Mortgage loans statistics – February 2016

According to statistics released today by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) and commercial real estate loans (CRELs) both witnessed decreases in February 2016. With regard to the outstanding balance, RMLs remained virtually unchanged from the previous month while CRELs increased. New lending approved In February 2016, new RMLs approved by Macao banks decreased 29.5% month-to-month to MOP2.3 billion; of which, 91.8% was extended to residents. In terms of value, new RMLs to residents decreased by 31.9% whereas those to non-residents increased by 17.1%. When compared with the same period of 2015, new approvals of RMLs fell by 57.1%. New RMLs collateralised by uncompleted units (i.e. equitable mortgage) decreased by 14.9% month-to-month to MOP0.7 billion. The equitable mortgage extended to residents, which accounted for 86.4% of the total, dropped by 22.1%. When compared with the same period of 2015, new RMLs collateralised by uncompleted units decreased by 23.2%. New CRELs fell by 49.6% month-to-month to MOP2.7 billion; of which, 87.9% was granted to residents. In terms of value, new CRELs to residents decreased by 55.6% whereas those to non-residents increased from a low comparison base in the previous month by 2,326.5%. The notable increase of the non-resident component was mainly caused by new loans granted to enterprises collateralised by business premises. On an annual basis, new approvals of CRELs dropped by 43.4%. Outstanding balances As at end-February 2016, the outstanding value of RMLs, at MOP174.0 billion, remained virtually unchanged from the previous month but increased by 11.6% from a year ago. The resident component made up 93.7% of the total. Compared to end-January 2016, outstanding RMLs to residents was stable whereas those to non-residents grew by 0.2%. Concurrently, the outstanding value of CRELs increased by 1.0% from end-January 2016 and by 30.0% from end-February 2015 to MOP166.1 billion. Residents accounted for 88.4% of the loans. Compared with one month earlier, outstanding CRELs to residents and non-residents grew 0.6% and 4.1% respectively. Delinquency ratios At the end of February 2016, the delinquency ratio for RMLs was 0.09%, up 0.01 percentage point from a month ago and from end-February 2015. The ratio for CRELs, at 0.02%, remained virtually unchanged from a month ago or was down 0.04 percentage points from a year earlier.