The annual growth rate of total credit to Euro Area residents increased to 6.2 per cent in June 2022, up from 6.0 per cent in the previous month, based on official data.

However, the annual growth rate of credit to general government decreased to 8.5 per cent in June from 8.9 per cent in May, while the annual growth rate of credit to the private sector increased to 5.2 per cent in June from 4.8 per cent in May. 

The annual growth rate of adjusted loans to the private sector (i.e. adjusted for loan sales, securitization and notional cash pooling) increased to 6.1 per cent in June from 5.6 per cent in May.

Among the borrowing sectors, the annual growth rate of adjusted loans to households stood at 4.6 per cent in June, unchan ged from the previous month.

ANNUAL GROWTH RATE

However, the annual growth rate of adjusted loans to non-financial corporations increased to 6.8 per cent in June from 5.8 per cent in May.

In terms of broad money M3, the annual growth rate stood at 5.7 per cent in June 2022, compared to  5.8 per cent in May 2022 (revised from 5.6 per cent).  Broad money credit to the private sector contributed 5.1 percentage points (up from 4.7 percentage points in May), while broad money credit to general government contributed 3.5 percentage points (down from 3.7 percentage points),  

Longer-term financial liabilities contributed 0.0 percentage point (up from -0.1 percentage point),  net external assets contributed -1.3 percentage points (up from -1.9 percentage points), while the remaining counterparts of broad money contributed -1.6 percentage points (down from -0.6 percentage point).