FRANKFURT, Nov 28 Reuters Bank lending to euro zone companies held steady, maintaining the sector39;s biggest borrowing binge in over a decade, despite rising interest rates and a looming recession, European Central Bank data showed on Monday.

Lending to businesses in the 19country euro area expanded by 8.9 in October, unchanged on September when it rose to its highest rate since early 2009, fresh data showed. Household credit growth meanwhile slowed to 4.2 from 4.4.

The monthly flow of loans to companies, however, slowed sharply, to 24.0 billion euros from 36.6 billion a month earlier with the flow of short term loans coming to a standstill.

Growth in the M3 measure of money circulating in the euro zone, meanwhile slowed to 5.1 from 6.3, coming well under expectations for 6.2 in a Reuters survey.

Reporting by Balazs Koranyi; Editing by Toby Chopra

Source Reuters