Households bank deposits rise quicker than loans uptake

Friday, March 04, 2016

Households’ commercial banks deposits grew faster than the rate of loans uptake in 2015 indicating a rebalancing in the market.

Figures provided by the Bank of Botswana (BoB) show that there was a notable increase in the annual growth rate of household deposits from 9.2 percent in 2014 to 16.8 percent in 2015 which was a much faster growth compared to the 12.8 percent increase in credit to households.

“This signifies a rebalancing by the household sector, which bodes well for financial stability,” said the central bank in the 2016 Monetary Policy Statement (MPS).

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