ZAGREB (Croatia), December 4 (SeeNews) – The ratio of non-performing loans (NPLs) in Croatia's banking system fell to 6.03% at the end of September, from 7.25% at the end of June, central bank data showed.
The latest data is presented for the first time under the FINREP financial reporting standard, required by the European Economic Area (EEA) and the European Banking Authority (EBA), and not given under the national methodology as had been the practise so far, the Croatian central bank, HNB, said in a statement earlier this week.
The data indicated that the end-September bad loans ratio has dropped to its lowest level since the end of June 2016 when credit institutions in Croatia became obliged to submit their nonconsolidated financial statements in line with the FINREP rules, the statement said.
In terms of volume, the overall value of bad loans held by the domestic banks dropped to 21 billion kuna ($3.1 billion/2.8 billion euro) at the end of September from 24.6 billion kuna three months earlier. At the same time, the combined loan portfolio of Croatian lenders rose to 349 billion kuna from 340 billion kuna, the HNB data showed.
The share of bad loans extended to households dropped to 6.14% from 6.46% at the end of June, while non-performing loans extended to the non-financial sector fell to 15.48% at the end of September from 18.81% three months earlier.
Details follow:
|
end-Sept 2019 |
end-June 2019 |
end-March 2019 |
NPL total (bln kuna) |
21 |
24.6 |
25.5 |
NPL ratio (% of total loans) |
6.03 |
7.25 |
7.40 |
- govt units |
0.08 |
0.16 |
0.15 |
- non-financial corporations |
15.48 |
18.81 |
19.59 |
- households |
6.14 |
6.46 |
6.66 |
(1 euro = 7.43855 kuna)