Non-performing loans decline to €10.14 billion

Non-performing loans as defined by the European Banking Authority declined to €10.14 billion in March 2019, marking a reduction of €151 million compared to previous month.

According to data release on Thursday by the Central Bank of Cyprus, NPLs accounted to 30.6% of total loans which in March amounted to €33.11 billion.

NPLs defined by international reporting standards exhibited a smaller reduction amounting to €7.9 billion in March compared with €7.97 billion in the previous month and accounted for 24% of total loans.

On a quarterly basis NPLs declined by €116 million in March compared with the fourth quarter of 2018 while compared with the first quarter of 2018 NPLs marked a reduction of €8.23 billion reflecting the NPL portfolio sales amounting to €2.7 bl by Bank of Cyprus, as well as the transfer of NPLs of the former Cyprus Cooperative Bank (CCB) to a state owned asset management agency (KEDIPES) following the sale of the CCB’s performing assets to Hellenic Bank.

Household NPLs in March amounted to €5.15 billion or 51% of total NPLs, marking a reduction of €38 million compared with February, whereas corporate NPLs amounted to €4.7 billion down by €118 million compared to February.