HELSINKI, March 7 Demand for corporate bank
loans in Finland fell in the first three months of this year at
a slower pace than the previous quarter, the Nordic country's
main banking association said on Friday.
Demand is expected to fall again in the next three months,
The Federation of Finnish Financial Services said in its
The economy in Finland, one of the world's few triple-A
rated countries, is expected to make a modest recovery this year
after shrinking 1.4 percent in 2013 as investments slumped and
domestic demand fell.
The banking association said a net 4 percent of banks
reported a fall in demand for loans from companies in the first
quarter compared with the same period in 2013. That means 4
percent more banks saw demand falling than rising compared with
a net 27 percent in the previous survey three months earlier.
A net 6 percent of banks expect demand for corporate loans
to fall in the second quarter of this year, the survey showed.
The survey also showed that demand for loans from households
fell faster than from companies, with more than a quarter of
banks reporting lower demand in the beginning of the year a year
earlier. Almost a third of banks expect households to ask for
fewer loans in the second quarter.
The survey of 105 bank managers was conducted in late
(Reporting by Sakari Suoninen; Editing by Erica Billingham)