Bank lending to euro zone companies grew at its fastest pace in three years in May, European Central Bank data showed on Monday, extending a gradual but steady acceleration seen in recent months.

The annual growth rate of loans to non-financial corporations increased to 4% in May from 3.4% in April. Lending to households grew by 3.1%, inching up from 3.0% a month earlier, while the broad 'M3' monetary aggregate increased to 3.2% from 2.7% in April.