Bank deposits surged again in January with Irish households increasing their savings by an extra €1.9bn or €61m every day.
Level 5 restrictions further reduced consumer spending while commercial lending recorded a sharp decrease.
Figures from the Central Bank show household deposits have reached another record high of €126.4bn continuing a trend that began almost 12 months ago when Covid-19 restrictions came into effect.
However, the Central Bank said the trend was amplified in January given the strict lockdown in place.
In annual terms, household deposits recorded a net inflow of €15.1bn or 13.5%. Overnight deposits, which include current accounts, were the driver of the monthly and annual increases in household deposits.
In January, credit card debt and overdraft loans also fell.
Over the course of the past year, repayments on consumer loans exceeded new lending by €747m or 5.9%, marking the most negative annual growth rate since December 2014.
In their update, the Central Bank notes that the fall in consumer and other household lendings would have been larger if it was not for the agreement of payment breaks.
The data also shows that loans for house purchases decreased by €111m in net terms over the month. In annual terms, the growth rate in January continued on a downward trend, but remained positive, at 0.8%, down from 1.9% a year earlier.
Net lending to non-financial corporations (NFCs) also fell in January, contracting by €132m. On an annual basis, loans to NFCs declined by €1.4bn or 3.6%, mainly driven by short-term loans.
Deposits from NFCs turned negative in January but on an annual basis, NFC deposits increased by €12.3bn, resulting in an annual growth rate of 20.4%.