Loans from universal and commercial banks (U/KBs) grew year-on-year by 11.4 percent in September from 11 percent in August, reflecting sustained credit demand from businesses and consumers.

Outstanding loans to residents,which account for the bulk of total bank lending, expanded by 11.7 percent year-on-year in September.

Loans for business activities of resident enterprises grew by 11 percent in September due to increased lending to key sectors: electricity, gas, steam, and air-conditioning supply; manufacturing; real estate activities; transportation and storage; wholesale and retail trade, and repair of motor vehicles and motorcycles; and financial and insurance activities.

Consumer loans to residents also increased by 16.2 percent in September due in part to the sustained expansion in credit card and motor vehicle loans.

The BSP monitors bank lending as it serves as a key monetary policy transmission channel. Bangko Sentral ng Pilipinas