Bank lending to private companies in the eurozone accelerated in August to an eight-year high, according to a report Wednesday from the European Central Bank, suggesting the region’s economic recovery continues to strengthen.
The news will give confidence to ECB policymakers as they prepare to decide next month whether to reduce their monetary stimulus.
Private-sector lending to non-financial firms was up 2.5% on an annual basis, the ECB said in its monthly report, compared to a 2.4% reading in July.
The broadest measure of money supply, M3, rose 5% on an annual basis last month, the ECB said, up from July’s 4.5% rise.
Source: Dow Jones