The Far East countries are in the regions of eastern Russia, East Asia and the parts of South-eastern Asia. There are also some islands in the Pacific included in the area as part of the Far East.
The countries here are at the farthest regions in the Eastern Asia, which include countries like China, Vietnam, Thailand, Indonesia, North and South Korea and Japan.
Among them are China and its massive economy that places them among the major economic players. We exempt countries like India as it’s in the “near East” region. This article explains how the finance sectors of these economies are lending out to the people and in what ways these loans are used for.
Loans usage in the Far East – The loans offered in these regions are usually in the form of conventional loans, credit cards usage, and even bank overdrafts.
Some of the loans given out in the area include collaterals given out by the citizens to the lenders until the loans are paid. These loans can be fixed or variable depending on the loan type. These loans are used for various purposes in the region that can be expressed as a loan usage density.
The loan usage density shows that mortgage and credit cards are some of the highest usages of loans. Given the many shopping and traveling destinations, people here use credit cards for most of their shopping purposes as well as paying for other purposes of traveling and dining.
Through the Loans, mortgages are also highly used to help people own homes. The other third mostly used loan type is a personal loan. The three make up approximately 70% of the total loan usage.
This high loan usage among these three functions shows the kind of financial patterns that are there in this region. The loan density would be termed as average as the loans usage are shared among the purposes with none being dominant over the other.