New figures from the Central Bank show that private sector credit growth fell to its lowest rate in a year in August.
The bank said the adjusted annual growth rate in August was 28.2%, down from July's figure of 29.2%. Credit growth so far this year hit a high of 30.3% in June.
While non-mortgage credit growth moderated slightly last month, it still increased at a faster rate than both private sector credit and mortgage credit. The adjusted rate was 31.7% in August, down from 31.8% in July.
The bank said that consumer credit, which accounts for about one-tenth of outstanding non-mortgage credit, has grown by 15% in the six months to August.
August also saw the lowest growth rate in residential mortgages since the start of the year. The underlying growth rate eased to 27.1% last month from 27.6% in July.
The bank added that demand for residential mortgages increased by €2 billion in August, bringing the total level to €115.2 billion.
