KUALA LUMPUR (June 11): Household leverage to continue moderating, which should support the banking system’s asset quality, Fitch Ratings says in statement.
* “Pockets of vulnerability remain in banks’ exposure to lower-income households and personal loans”
* Household sector accounts for 58% of bank gross loans
** 37% of household loans are to lower-income borrowers
* Fitch monitors any significant easing in lending standards that could cause risks to accelerate
** Standards for lending to households have been largely steady since tightening cycle in 2010-2013