The lending attitude index came in at minus 15 for the July-September quarter, down from minus 6 in the previous quarter, according to the Bank of Korea (BOK) poll of 204 banks and other financial institutions conducted between June 4 and June 20.
The index below zero indicates that lenders willing to tighten loan standard outnumber those willing to ease it.
The lending attitude index for big companies retreated from 3 in the second quarter to minus 3 in the third quarter, and the index for small firms slipped from minus 3 to minus 11.
It was attributed to economic uncertainties at home and abroad and the slump in corporate earnings.
The index for mortgage loan to households stood unchanged at minus 6 in the cited period, while the reading for other loans such as credit loan declined from minus 14 to minus 19.
The central bank had left its benchmark interest rate unchanged at 3.50 percent since January 2023, after hiking it by 3.0 percentage points for the past one and a half years.
The credit risk index for households reduced from 31 in the second quarter to 17 in the third quarter, but the index for big companies added from 3 to 6.
The lending demand index gained from 5 to 15 in the cited quarter on expectations for higher demand from small companies and households.
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