According to statistics released today by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) increased while those of commercial real estate loans (CRELs) decreased in June 2019. With regard to the outstanding balances, both RMLs and CRELs witnessed increases.
New lending approved
In June 2019, new RMLs approved by Macao banks rose by 53.1% month-to-month to MOP6.04 billion. Of which, new RMLs to residents, representing 98.6% of the total, increased by 56.6% to MOP5.95 billion. On the other hand, the non-resident component dropped by 39.4% to MOP86.3 million. The monthly average of new RMLs approved between April and June 2019 was MOP4.2 billion, up by 27.0% from the previous period (March to May 2019).
New RMLs collateralised by uncompleted units (i.e. equitable mortgage) fell month-to-month by 22.5% to MOP464.3 million; of which, the equitable mortgage extended to residents accounted for 94.1% of the total. On an annual basis, new equitable mortgage approved dropped by 16.4%.
New CRELs dropped by 45.0% month-to-month to MOP4.1 billion. Within this total, new CRELs to residents, which occupied 97.4% of the total, decreased by 46.1% to MOP4.0 billion. On the other hands, new CRELs to non-residents grew by 111.0% from a relatively low base to MOP108.6 million. The monthly average of new CRELs approved between April and June 2019 was MOP5.5 billion, down by 3.3% as compared with the previous period (March to May 2019).
Outstanding balances
As at end-June 2019, the outstanding value of RMLs was MOP224.2 billion, up by 1.3% from a month earlier or 13.5% from a year ago. Of which, the resident component made up 93.0% of the total. When compared with the previous month, outstanding RMLs to residents and non-residents increased by 1.3% and 1.4% respectively.
The outstanding value of CRELs was MOP191.3 billion, up by 1.9% month-to-month but down by 2.4% from a year earlier. Residents accounted for 93.7% of the loans. Compared with a month earlier, outstanding CRELs to residents and non-residents rose by 2.0% and 0.7% respectively.
Delinquency ratios
At the end of June 2019, the delinquency ratio for RMLs stood at 0.22%, down by 0.03 percentage points from the preceding month but up by 0.04 percentage points over a year earlier. The ratio for CRELs was 0.28%, up by 0.01 percentage point from a month ago or 0.14 percentage points from end-June 2018.