In turn, when analyzing the stock of loans in a non-normal situation, an improvement in the quality of credits in Corrientes, Formosa and Misiones is observed during the last year (with the only regional exception of the province of Chaco).
Loans to both consumption and the productive sector, which began a progressive decline in 2021, had their most critical phase in the first quarter of 2024 (mainly for the provinces of Chaco, Misiones and Corrientes) but, from there, they had some recovery in real terms within the region.
That is one of the conclusions reached in the NEA situation report prepared by Gerardo Alonso Schwarz and Juan Cuevas of Mediterranean Foundation.
Regarding private sector bank deposits, the report also warns that the first quarter crash of this year shows that it was “a critical beginning of the year for it; although from that moment onwards signs of recovery are also observed starting in the second quarter.”
In turn, when analyzing the stock of loans in a non-normal situation, they observed that during the last year there were “an improvement in the quality of credits in Corrientes, Formosa and Misiones (with the only regional exception of the province of Chaco).”
At the national level, the slowdown in inflation explained that encourages people/companies to take out loans in local currencyl (since the real cost of borrowing in that currency consequently decreases); and, on the other hand, discourages debt in foreign currency (initially sought to take refuge from the loss of purchasing power).
Finally, they detailed that the growth of the stock of deposits well below inflation during the first quarters of the year and that this may be due to the fact that “people chose to quickly get rid of the pesos, and/or decided to invest/save in assets that generate some type of asset that generates some return (for example, in fixed-term deposits); which could explain the dynamics of the third quarter of this year”.
Source: Ambito
