Total credit in Greece's banking system fell 0.7 percent year-on-year in August 2019, following a decrease of 0.4 percent in the previous month. Credit extended to the government dropped 4.4 percent after decreasing by 2.1 percent in July; and lending to businesses and households edged down 0.1 percent, the same pace as in the prior month. Loan Growth in Greece averaged 4.15 percent from 2004 until 2019, reaching an all time high of 19.60 percent in August of 2006 and a record low of -7.90 percent in October of 2013.
Loan Growth in Greece is expected to be -0.20 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Loan Growth in Greece to stand at 1.00 in 12 months time. In the long-term, the Greece Total Credit YoY is projected to trend around 1.60 percent in 2020, according to our econometric models.