Nationwide restrictions on movement and on permissible activities in order to curb the spread of the Covid-19 virus severely impacted production and distribution of many non-energy goods and services in recent months.
Despite this, improvements occurred in the electricity, water, finance and real estate subsectors.
These developments are revealed in the latest Central Bank Monetary Policy Report issued Thursday.
The report said the relaxation of restrictions in the context of higher levels of vaccinations is expected to lead to a resumption in non-energy production—in particular construction, distribution and food services—in the final quarter.
It said monetary and financial indicators point to ample liquidity and signs of an incipient recovery in credit demand in some sectors.
Commercial banks’ unremunerated excess reserves at the Central Bank amounted to $8.3 billion in mid-September 2021, up from $7.5 billion at the end of March.
The annual growth rate in credit to the private sector has been positive since April 2021, with some substitution away from consumer and business credit towards real estate mortgage loans.