According to statistics released today (10 May) by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) rose whereas those of commercial real estate loans (CRELs) decreased month-on-month in March 2024. With regard to the outstanding balances, both RMLs and CRELs witnessed declines on a monthly basis.
New lending approved
In March 2024, new RMLs approved by Macao banks rose by 31.7% month-on-month to MOP904.10 million. Of which, new RMLs to residents, representing 99.9% of the total, grew by 35.6% to MOP902.90 million; the non-resident component dropped to MOP1.20 million. The monthly average of new RMLs approved between January and March 2024 was MOP928.12 million, down 0.9% from the previous period (December 2023 to February 2024).
New CRELs decreased by 24.6% month-on-month to MOP713.57 million. Within this total, new CRELs to residents, which occupied 88.7% of the total, fell by 32.6% to MOP633.23 million; new CRELs to non-residents grew to MOP80.34 million. The monthly average of new CRELs approved between January and March 2024 was MOP1.03 billion, down 4.8% from the previous period (December 2023 to February 2024).
Outstanding balances
As at end-March 2024, the outstanding value of RMLs fell by 0.2% month-on-month or 3.7% year-on-year to MOP227.29 billion, attributable to the repayment of loans with large denomination. Of which, the resident component made up 95.4% of the total. When compared with the previous month, outstanding RMLs to residents dropped by 0.3% whereas those to non-residents increased by 1.6%.
The outstanding value of CRELs was MOP157.81 billion, which decreased by 0.2% from the preceding month or 2.6% from a year ago. Of which, the resident component made up 93.4% of the total. When compared with the previous month, outstanding CRELs to residents fell by 0.3% whereas those to non-residents rose by 0.1%.
Delinquency ratios
At the end of March 2024, the delinquency ratio for RMLs rose to 3.6%. The ratio for CRELs remained at 3.4% from the previous month, but up 2.3 percentage points from end-March 2023.
Residential mortgage loans refer to credit facilities provided by banks to individuals and enterprises that are collateralised by residential real estate in Macao. They include loans to finance purchase of residential properties and other purposes (such as refinancing loans, working capital and trade financing). Commercial real estate loans refer to credit facilities provided by banks to individuals and enterprises that are collateralised by commercial real estate in Macao. They include loans to construction companies and loans to finance property development and investment.