SANTIAGO, Dec 3 (Reuters) - Chilean bank loans will likely grow around 8 percent overall next year, helped along by a moderate economic recovery, the chief executive of bank Santander Chile told Reuters on Wednesday.
The economy of the top copper producer has slowed to multi-year lows on the back of stagnating investment, especially in the key mining sector, and cooling consumption, which has crimped demand for loans and their availability.
Chile’s gross domestic product should grow around 3 percent for 2015 and domestic demand should also pick up its pace of growth slightly, CEO Claudio Melandri said on the sidelines of an economic forum in capital Santiago.
That should help fuel growth of 8 percent in consumer loans, 9 percent in mortgage loans and 6 to 8 percent in corporate credit across Chile’s banking industry, he said.
“We (Santander Chile) should be in line with that,” he added.
Santander Chile is the country’s largest bank in terms of assets and an arm of Spain’s Santander.
According to latest figures, overall loans in Chile’s banking industry grew 5.6 percent in January through September versus a year earlier. (Reporting by Anthony Esposito Editing by W Simon)