The drop in the non-performing loan ratio in November, the first after cumulative increases since May, was caused by both a €40m monthly drop in overall bad loans to below €27.4bn and an almost €2.4bn increase in total facilities to €59.5bn, the central bank said in a statement on its website.

The non-performing loan ratio of households fell in November by a monthly 0.2%, to 56.3% of a total €22.7bn outstanding facilities, while that of non-financial corporations fell by 0.6% to 56.6% of a total of €24.3bn, the Central Bank of Cyprus said. Small-and-medium-sized companies saw their non-performing loan ratio drop by 0.1% to 64.3% of their total €9.3bn loans.

The value of restructured loans in November fell to €14bn which is €205.5m less compared to the month before, the central bank said. As a result, restructured debt, serviced by borrowers, that has to remain for at least 12 months listed as non-performing in accordance to European regulations, rose to 76.8% of total restructured debt in November, from 74.5% in October, even as it rose to €10.8bn in absolute numbers, the central bank added.

Source: Cyprus Mail