Net percentage of banks tightening standards for commercial loans
Lending Standards (DRTSCILM) measures the net percentage of domestic banks reporting tightened lending standards for commercial and industrial loans. Positive values indicate tightening (harder to get loans), while negative values indicate loosening (easier to get loans).
This metric is crucial for understanding credit availability to defense contractors and industrial companies. Tighter lending standards can constrain business expansion, capital expenditures, and working capital in the defense sector. Access to credit is essential for companies to take on large defense contracts and invest in new capabilities.
Units: Percent