Loan concessions in Brazil increased 1.6% in October compared to the previous month, the Central Bank reported this Thursday (28), with the total credit stock increasing 0.7% in the period, to R$ 6,255 trillions.
In the month, financing grants with free resources, in which loan conditions are freely negotiated between banks and borrowers, rose 0.7% compared to the previous month.
For operations with earmarked resources, which meet parameters established by the government, there was an increase of 7.9% in the period.
In October, default rates in the free resources segment stood at 4.4%, compared to 4.5% in the previous month.
Average bank rates increased in October. The interest charged by financial institutions on free credit was 40.2%, an increase of 0.3 percentage points compared to the previous month.
In earmarked resources, there was an increase of 0.8 points in the month, to 10.8%.
The banking spread, the difference between banks’ funding costs and the final rate charged to customers, fell to 28.2 percentage points in free resources, compared to 28.4 points in the previous month.
