Cyprus’ non-performing exposures (NPEs) increased by approximately €16 million in October 2024, reaching €1.61 billion, according to a report released by the Central Bank of Cyprus (CBC).

This CBC reported that this figure represents 6.6 per cent of total loans, up from 6.5 per cent in September.

The coverage ratio for NPEs, which reflects total accumulated provisions against outstanding non-performing loans, rose to 56.1 per cent (€993 million) from 55.7 per cent (€978 million) a month earlier.

Of the total provisions, €905 million are allocated specifically to NPEs.

According to CBC data, loans in arrears for over 90 days stood at €1.27 billion in October, accounting for 5.2 per cent of total loans.

Meanwhile, overall loans in the banking system declined to €24.35 billion at the end of October from €24.41 billion in September.

In addition, restructured loans totalled €1.33 billion, with €711 million still classified as NPEs.

Households and businesses

The report also showed that household NPEs stood at €898 million in October, making up 8.5 per cent of total household loans, which amounted to €10.60 billion.

What is more, provisions for household NPEs covered 41.2 per cent of total household loans.

For businesses, NPEs reached €676 million, or 5.8 per cent of corporate loans.

Of this, €627 million was linked to small and medium-sized enterprises (SMEs).

The coverage ratio for corporate NPEs stood at 74.3 per cent.

Finally, total corporate loans at the end of October stood at €11.75 billion, with €7.88 billion allocated to SMEs.