Borrowing increases across the board

Lending finance data released by the ABS yesterday confirmed the pace of home borrowing activity is continuing to pick up.

Housing finance for owner occupation rose 2.3%, seasonally adjusted, in January 2009 to reach $13.989 billion.

Commercial finance also recorded a strong increase in activity in January 2009, edging up by 6.5% to $31.029 billion, which recovered a large chunk of the 10.4% decline recorded in November 2008.

Personal finance inched up by a small 1.4%, as borrowers look to reduce their personal debt as a result of economic and unemployment uncertainty.