According to statistics released today by the Monetary Authority of Macao, on an annual basis, new approvals of mortgage lending continued to increase notably in the first quarter. On outstanding balance, residential mortgage loans (RMLs) rose at a faster pace than commercial real estate loans (CRELs). New Lending Approved For the first quarter of 2010, new RMLs approved by Macao banks increased by 5.4% quarter-to-quarter to MOP7.0 billion; of which, 93.0% was extended to residents. In terms of approved value, new RMLs to residents grew 14.5% whereas those to non-residents fell notably by 48.6%. When compared with the same period last year, new approvals of RMLs surged markedly by 208.3%. After a notable rise of 88.0% in the previous quarter, new CRELs approved decreased by 16.0% quarter-to-quarter to MOP5.3 billion; of which, 95.0% was granted to residents. In terms of approved value, new CRELs to residents and non-residents fell at respective rates of 12.8% and 50.6%. On an annual basis, new approvals of CRELs increased by 164.3%. Outstanding Balances As at end-March 2010, the outstanding value of RMLs reached MOP48.4 billion, an increase of 9.5% from three months earlier or 37.7% from a year ago. The resident component made up 87.6% of the total. Outstanding RMLs to residents grew by 11.3% whereas those to non-residents fell 1.6% during the first quarter of 2010. Concurrently, the outstanding value of CRELs rose 6.3% from end-December 2009 or 11.5% from end-March 2009 to MOP39.3 billion. Residents accounted for 84.6% of the loans. Outstanding CRELs to residents and to non-residents rose 4.1% and 20.1% respectively in the first quarter of 2010. Delinquency Ratios At the end of March 2010, the delinquency ratio for RMLs stood at 0.15%, down 0.04 percentage points from three months earlier or 0.09 percentage points from a year ago. The ratio for CRELs went up 0.11 percentage points from end-December 2009 but down 0.20 percentage points from end-March 2009, to 0.34%.
