US Bank Business Loan Demand Strengthens in Q4
Demand for business loans increased significantly in the fourth quarter of 2024, according to a recent Federal Reserve survey. The net share of banks reporting an increase in loan demand turned positive for the first time in two years.
For large and medium-sized businesses, the net share of banks reporting stronger demand rose to 9.4%. For small businesses, the net share increased to 3.4%.
Despite increased demand, banks also tightened standards for commercial and industrial loans, as indicated in the Fed's Senior Loan Officer Opinion Survey.