SEOUL– Insurers’ household lending grew in the second quarter of this year but at a slower pace from a year earlier amid rising borrowing costs, data showed Wednesday.
Outstanding household loans extended by local insurers had stood at 129.5 trillion won (US$92.9 billion) as of end-June, up 700 billion won from three months earlier, according to the data from the Financial Supervisory Service (FSS).
The amount was higher than the previous quarter’s 300 billion-won increase but much smaller than a 1.7 trillion-won rise tallied the previous year.
The decline came as market interest rates have been on the rise in line with the central bank’s move to raise its policy rate aimed at taming inflation.
Insurers’ home-backed loans grew 500 billion won on-year in the second quarter, while their unsecured loans expanded 100 million won over the same period, the data showed.
Source: Yonhap News Agency