I - Financial system credit operations
Banking credit operations, following a moderate growth in the first two months of the year, expanded more significantly in March, mainly favored by the trajectory of earmarked credit loans, with emphasis on BNDES financing and housing finance. The trajectory of nonearmarked credit operations was affected by seasonal factors, registering expansion under corporate credit operations, in view of a gradual activity recovery, and moderate growth of credit operations with individuals.
In this context, the total stock of financial system credit operations, encompassing both nonearmarked and earmarked resources, came to R$2,427 billion, expanding 1.8% in the month and 16.7% in twelve months. The monthly expansion resulted from a 1.4% increase in the portfolio of credit operations with individuals, R$1,108 billion; and a 2.2% increase in the portfolio of credit operations with corporations, R$1,319 billion. The credit/GDP ratio closed at 53.9%, of which 29.3% related to corporations and 24.6% to individuals, as compared to 53.3% in last February and 49.3% in March 2012.
Lending operations with both earmarked and nonearmarked resources, which refer to the amounts effectively disbursed during the month, totaled R$280 billion in March, up 10.4% as compared to February, reflecting the typical seasonality of this period and the greatest number of business days in the month, two more than in February. Expansion was more intense in disbursements to corporations, which increased by 13.7%, totaling R$144 billion. Lending operations to individuals rose by 7%, adding up R$136 billion.
The balance of loans granted with nonearmarked resources totaled R$1,411 billion, equivalent to 31.4% of GDP, accounting for 58.1% of the total financial system portfolio, as compared to 60.6% in March 2012. This trajectory corresponded to an expansion of 1.5% against February and 12% against March 2012. Nonearmarked lending operations totaled R$243 billion, up 8.8% in the month, due to respective increases of 13.3% and 4.6% under transactions with corporations and individuals. In the corporate segment, it should be highlighted disbursements under the modalities of working capital and discount of bills, whereas, in the household segment, highlights included auto loans and personal loans, either payroll-deducted or non payroll-deducted.
Nonearmarked credit operations with individuals totaled R$701 billion, up 0.6% in the month and 9.2% in twelve months, highlighting the expansion under personal loans, 1.8%, and the decline under overdraft accounts, 2.1%. The balance of nonearmarked corporate credit operations grew 2.4% in the month and 14.8% in twelve months, totaling R$710 billion. It should be noted the monthly increase of 1.9% under working capital loans with maturity over 365 days, totaling R$271 billion, the most representative modality in the corporate segment, and growth of 10.6% under discount of bills.
The total balance of earmarked credit operations came to R$1,016 billion in March, 22.5% of GDP, up 2.3% in the month and 24.1% in twelve months. This trajectory, considering the same comparison basis, reflected respective growth rates of 2.7% and 30.7%, and 2% and 20% in the portfolios of individuals and corporations, with total balances of R$407 billion and R$609 billion. Among the operations channeled to individuals, it should be highlighted expansions of 2.8% under housing finance and 1.9% under rural credit, with respective balances of R$274 billion and R$93 billion.
As for operations with earmarked resources aimed to corporations, BNDES financing increased by 1.5% in the month and 15.8% in twelve months, totaling R$457 billion, or 75% of this credit segment. BNDES lending operations targeted to the productive sector - which does not include BNDESPAR disbursements -, among which the most relevant modality referred to infrastructure investments, rose 49.1% in March, totaling R$12.8 billion, accumulating R$32.3 billion in the first quarter of the year, a volume 51.5% higher than in the same period in 2012. Highlights included financing channeled to the segments of machinery and equipment, vehicles, towing and body, coke, oil and fuel, ground transportation and crop and livestock.
The participation of public sector banks in total financial system credit operations amounted to 48.7% in March, compared to 44% in the same month of 2012, totaling R$1,181 billion. The relative participation of domestic and foreign private institutions decreased, respectively, by 3.2 p.p. and 1.4 p.p. in the same period, to 35.4% and 15.9%, amounting to R$860 billion and R$386 billion. Credit channeled to the private sector, conditioned by the typical seasonality of this period, increased 1.8% in March, totaling R$2,305 billion, highlighting respective monthly increases of 2.9%, 2.2% and 2.1% under the segments of other services, commerce and industry, with respective balances of R$397 billion, R$227 billion and R$471 billion. Housing finance, comprising operations with individuals and corporations, continued to follow an impressive upward trajectory, expanding 2.6% in the month and 32.9% over the past twelve months, adding up R$318 billion, equivalent to 7.1 % of GDP, as compared to 5.7% in March 2012. The balance of loans targeted to the public sector closed at R$121 billion, up 1.2% in the month and 42.5% in twelve months, reflecting monthly increases of 1.2% under operations with the federal government and 1.3% with states and municipalities.
I.1 - Interest and default rates
Following an expansion registered in the previous two months, the average interest rate of financial system loans, including nonearmarked and earmarked resources, declined by 0.2 p.p. in March, closing at 18.5% p.a. Changes in the cost of credit reflected the decline under household average credit rates, to 24.4% p.a., as compared to 24.9% p.a. in the previous month, with emphasis on the reduction of 0.6 p.p. under interest rates of nonearmarked credit operations, favored by falloffs under non payroll-deducted personal credit, auto loans and overdraft accounts. The average interest rate of earmarked credit operations with individuals remained stable at 6.6% p.a.
In the corporate segment, the average interest rate remained stable at 14%, decreasing by 3.8 p.p. as compared to March 2012. As for nonearmarked credit operations, the average corporate rate fell by 0.2 p.p., to 18.8% p.a., highlighting a decline of 0.4 p.p. under working capital credit operations.
In line with the trend followed by lending rates, the general banking spread of credit operations, encompassing both nonearmarked and earmarked resources, decreased by 0.3 p.p., closing at 11.7 p.p. in March, 3.6 p.p. below the level estimated twelve months ago. Spreads on nonearmarked household and corporate credit operations corresponded to 25.4 p.p. and 10.9 p.p., respectively, with reductions of 0.8 p.p. and 0.4 p.p. as compared to the previous month.
The financial system delinquency rate, referring to delays over ninety days, remained stable at 3.6% of the total balance of loans granted with nonearmarked and earmarked resources, accumulating a decline of 0.2 p.p. in twelve months. In transactions with individuals, the indicator closed at 5.4%, due to a 0.1 p.p. decrease under nonearmarked operations and a 0.1 p.p. increase under earmarked loans. As for corporate credit operations, the delinquency rate closed at 2.2%, consequent upon a 0.1 p.p. reduction under nonearmarked loans and stability under operations with earmarked resources.
II - Evolution of monetary aggregates
The average daily balance of the monetary base totaled R$205.6 billion in March, decreasing by 4.3% in the month, consequent upon declines of 1.8% under currency issued and 13.8% under bank reserves. In twelve months, the monetary base grew by 8%.
Among the factors conditioning the monetary issue, expansionary effects referred to net foreign currency purchases on the interbank exchange market, R$6.1 billion, and transactions with government securities, including the Central Bank's operations aimed to adjusting the money market liquidity, R$1.7 billion. The impact of government securities reflected net redemptions of R$29.3 billion on the primary market and net sales of R$27.6 billion on the secondary market. Conversely, National Treasury operations exerted a contractionary impact of R$4.8 billion.
The average daily balance of the restricted money supply (M1) totaled R$290 billion in March, dropping 0.2% in the month, consequent upon declines of 0.2% under currency outside banks and demand deposits. The cumulative 12-month M1 growth came to 12.7%.
The balance of money supply in the M2 concept, which corresponds to M1 plus savings deposits and private securities, rose 1.1% in March, to R$1.7 trillion, reflecting respective increases of 1.5% and 0, 7% under the balances of savings accounts and private securities, which totaled R$513.8 billion and R$935.4 billion, respectively. In March, savings accounts posted net inflows of R$6 billion, and time deposits, R$2.2 billion.
The M3 concept, which comprises M2 and quotas of fixed-income funds and public securities backing repo operations between the public and the financial sector, grew 0.9% in the month, to R$3.6 trillion, registering a 0.5% expansion under the balance of quotas of fixed-income funds, to R$1.7 trillion. M4, including M3 and public securities held by the nonfinancial public, expanded 0.3% in the month and 11.4% over the last twelve months, totaling R$4.1 trillion.
Complementary statistical data to this press release is available at the Central Bank website: http://www.bcb.gov.br/?sgs