Fall in lending ‘hinders recovery’

The rate of lending by Irish banks is continuing to decline and hinder the recovery of the Irish economy, according to Merrion economist Alan McQuaid.

Mr McQuaid was speaking following the publication of figures from the Central Bank, which showed that loans to households declined at a rate of 4.1% year-on-year in December, compared with an annual fall of 4.3% in November.

“The credit data remain the most disappointing as regards Ireland’s recovery story.