The balance of loans to businesses and individuals by banks and credit unions reached a record high of over 578 trillion yen last month.
Due to the influence of the new coronavirus, loans to small and medium-sized enterprises, etc., whose cash flow is becoming tight, are still at a high level.
According to the "Trends in Lending and Deposits" released by the Bank of Japan on the 8th, the balance of loans provided to businesses and individuals by banks and credit unions nationwide averaged 578,083.5 billion yen over the past month.
It has surpassed the previous month for three consecutive months, the highest number since 2000 when comparisons can be made.
Due to the impact of the new coronavirus, the demand for funds from companies has increased, and loans to small and medium-sized enterprises and sole proprietors, who have tight cash flow, are at a high level.
On the other hand, deposits by companies and individuals reached an average of 806.1633 trillion yen in the last month, which was also a record high, due to an increasing number of companies increasing their cash reserves by issuing corporate bonds.
The Bank of Japan says, "We would like to carefully watch the trends to see if the demand for funds in the food service industry will expand again due to the impact of the second state of emergency."