Key facts
- Euro zone business lending growth slowed to 4.2% in August from 4.4% in July.
- Household lending growth in the euro zone remained steady at 3.1% in August.
- The M3 measure of money circulating in the euro zone increased to 3.5% in August.
Lending growth to businesses in the euro zone slowed slightly from relatively high levels in August, while household loans held steady, data from the European Central Bank showed on Friday. Business lending growth eased to 4.2% from 4.4% a month earlier, which was the highest level since mid-2023. For households, lending growth was steady at 3.1%, equalling the highest rate since early 2023. The M3 measure of money circulating in the euro zone, often an indicator of future economic growth, picked up to 3.5% from 3.4%, in line with economists' expectations. A separate report indicated business credit growth eased to 2.9% in September from 3.0% a month earlier, while household loans rose to 2.6% from 2.5%, its highest rate since March 2023. The M3 measure expanded by 2.8% in September, a drop from 2.9% a month earlier but in line with expectations.