The Central Bank of Peru published figures showing that mortgage credit for home purchases rose 5.9% year on year in May to PEN 72,102 million, mainly driven by stronger lending in domestic currency. Soles-denominated mortgage credit increased 6.9% year on year, while total mortgage credit grew 0.4% from April, supported by a 0.5% monthly rise in sol lending. Borrowers continued to favour soles, with US dollar mortgages representing 6.7% of outstanding mortgage credit in May, unchanged from April and down from 7.9% in December 2023, which the central bank associated with lower exposure of households to adverse exchange-rate movements.