TOKYO (MNI) – Japanese corporate demand for financing via bank
loans marked the first rise in two quarters in January-March as firms
attempted to increase cash holding on the back of the drop in bank
lending rates, a senior loan survey by the Bank of Japan released Friday
showed.
The BOJ’s index for corporate fund demand, which is calculated by
subtracting the number of banks reporting a decline in lending from the
number reporting an increase, rose to +6 in the first quarter of 2012
from -2 in October-December.
The index is expected to fall to +3 in the next three months, the
quarterly survey showed.
Loan officers cited corporate efforts to ensure cash ahead of the
end of fiscal year as the top reason for the rise in funding demand in
January-March, according to the survey conducted from March 9 to April
11.
Last time the index was in positive territory was in January-March
2011, when it stood at +8.
The index for demand from major companies stood at +9, up from -2
the previous quarter, while the index for small businesses also rose to
+4 from -3.
tokyo@marketnews.com
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