Banks' lending to companies stood at 901.4 trillion won (739.2 billion U.S. dollars) as of the end of March, up 18.7 trillion won (15.3 billion U.S. dollars) from a month earlier, according to the Bank of Korea (BOK). It was the biggest monthly increase since relevant data began to be compiled in June 2009.
Lending to big corporations gained by 10.7 trillion won (8.8 billion U.S. dollars) in March, while those to small- and mid-sized firms increased 8 trillion won (6.6 billion U.S. dollars) that included 3.8 trillion won (3.1 billion U.S. dollars) for the self-employed.
Companies rushed to borrow money from banks as the COVID-19 outbreak across the globe caused an economic downturn. The government's stimulus package to support small firms also contributed to the higher lending.
Banks' lending to households advanced 9.6 trillion won (7.9 billion U.S. dollars) from a month earlier to 910.9 trillion won as (747 billion U.S. dollars) of end-March.
It was the biggest monthly expansion since relevant data began to be compiled in 2004. Households rushed to buy home with borrowed money ahead of the tightened regulation on mortgage loans.
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