Bank Negara: Banks equipped to handle risks from household debt

KUALA LUMPUR: Credit risk in the banking system is "largely contained" despite the accelerated growth of household debt, said Bank Negara in its latest Financial Stability Review.

Household debt in Malaysia rose 5.3% in the six months to Dec 31, 2019, as compared to 5.1% in the preceding period, mainly owing to loans for the purchase of residential properties, the central bank said in its biannual report.