NPLs drop to €22.4bn in July amid reduced loan restructuring

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By Stelios Orphanides

Non-performing loans in the Cypriot banking system fell by €57.8m in July compared with the month before to €22.4bn as the pace of restructurings dropped, the Central Bank of Cyprus said.

The reduction in non-performing loans in July was mainly on a €65.3m monthly decline in delinquent loans of corporation to €10.1bn accompanied by a €19.4m drop in the case of households to €11.8bn, the central bank said in a statement on its website. The drop was partly offset by €27.2m increase in the case of other financial corporations to €455m.

Exposures with more than 90 days in arrears rose by €51,4m to €17.2bn in July in a month, the central bank said. The amount of restructured facilities dropped by €129.7m in a month to €12.7bn. The amount of restructured loans which are being serviced also fell by €56.3m to €8.9bn.

Total provisions for loan impairments rose in July by €4m to €10.5bn, it added.

On October 30, Central Bank of Cyprus governor Chrystalla Georghadji said that delinquent loans in the Cypriot banking system stood “currently” at €21.9bn or 44 per cent of the total.

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About Author

Stelios Orphanides is a journalist at CyprusBusinessMail.com. To contact Stelios Orphanides: [email protected]

  • Pc

    And the hard ones are still to come. Another decade or so before this drops below 10% of total loans? Who knows…

    • Rory Keelan

      Exactly. All the ‘easy’ low hanging fruit has now being picked – and to stretch an already over-worked metaphor further, what is left is increasingly sour and bitter.

  • Douglas

    I feel sympathy for the hard working families trying to pay off their mortgage in a responsible manner while dishonest citizens are living in mortgaged property for free and laughing at the honest mugs paying !!

  • dave

    Have all the loan officers responsible for this mess now been cross-examined by officials on behalf of defrauded depositors and bond holders, and where necessary, legal proceedings commenced?