Demand for business loans is consolidating, a rare sign of improving times for banks. The Australian Bureau of Statistics said the trend series for the value of commercial finance commitments increased 1.4 per cent in August from July.The level of business loans funded has now exceeded $30 billion for each of the last seven months, following a run of six months where the level was less than $30 billion.August was the highest level of business lending, on a trend basis, since May 2008.Personal finance loans, however, were three per cent lower in August. Housing finance for owner occupiers fell 1.9 per cent.In a summary of business conditions in its monthly minutes yesterday, the Reserve Bank of Australia said that "surveyed business conditions remained below average, although business confidence had increased noticeably to around long-run average levels.""Some trade-exposed firms reported an improved outlook in the bank's liaison, in part owing to the depreciation of the exchange rate over recent months. "While this was generally yet to translate into concrete plans for higher investment spending or employment, members noted that there had been an improvement in prospects for investment in the tourism sector."The cost of finance for big business borrowers may also be on the wane.The RBA also commented on "strengthened global corporate bond markets in September, particularly in the United States."It said "conditions in Australian bond markets were stronger too, with the marginal cost of new long-term debt for the major banks nearing its lows of recent years."