The policy change comes as good news to businesses and to the economy in general. One of the main criticisms from business since the beginning of the financial crisis has been banks' unwillingness to extend investment credit to companies, effectively choking them of funds and preventing them from expanding their way out of difficulties.

Banks also tightened up the conditions under which they were prepared to lend, another trend which is now in reverse. In fact, things began to slacken off in the first quarter, and the second saw no change in that situation. But the situation is still unsatisfactory for business leaders, who find charges over and above interest too high, and the conditions required too tough. The National Bank agrees: "In spite of a slight improvement in the first half of the year, the replies we have received still that conditions are on the whole less favourable and much more negative than at the time of the last credit crunch in 2002," the Bank's report says.

Small businesses accounted for most of the increase, with medium-sized and larger companies remaining steady. In part, that is due to the larger enterprises' easier access to other sources of credit, the Bank said.