Lower lending margins and increased household demand for fixed-rate loans
- Survey of Bank Lending
Overall credit demand from both households and enterprises was approximately unchanged in 2018 Q1. Household demand for fixed-rate loans increased somewhat. Banks expect household credit demand to increase slightly in Q2, particularly for fixed-rate loans. Credit standards for both households and enterprises were broadly unchanged and banks also expect credit standards to remain approximately unchanged ahead. Lending rates for households were reduced slightly, despite higher funding costs. Margins fell on household loans, while margins on corporate loans were virtually unchanged.
In its work on monitoring financial stability in Norway, Norges Bank uses extensive statistics on developments in credit and financial markets. In order to expand the information base, Norges Bank conducts a quarterly survey of bank lending. The survey provides information on changes in the demand for and supply of credit and on changes in banks’ loan terms and conditions. Objective of the Bank Lending Survey