Malaysian banks' loan growth tapered off to 6.2%

But industry loans grew 2.2%.

According to Maybank Kim Eng, loan growth tapered off to 6.2% YoY in May 2016 from 6.3% YoY in Apr 2016, keeping pace with the momentum on household (HH) loans, while non-HH loan growth kept steady pace at 6.2% YoY.

"On an annualized basis, industry loan growth was a faster 2.2% in May versus 0.6% in April. On a 3-month moving average (3M MA) basis, loan applications were still subdued, expanding a mild 1.3% YoY from 0.3% YoY end-Apr 2016. Loan approvals on a 3M MA basis contracted for the 9th consecutive month, at still a double digit pace of -13% versus -19% in April."