Lenders plant seeds of a recovery
Monthly data on lending finance for the month of May appears to buck the trend of the generally downbeat economic and credit indicators that have become common in recent months.The value of commercial finance loans in May increased by 8.7 per cent over the month, on a seasonally adjusted basis, to A$32.1 billion.Some elements of the commercial finance flow are looking particularly perky.Lending on new plant and equipment, at $1.2 billion for the month (which is not seasonally adjusted), is at the highest level since mid-2008, though a little below the peak in the series in 2006.