S Korean banks to tighten household loan standard in Q1

22 January, 2020 12:00 AM printer

SEOUL: South Korean banks planned to tighten household loan standard in the first quarter amid the government’s efforts to curb speculative investment in the property market, central bank survey showed Tuesday.

The household loan attitude index, which measures banks’ loan standard, came in at minus 7 for the January-March quarter, staying below zero for the second consecutive quarter, according to the Bank of Korea (BOK), reports Xinhua.

The reading below zero means that banks plan to constrict household loan during the cited quarter.

The tighter loan standard came as the government unveiled a series of measures to control speculative investment in the real estate market.