Loan Growth Slows Among Banks, but FDIC Sees Industry Strength

Loan growth among U.S. banks slowed for the third consecutive time, the Federal Deposit Insurance Corporation said, but the agency is characterizing the industry’s performance as positive.

Total loans and leases increased by $337.6 billion during the 12-month period that ended June 30, according to the FDIC’s quarterly report on the profits of banks it insures. The 3.7 percent increase marked a third straight drop in the annual growth rate for total loans and leases, and was considerably lower than the 6.7 percent annual growth rate seen a year earlier.

While acknowledging the slowdown, Martin Gruenberg, the FDIC chairman, ...