By Elsa Baxter
Arabian Business poll reveals widespread frustration over lack of loans offered.
More than 60 percent of people who took part in an online poll said they are currently unable to get a loan from their bank.
Some 63.7 percent of respondents to an Arabian Business survey said banks would not lend them cash for any reason.
Banks have tightened their lending amid the global financial crisis, especially for mortgages and large amounts of money.
The poll found that the most popular reason for wanting a bank loan was to buy a car, with 27.4 percent of respondents saying this was the case.
The results are in agreement with an earlier survey in Bahrain, which also found that car loans were the most common form of borrowing.
The survey by the Bahrain Centre for Studies and Research found that 27 percent of respondents wanted cash to buy a car. This was followed by 10 percent who wished to lend to get married.
The Arabian Business poll found that only 5.7 percent of respondents wanted to get a loan to pay for their wedding.
While, just 3.3 percent of people said they wanted to raise credit for an exotic foreign holiday.
Moody's last week applauded moves by the UAE to stimulate bank lending as latest figures showed a big drop in loans in the first half of 2009.
The Central Bank of the UAE (CBUAE) on September 1 announced that it was lowering the interest rate on the liquidity support facilities extended to banks.
The measures were aimed at restarting bank lending in the UAE where banks, particularly in Dubai, have been reluctant to lend despite supportive measures taken by the CBUAE.
Bankers that run Banks seem to forget what a Bank stands for. A bank in simple english is a place that receives deposits, loans those deposits at a calculated RISK! Risk appetite is the key ingredient here, you don't go on a diet when the world needs you! Banks continue to act selfishly in tough times when drastic measures need to be taken and have smooth sailing in normal days. What they should be doing in normal days is have their strategists look into the future and type out a BIG WIN strategy when markets collapse, instead of pretending nothing is happening and act like an ostrich by burying its head in the ground. I know and understand that Banks monies are the very investments of the people who took the heaviest hit in the stock market and financial crash, but its not our fault you took Risks and took a hit this time! I am not angry I am extremely angry at the Banks in our region, this is a time when you can make truck loads of money by being different than the crowd. Banks need to stop making easy money, and start working harder for it, this crisis will prove me right.