Article: Banks offer Rs29bn personal loans.

KARACHI, Jan 15 (PPI): All banks combined made Rs29 billion personal loans in July-November 2003, more than three times the personal loans of Rs9 billion they had offered in July-November 2002, according to figures obtained from the SBP Economic Policy Department. Senior bankers say this big increase in personal loans was responsible not only for increasing overall private sector credit take-off, but also for pushing up average lending rate. "The reason is that personal loans are made at a much higher rate than the corporate loans," explains head of credit of a large local bank. At Rs29 billion, personal loans made up more than 23 per cent of the total private sector ...

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