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Japanese corporate demand for bank loans during October to December declined to a five year low, a quarterly survey of senior loan officers released by the Bank of Japan showed Thursday. The index measuring firms' demand for loans fell to minus 17 for October to December period from minus 14 recorded during July to September.
Demand from large firms slipped to minus 13 in the last quarter of 2009 from minus 10 in the prior quarter. At the same time, loan demand from medium-sized and small firms eased to minus 11 and minus 12, respectively.
Further, the index for banks' willingness to lend to large firms stood at 5, down slightly from 6 in the previous survey. Meanwhile, the index for medium-sized firms remained unchanged at 7.
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