Eurozone borrowing: Credit, credit everywhere

A lot of lending is supporting not that much growth in the eurozone. The abundant credit provides fuel for an inflationary fire. But even if it doesn’t light, the spread of the Anglo-Saxon disease of extravagant borrowing holds other dangers. Bank loans to companies in the eurozone were 12% higher in July than in the previous year, up steadily from 5% growth rate in 2004. And mortgage lending grew by 11%. The only sign of restraint was a slight slowing in the growth rate in M3, a broad measure ...