Irish residents sharply increased the rate at which they are borrowing in May with an additional €3.7 billion drawn down from credit institutions, according to new figures from the Central Bank.
This drove the adjusted annual rate of credit-sector growth to 23 per cent, up from 21.1 per cent in April.
The increase in mortgage lending was marginally ahead year on year in May at 27.5 per cent compared with 27.4 per cent in April.
The total amount outstanding in mortgages rose by close to €1.3 billion during May and is now more than €60.5 billion, according to the Central Bank's monthly statistics.
For the last seven months the annual rate of mortgage growth has exceeded 25 per cent.
However, in May demand for non-housing related credit accounted for two-thirds of the private sector credit growth - jumping from 16.1 per cent to 18.9 per cent.
Term/revolving loans were the driving force behind the strong credit growth in May, rising by just €2 billion.
Total lending now stands at €175 billion, up 2.2 per cent. Lending by the Central Bank to credit institutions dropped by €651 million.
SSIA balances with credit institutions rose by €132 million in May and now stand at over €3.8 billion.