SEOUL, Jan. 19 (Xinhua) -- South Korean banks will ease lending standard in the first quarter, a central bank survey showed Monday.
The lending attitude index rose to 8 in the January-March quarter from minus 21 in the previous quarter, according to the Bank of Korea (BOK)'s poll of 203 banks and other financial institutions conducted between Nov. 25 and Dec. 16 last year.
The index advanced above zero in four quarters, indicating that lenders willing to ease loan standard outnumbered those willing to tighten it.
The government of President Lee Jae Myung unveiled measures in the second half of 2025 to keep down massive household debts, especially mortgage loans.
The lending attitude index for mortgage loans to households jumped to 6 in the first quarter from minus 44 in the previous quarter, while the index for other loans to households, such as credit loans, swelled from minus 25 to zero.
The index for large companies gained from 3 to 6 in the cited period, while the index for small firms mounted from minus 3 to 11.
The BOK left its benchmark interest rate unchanged at 2.50 percent after reducing it by 25 basis points in February and May 2025 and in October and November 2024.
The credit risk index for households increased 3 points to 14 in the first quarter compared to the previous quarter.
The index for large companies climbed 6 points to 14, but the figure for small firms fell 3 points to 28. ■
