Cyprus deposits rise by €346 million in December, total hits €52.2 billion

The value of deposits in the Cypriot banking system experienced a substantial monthly increase of €346 million in December 2023, reaching a total €52.2 billion, according to a report released on Friday by the Central Bank of Cyprus (CBC).

At the same time, the total value of loans in the final month of the year experienced a net increase of €284.2 million, excluding variations resulting from rearrangements, exchange rate fluctuations, and other adjustments.

The total outstanding balance of loans stood at €24.8 billion, contributing to a liquidity balance (the difference between deposits and loans) of €27.4 billion.

According to the CBC, December 2023 saw a net increase of €346 million in total deposits, compared to a €91.7 million increase in November 2023.

The annual growth rate settled at 0.4 per cent, down from 0.9 per cent in November 2023. The cumulative balance of total deposits in December 2023 reached €52.2 billion.

Moreover, the report noted that residents of Cyprus recorded a significant uptick in deposits, with an increase of €388 million.

Additionally, household deposits surged by €461 million, while deposits from domestic non-financial corporations saw a decrease of €252 million.

Deposits across other domestic sectors, including investment organisations, intermediaries, financial subsidiaries, insurance enterprises, pension funds, and the general government, collectively increased by €179 million.

At the same time, the value of total loans in December 2023 exhibited a net increase of €284.2 million compared to a €15 million increase in November 2023.

The annual growth rate was at 0.7 per cent, marking an improvement from the -0.2 per cent observed in the previous month.

Furthermore, the outstanding balance of total loans in December 2023 amounted to €24.8 billion.

CBC data highlighted that loans to residents of Cyprus experienced a rise of €132.9 million.

Specifically, loans to households increased by €99 million, while loans to non-financial corporations rose by €54.5 million.

Conversely, loans to other domestic sectors experienced an overall decrease of €20.6 million.