Cross-border loans to eurozone show signs of life

The increase seen in Q1 2018 interrupted a downward trend that began at the start of 2016

Cross-border lending by foreign dealers to euro area borrowers increased during the first quarter of the year, reversing a downward trend that began at the start of 2016.

Cross-border borrowings expressed as a percentage of the region’s GDP rose from 19.6% to 20% quarter-on-quarter. In contrast, local lending – by eurozone banks to eurozone borrowers – continued to shrink, falling from 86% to 85.8% of GDP.

The year-on-year percentage change in the volume of cross-border loans to corporates

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