Cyprus banking sector reports rise in deposits and lending

Cyprus’ banking sector recorded higher deposits and stronger lending in May 2026, according to figures by the Central Bank of Cyprus (CBC) covering deposits and loans at monetary financial institutions.

Total deposits registered a net increase of €343.8 million in May, reversing the net decline of €123.1 million recorded in April.

The year-on-year growth rate of deposits accelerated to 5.1 per cent, up from 4.5 per cent in the previous month.

As a result, the total stock of deposits rose to reach €58 billion.

Within this figure, deposits held by Cyprus residents increased by €239 million over the course of the month.

Household deposits grew by €171.3 million, which highlights a pattern of continued growth in domestic savings.

Simultaneously, non-financial corporations bolstered this liquidity by increasing their deposits by €194 million.

Conversely, deposits held by other domestic sectors experienced a combined decline of €126.2 million.

Beyond deposit trends, the figures also indicated a significant increase in lending activity throughout May.

Total loans recorded a net rise of €260.3 million, marking a substantial expansion compared with the €40.5 million increase observed in April.

Reflecting this momentum, the year-on-year growth rate of loans accelerated to 12.6 per cent, up from 12.0 per cent in the previous month.

By the end of May, the total outstanding balance of loans stood at €28.1 billion.

Of this, loans extended to Cyprus residents increased by €173.7 million during the period.

Within that segment, lending to households rose by €52.7 million.

Furthermore, loans to non-financial corporations saw an increase of €63 million.

Meanwhile, lending to other domestic sectors expanded by €58 million, further contributing to the overall strengthening in credit growth during May.