Business lending market regains momentum in March

John Kavanagh
According to Australian Bureau of Statistics lending finance figures released on Friday, the value of new commercial finance rose 0.4 per cent in March, compared with the previous month (in seasonally adjusted terms).

The market bounced back from a weak February, when commercial finance commitments fell 2.1 per cent.

The A$43.8 billion of commercial finance commitments in March was 6.3 per cent higher than the same time last year.

The Reserve Bank reported that business credit balances grew by 0.2 per cent in March, compared with the previous month, and by 5.3 per cent over the 12 months to Match.

Veda's Business Credit Demand Index, which measures applications for business finance, shows a 7.8 per cent increase in business loan applications during the March quarter.