SEOUL, Nov. 23 (Korea Bizwire) – Loans extended to local businesses rose slightly in the July-September period from a quarter earlier on increased operating expenses and facility investments, central bank data showed Thursday.
Outstanding corporate loans came to 1,036.6 trillion won (US$952 billion) in the third quarter, up 2 percent from the preceding three months, according to data compiled by the Bank of Korea (BOK).
In terms of where the money was spent, loans extended to cover companies’ operating expenses rose 1.3 percent to 608.5 trillion won from the second to third quarters, the bank said.
Loans for facility investments rose 3.1 percent to 428 trillion won over the same period.
By sector, outstanding loans provided to service sector firms came to 603.6 trillion in the third quarter, up 2.4 percent from the end of June. Loans to manufacturers came to 335.6 trillion won, up 1.2 percent from a quarter earlier.
The latest findings showed that borrowing by construction firms stood at 40.8 trillion in the third quarter, up 2.7 percent the previous three-month period.