www.ecb.europa.eu
31 October 2025
- Overall credit terms and conditions remained largely unchanged between June 2025 and August 2025, with some instances of tightening driven by balance sheet availability
- Demand for lending against collateral increased across all asset classes except asset-backed securities and high-quality non-financial corporate bonds
- Resources and attention devoted to managing concentrated credit exposures somewhat increased
Price and non-price credit terms and conditions remained largely unchanged between June 2025 and August 2025, with a slight tightening of non-price terms across banks and dealers and non-financial corporations. Price terms eased slightly for hedge funds, insurance companies, investment funds and sovereigns. Balance sheet availability was the main explanation given for tightening pressures, followed by the financial strength of counterparties. However, for price terms, these tightening pressures were offset by easing pressures from general market liquidity and…