The average daily balance of bank lending fell 2.7 percent in May from the previous year, continuing its streak of monthly year-on-year declines to an 89th straight month, the Bank of Japan said Wednesday.

The balance of loans at city banks with nationwide branch networks, trust banks, regional banks and second-tier regional banks stood at 378.00 trillion yen in the reporting month, according to a BOJ preliminary report.

Including data for "shinkin" savings-and-loan banks, the balance of bank loans fell 2.4 percent to 439.22 trillion yen.