{
  "id": 12538078,
  "title": "Property loans continue to rise, reaching RM1.23 trillion overall",
  "url": "https://urgent.news/2026/10/07/property-loans-continue-to-rise-reaching-rm1-23-trillion-overall",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-07T03:34:40.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/property/2026/10/1549540/property-loans-continue-rise-reaching-rm123-trillion-overall"
  },
  "original_language": "en",
  "account": "In August 2026, property loans in Malaysia surged by 11.9 percent year-on-year, reaching a total of RM134.41 billion, according to data from Bank Negara Malaysia. This growth was higher than the overall banking system loan expansion, which increased by 5.7 percent to RM2.45 trillion during the same period. The property sector accounted for approximately 5.5 percent of all bank loans, representing around RM1.23 trillion of the total.\n\nFinancing for purchasing residential properties saw the most significant growth, up 5.3 percent year-on-year to RM925.48 billion, while financing for non-residential properties increased by 7.7 percent to RM304.66 billion. Together, these two property purchase categories made up about 50.3 percent of all banking system loans in August.\n\nAlthough overall household financing growth remained steady at 5.0 percent year-on-year, the property sector's loan growth was uneven. Residential property purchases experienced moderate growth, while loans for securities purchased saw a slight increase. Notably, the gross impaired loan (GIL) ratio for residential property purchases was 1.2 percent in August, a slight rise from 1.1 percent in the preceding month.\n\nIn August 2026, the construction sector's outstanding loans totaled RM104.99 billion, growing by 8.7 percent year-on-year, though there was a minor decline of 0.1 percent month-over-month. The construction sector's GIL ratio stood at 4.4 percent, unchanged since June and slightly lower than the overall banking system GIL ratio of 1.4 percent.",
  "summary": "KUALA LUMPUR: Bank financing to the property sector recorded strong growth of 11.9 per cent year-on-year in August 2026, with outstanding loans reaching RM134.41 billion.",
  "key_points": [
    "Property loans in Malaysia rose 11.9% year-on-year to RM134.41 billion in August 2026",
    "Residential property financing grew 5.3% to RM925.48 billion, accounting for 50.3% of total loans",
    "Construction sector loans increased 8.7% year-on-year to RM104.99 billion"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}