Commercial Loan Tightening

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Standards for commercial real estate loans were tightened by a whopping 80% of responding banks. About 46% of banks reported that demand for CRE loans has weakened.

Commercial & industrial loan credit standards and lending terms have been tightened by 32% of banks for large-and mid-size business customers and by 30% of banks for small business clients.  Here also, loan demand has weakened.  The pool of buyers has decreased and thus demand has further decreased.

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