Banks' exposure in real estate down to 5-year low

The exposure of Philippine banks and trust entities to the volatile property segment eased to 19.55 percent of total as of end-September, marking its lowest in five years, according to the Bangko Sentral ng Pilipinas (BSP).

- By KEISHA TA-ASAN

The latest figure was lower compared to end-June's 19.92 percent and last year's 20.55 percent.

This marked the lowest ratio in five years or since the 19.50 percent seen in September 2019.

Based on the data, investments and loans extended by the banking industry to the property sector rose by 4.2 percent to P3.22 trillion in end-September from P3.09 trillion in the same period a year ago.

Broken down, lending rose by 7.6 percent to P2.84 trillion during the nine-month period from P2.64 trillion a year ago.