site.btaBanks' Q1 Profit at Lv 288 Mln, Down Lv 18 Mln Y/Y

Banks' Q1 Profit at Lv 288 Mln, Down Lv 18 Mln Y/Y 

Sofia, April 29 (BTA) - In the first quarter of 2017, the banking system posted an increase in deposits, assets and balance sheet capital. The banks' high liquidity was preserved.

Total liquid assets stood at 30.9 billion leva as at the end of March, up by 539 million leva (1.8 per cent) from the previous quarter. The liquid asset ratio reached 38.80 per cent.

The banking sector posted a first-quarter profit of 288 million leva, 18 million leva less than a year earlier.  The impairment costs on loans and receivables accumulated in the first quarter stood at 125 million leva, compared to 175 million leva a year earlier. As at March 31, the banking system reported a return on assets of 1.24 per cent and a return on equity of 9.44 per cent.

The banking system's assets increased by 0.9 per cent to 92.9 billion leva.

The gross loan portfolio of the banking sector (excluding loans and advances to the sectors of central banks and credit institutions) increased by 291 million leva (0.5 per cent).

An increase was registered in lending to households (by 275 million leva, 1.5 per cent) and non-financial corporations (by 132 million leva, 0.4 per cent). A decrease was registered in lending to other financial corporations (by 81 million leva) and to the general government sector (by 35 million leva).

At the end of March, the gross amount of non-performing loans and advances in the banking system totalled 9,966 million leva (compared to 9,961 million leva at the end of December 2016).

Deposits in the banking sector increased by 276 million leva (0.4 per cent) in the first quarter, the central bank reported.