Statement on the release of second quarter 2019 FDIC numbers from Rose Oswald Poels, president/CEO of the Wisconsin Bankers Association
- Commercial and industrial loans increased by 5.2%
- Growth in net loans and leases by 4.1%
- Loans in the agricultural sector also grew by 3% and 1.2%, showing the banking industry’s support for this important and struggling facet of the Wisconsin economy
“Wisconsin’s banks continue to show growth and strength with increases in virtually every category of loans. Year-over-year comparisons of FDIC second quarter numbers show the largest growth occurred with commercial lending (5.2%). Residential loans indicated a modest uptick of 1.3% since last year. Overall these are good indicators that Wisconsin’s economy is stable as businesses and families leverage the opportunities offered by bank services to improve their quality of life and services to their customers.
According to our members, overall loan quality continues to be very good. Demand for deposits continues to remain fierce as shown by an increase of 56.4% in total interest expense. Margins are holding steady which helps to maintain net income. Loan rates seem to be dropping.
Agricultural bankers continue to proactively reach out and work with their customers during these challenging times. Farmland loans increased 3% while farm loans grew 1.2%. Bankers value the farms, agribusiness, and hardworking people that make up the communities they serve. It’s important for the ag community to have Wisconsin banks to help them through these tough times.
Consumer finances continue to show improvement as highlighted by a 4.5% decrease in noncurrent loans and leases. Another positive consumer indicator is the 2.1% growth in deposits.
Wisconsin banks continue their important role as key drivers of our state’s economy by helping businesses grow and families prosper.
FDIC Reported WI Numbers*
6/30/2019 6/30/2018 Change
Net loans and leases 86,068,171 82,678,549 4.1%
Total deposits 91,990,085 90,054,853 2.1%
Commercial and industrial loans 14,804,147 14,073,050 5.2%
Residential loans 23,927,934 23,632,093 1.3%
Farmland loans 3,587,090 3,482,019 3.0%
Farm loans 4,784,922 4,729,053 1.2%
Total assets 117,414,980 114,674,033 2.4%
Noncurrent loans and leases 668,230 699,429 -4.5%
* dollar figures in thousands