Demand for loans among companies in the euro zone was muted during the second quarter, shows a report from the European Central Bank (ECB). The net increase from the previous quarter was 2 percent.
Lower interest rates contributed to fueling the demand for corporate loans, but global uncertainty and trade conflicts pulled downwards, according to the ECB report.
The statistics come ahead of Thursday's interest rate decision from the ECB, where the key interest rates are expected to remain unchanged after eight cuts since June 2024. The next cut is expected to come first in September, according to market pricing.
Demand for mortgages rose more clearly in the second quarter, net up 37 percent.
