Latest Credit Sentiment Survey predicts modest increase in demand for credit card, and personal loans
Demand for business loans increased “moderately” in the most recent quarter, with a similar amount of demand expected for the current quarter, according to a UAE central bank survey.
The Q3 Credit Sentiment Survey, a quarterly publication that collections information from all banks and financial institutions extending credit within the UAE, found that more than 60% of survey respondents reported no changes, while around 30% respondents reported modest tightening.
Assessing the current quarter, the survey respondents expected the demand for business loans to increase, and credit standards to continue to remain largely unchanged.
Similar to business loans, demand for personal loans increased slightly in Q3. The survey results suggested a modest increase in demand for credit card, and personal loans.
Consistent with previous quarters, more than 80% of survey results reported that the credit standard to be unchanged across all the categories. In terms of outlook, the credit standards in aggregate were expected to slightly tighten.