Bank lending to businesses, consumers sees flat start

Singapore

BANK lending in Singapore extended its malaise into 2016, as weakness across both business and consumer lending translated into flat growth in loans in January from the previous month.

This comes as BMI Research said in a recent report it expects tepid loan growth of just 1.5 per cent for Singapore banks. "Singapore's real estate market is set for another year of price declines in 2016 as a middling macroeconomic outlook, subdued rental demand dynamics, the retention of market cooling measures by the government and central bank, and a gradually tighter credit environment continue to weigh," the report said.