Credit stock in Brazil rises 2.2% in September, says BC

The total stock of credit in Brazil rose 2.2% in September over August, to R$5.177 trillion, corresponding to 55.0% of GDP (Gross Domestic Product), the Central Bank announced this Thursday (27), showing strength in lending despite the strong monetary tightening implemented to curb inflation.

In the last 12 months, the total credit balance has increased by 16.8%, according to data from the monetary authority.

Breaking down by type of borrower, the credit balance to individuals rose 1.9% last month and 20.3% in 12 months. For companies, growth was 2.6% in September and 12.0% in 12 months.

In an attempt to control inflation in the country, the Central Bank put into practice an aggressive cycle of raising the basic interest rate, which was only interrupted in September, with the Selic rate at 13.75% per year. This Wednesday, the Copom chose to leave the Selic at the same level.

Last month, the interest charged by financial institutions on free credit, in which rates are freely agreed between banks and borrowers, stood at 40.4%, a slight decrease of 0.2 percentage point in the month – there was a growth of 9 .9 points in 12 months.

In earmarked resources, which meet the parameters established by the government, there was an increase of 0.2 points in the month, to 10.4%, with an increase of 2.4 points in 12 months.

The bank spread, the difference between the cost of funding institutions and the amount charged for loans to the public, stood at 28.3 percentage points in free credit, the same level observed in the previous month – in August 2021 it was 21.5 points .

Last month, delinquency in the free resources segment was 4.0%, compared to 3.9% in August.