• Household loan repayments exceeded drawdowns by €403 million during November 2013, following a net monthly decrease of €472 million in October. Developments in November reflect the decline across all three categories of household loans, loans for house purchase fell by €268 million, while loans for consumption and other purposes fell by €123 million and €12 million, respectively. 
  • On an annual basis, lending to Irish households continued to fall. November 2013 registered an annual decline of 4.3 per cent, representing a slightly larger decline than in October. Loans for house purchase continued to be the main category driving the change, declining at an annual rate of 2.8 per cent. Lending for consumption and other purposes which accounts for approximately 23 per cent of total household lending, declined by 9 per cent over the period.
  • The net flow of loans to households for the three months to end-November 2013 averaged minus €279 million, this compares to minus €282 million for the three months ending October 2013. This comprised minus €195 million in loans for house purchase, minus €81 million in loans for consumption purposes, and minus €4 million in lending for other purposes in the three months to end-November.
  • On a monthly basis, NFC loan repayments continued to exceed drawdowns. Loans to NFCs declined by €238 million (0.3 per cent) in November 2013. This decline was mainly driven by long-term loans over 5 years which fell by €323 million (1 per cent) and medium-term loans between 1 and 5 years which fell by €266 million (1.3 per cent). Conversely, the net flow of short-term NFC loans with an original maturity up to one year increased by €351 million (1.3 per cent) over the month. 
  • Lending to Irish resident non-financial corporations (NFCs) reported a year-on-year decline of 4.9 per cent in November 2013, following a decrease of 4.7 per cent in October. All maturity categories recorded declines over the year. The decline was most pronounced for medium-term loans which fell by 14.4 per cent. Smaller declines of 2.5 per cent and 0.1 per cent were recorded respectively for long-term and short-term loans.
  • The monthly net flow of loans to NFCs averaged minus €278 million in the three months ending November 2013, compared to a twelve-month average of minus €349 million for the period to end-November 2013.
  • Credit institutions' holdings of debt and equity securities issued by the Irish private sector increased by €453 million during November 2013; this marks the first increase in this category in over a year and brings the annual rate of decline to 19.7 per cent compared to a decline of 20.5 per cent for end-October. The increase in holdings of private-sector securities during November 2013 was entirely driven by developments in the holdings of debt securities issued by other financial intermediaries (OFIs), which increased by €453 million over the month, bringing the annual rate of decline in these holdings to 19.9 per cent.
  • Deposits from the Irish resident private sector increased at an annual rate of 8.5 per cent in November 2013, following a rise of 7.6 per cent in October. Annual private-sector deposit developments were primarily driven by OFIs whose deposit holdings with Irish credit institutions increased by 39.4 per cent. NFC deposits also increased over the year to end-November by 9.1 per cent. Meanwhile deposits from insurance corporations and pension funds (ICPFs) and households declined by 7 per cent and 0.8 per cent, respectively over the year.
  • The annual developments in OFI deposits, however, were driven by base effects due to transactions in March 2013 related to the liquidation of the Irish Bank Resolution Corporation (IBRC). IBRC's liability to the Central Bank of Ireland was replaced by a liability to the National Asset Management Agency (NAMA), classified as an overnight deposit. This position will be unwound as the assets which currently remain on the IBRC balance sheet are transferred. Excluding the impact of this transaction, total OFI deposits at end-November would have decreased by 0.2 per cent on an annual basis, and total private-sector deposits would have increased by 0.7 per cent over the year. 
  • There was a decrease of €322 million in Irish resident private-sector deposits during November 2013. This was owing to a fall in deposits from households and ICPFs of €582 million and €115 million, respectively. Meanwhile, OFI and NFC deposits showed increases of €310 million and €65 million over the month.
  • Looking at the maturity breakdown, overnight deposits, which include current accounts, decreased by €629 million in November 2013. This was mainly driven by decreases in the NFC, OFI and household sectors of €224 million, €202 million and €268 million, respectively. Meanwhile, overnight deposits from the ICPF sector increased by €65 million over the month. 
  • Medium-term deposits with agreed maturity up to two years, continued to decline. There was a €238 million fall during November, which reflects decline across three of the four private sector categories. Deposits from OFIs, households and ICPFs showed a fall of €220 million, €212 million and €120 million, respectively. Meanwhile, deposits from the NFC sector registered an increase of €314 million over the month.
  • Deposits with agreed maturity over two years increased by €706 million during November. This was owing to increases in the OFI and household sectors of €752 million and €32 million, respectively. Longer-term deposits from ICPFs and NFCs decreased by €57 million and €21 million, respectively in the month.
  • Looking to annual developments in Irish private sector deposits, medium-term deposits continue to decline, in contrast with the overnight category. In November 2013, deposits with agreed maturity up to two years and over two years registered respective annual declines of 7.7 per cent and 0.5 per cent, while overnight deposits increased by 25.4 per cent over the same period. This decline in longer-term savings probably reflects the low interest rates currently on offer.
  • Developments in non-resident private-sector deposits continued to reflect on-going fragility in investor confidence. Non-resident deposits decreased by €1.3 billion during November 2013, following a €333 million decrease in October. November's decrease reflects decline in deposits from both the non-euro area and the other euro area of €662 million and €606 million, respectively. Deposits from non-euro area residents in the more internationally focussed IFSC banks registered the sharpest decline (€693 million) over the month. In annual terms, private-sector deposits from non-euro area and other euro area residents decreased by 1 per cent and 11.6 per cent, respectively. Credit institutions' borrowings from the Central Bank as part of Eurosystem monetary policy operations fell by €860 million in November 2013. The outstanding stock of these borrowings amounted to €39.7 billion at end-November. The domestic market group of credit institutions accounted for €32.5 billion of this total outstanding stock and current levels represent the lowest level of reliance on central bank funding since August 2008.

Money and Banking statistics are compiled in respect of business written out of all within-the-State offices of both credit institutions authorised to carry on banking business in the State under Irish legislation and credit institutions authorised in other Member States of the EU operating in Ireland on a branch basis.  Credit institutions authorised in other EU Member States operating in Ireland on a cross-border basis, i.e. with no physical presence in the State, are not included in the statistics. A full list of Credit Institutions resident in the Republic of Ireland is available on the Central Bank of Ireland website. Recent data are often provisional and may be subject to revision. The extensive set of Money and Banking Statistics tables are also available on the Central Bank website, along with the detailed Money and Banking Explanatory Notes.

The domestic market group of credit institutions are those who have a significant level of retail business with Irish households and NFCs, and would exclude the more internationally focused banks in the IFSC.  A full list of these institutions is available in the Credit, Money and Banking section of the Statistics portal of the Central Bank of Ireland website.

distributed by