NPLs steady at €2 billion in Cyprus

Nonperforming loans in the Cypriot banking system remained essentially unchanged at 2 billion euros in October 2023, marking a marginal reduction of just €2 million, in an environment of rising interest rates.

According to data released by the Central Bank of Cyprus on Tuesday, bad loans in October amounted to €2.015 billion from €2.017 billion the month before.

NPLs as a percentage of total loans remained unchanged at 8.3%, compared with 9.5% in January 2023. Total loans at end-October amounted to €24.17 billion from €24.36 billion in the previous month. Households held the majority of NPLs or €1.11 billion, while corporate NPLs amounted to €0.85 billion. NPL coverage ratio stood at 50.8%.

The CBC added that loans in arrears more than 90 days in October amounted to €1.57 billion from €1.58 billion the month before, representing 6.5% of total loans.