NEW YORK – Domestic banks said lending standards were little changed but demand rose in the past three months, according to the Senior Loan Officer Opinion Survey on Bank Lending Practices, published by the Fed Monday.

“Regarding business loans, domestic banks reported, on balance, little change in standards on commercial and industrial (C&I) loans but a continued easing of pricing terms on such loans during the fourth quarter,” the report says. “Domestic banks reportedly experienced stronger demand for C&I loans from firms of all sizes on net. The net fraction of banks reporting increased demand from small firms rose to its highest level since 2005.”

Although the majority of domestic banks said their standards for CRE loans were “little changed,” a modest number “had eased some loan terms over the past year. Moderate net fractions of domestic banks reported that demand for CRE loans had strengthened in the fourth quarter.”

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