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 January 2020. With regard to the outstanding balances, RMLs increased whereas CRELs witnessed a decline.
New lending approved
In January 2020, new RMLs approved by Macao banks fell by 0.4% month-to-month to MOP3.0 billion. Of which, new RMLs to residents, representing 98.5% of the total, rose by 1.5% to MOP2.96 billion. On the other hand, the non-resident component decreased by 55.0% to MOP45.7 million. The monthly average of new RMLs approved between November 2019 and January 2020 was MOP3.1 billion, down by 5.2% from the previous period (October to December 2019).
New RMLs collateralised by uncompleted units (i.e. equitable mortgage) grew by 5.1% month-to-month to MOP503.2 million. On an annual basis, new equitable mortgage approved fell by 62.0%.
New CRELs rose by 0.2% month-to-month to MOP2.45 billion. Within this total, new CRELs to residents, which occupied 98.4% of the total, decreased by 1.2% to MOP2.41 billion whereas those to non-residents increased to MOP39.4 million. The monthly average of new CRELs approved between November 2019 and January 2020 was MOP2.4 billion, down by 35.6% as compared with the previous period (October to December 2019).
Outstanding balances
As at end-January 2020, the outstanding value of RMLs was MOP231.4 billion, which grew by 0.2% from a month earlier or 6.0% from a year ago. Of which, the resident component made up 93.8% of the total. When compared with the previous month, outstanding RMLs to residents rose by 0.3% whereas those to non-residents dropped by 0.7%.
The outstanding value of CRELs decreased by 0.1% month-to-month or 9.0% from a year earlier to MOP178.4 billion, attributable to the repayment of loans with large denomination. Residents accounted for 93.3% of the loans. Compared with a month earlier, outstanding CRELs to residents and non-residents dropped by 0.1% and 0.3% respectively.
Delinquency ratios
At the end of January 2020, the delinquency ratio for RMLs stood at 0.24%, up by 0.01 percentage point from a month ago or 0.08 percentage points over a year earlier. The ratio for CRELs was 0.39%, virtually unchanged from a month ago but up by 0.23 percentage points from end-January 2019.