 billion, up by 0.2% from a month earlier or 14.5% from a year ago. The resident component made up 93.2% of the total. When compared with the previous month, outstanding RMLs to residents increased 0.3% whereas those to non-residents dropped by 2.1%.
The outstanding value of CRELs was MOP196.7 billion, up by 0.2% month-to-month or 2.5% from a year earlier. Residents accounted for 93.5% of the loans. Compared with a month earlier, outstanding CRELs to residents increased by 0.2% whereas those to non-residents fell by 0.4%.
Delinquency ratios
At the end of April 2019, the delinquency ratio for RMLs stood at 0.25%, up by 0.07 percentage points from the preceding month or 0.04 percentage points over a year earlier. The ratio for CRELs was 0.25%, up by 0.04 percentage points from a month ago or 0.11 percentage points from end-April 2018.