Loans to private sector fall 0.7%

LENDING to the private sector fell for the first time on record in June, according to the latest Central Bank figures.

Private sector credit (PSC) declined 0.7% year-on-year against a revised increase of 0.7% in May. At the end of June 2008 the annual rate of increase in PSC was 14.3%, the bank said.

Residential mortgage lending declined by €62 million in June for the third consecutive month.