The latest figures from the Central Bank show that lending to consumers and businesses continued to fall sharply last month. But the figures also show a slight pick-up in deposits in April after big falls in the previous months.
Lending to consumers fell at an annual rate of 4.6% in April, though this was smaller than the 5% drop recorded in March. Mortgage lending was down 2% in April while lending for other purposes fell by 13.4%.
But the fall in lending to businesses accelerated, down 2.2% in the 12 months to April following a 1.3% decline in March. Loans with terms of longer than five years continue to record the biggest falls.
The figures also show a 9.1% annual drop in private sector deposits - which includes deposits from households, businesses, financial institutions and pension funds - in April. Deposits had dropped by 10% in the year to March.
But the amount on deposit increased by almost €2 billion compared with March, having dropped by almost €14 billion in the previous six months.
The amount which has been borrowed by financial institutions from the Central Bank as part of the euro system fell by €5 billion to €106 billion, with the domestic banks accounting for €77.8 billion of this.
