NPLs down to 6.2% in December 2024

07:00 - 03 April 2025

Financial Services Reporter

Non-performing loans in the banking sector recorded a decrease to 6.2% in December 2024, compared to 6.5% in September, according to updated aggregate Cyprus banking sector data with reference date 31 December 2024, published by the Central Bank of Cyprus.

According to the data, at the end of December 2024, the Non Performing Loans (NPL) decreased to €1.541 billion, down from €1.598 billion in September. At the same time, total loans recorded an increase, from €24.413 billion in September, to €24.734 billion in December.

Τhe coverage ratio of NPLs with provisions increased to 58.3% or €898 million at the end of December 2024 compared with 55.7% or €890 million at the end of September 2024.

According to CBC, the reduction in NPLs within 2024 Q4 is mainly attributed, by order of significance, to loan repayments (including debt-to-asset swaps), loan write-offs, the reclassification of debt instruments as held for sale and positive migrations of loans which have undergone successful restructurings and have now been reclassified as performing after the end of the surveillance/probation period.

Total restructured loans of Authorized Credit Institutions at the end of December 2024 amounted to €1.308 billion, of which loans of €685 million continue to be classified as NPLs.

(Source: CNA)

NPLs down to 6.2% in December 2024

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