Key facts
- Euro zone firms are facing increased difficulty in obtaining credit from banks.
- Firms reported higher interest rates and a decrease in the availability of bank loans.
- The share of firms reporting obstacles to obtaining a bank loan increased to 7% in the three months to September from 5% in the previous quarter.
- Firms that participated in both the last two survey rounds expected prices to rise by an average of 3.6% in the coming 12 months.
- Across the full sample of 12,822 enterprises, firms expected selling prices to rise by 7.1%.
Euro zone companies are experiencing greater difficulty in securing credit from banks, coinciding with financial pressures from elevated fuel prices and increased costs, according to a European Central Bank survey released on Monday. The ECB's quarterly Survey on the Access to Finance of Enterprises indicated growing strains, with firms reporting both higher interest rates and reduced availability of bank loans. The central bank noted that the simultaneous increase in demand for trade credit and credit lines suggests broader working capital pressures, while the reduced availability of credit lines signals increased caution from banks in extending financing, potentially hindering firms' short-term funding capabilities.