site.bta2023 Banking System Profit Amounts to BGN 3.4 Bln

In 2023, the profit of the Bulgarian banking system was in the amount of BGN 3.4 billion, or BGN 1.3 billion (64.4%) more compared to the one reported as of December 31, 2022, reported the Bulgarian National Bank (BNB).

In the fourth quarter of 2023, the assets of the banking system grew by BGN 7 billion (4.2%) and at the end of December amounted to BGN 172.1 billion.
During the quarter, gross loans and advances decreased by BGN 1.8 billion (1.7%) to BGN 106.3 billion.

Claims from credit institutions decreased by BGN 4.6 billion (33.8%) to BGN 8.9 billion, and the gross credit portfolio increased by BGN 2.7 billion (2.9%) to BGN 97.4 billion. Loans to households recorded growth of BGN 1.5 billion (4.1%), those to non-financial enterprises went up by BGN 1.1 billion (2.4%) and those toother financial enterprises - by BGN 216 million (2.6%). Loans to the State Government sector decreased by BGN 141 million (11.8%).

In the fourth quarter of 2023, deposits in the banking system increased by BGN 6 billion (4.2%) and at the end of December reached BGN 147.3 billion. Household deposits increased by BGN 3.6 billion (4.5%), non-financial enterprises in deposists incresed by BGN 1.5 billion, (3.3%), credit institutions'deposits went up by BGN 707 million (7.2%) and deposits by other financial enterprises increased by BGN 288 million (7.6%). Deposits by the State Government sector decreased by BGN 81 million (2.1%).

Equity capital in the balance sheet of the banking system at the end of the fourth quarter of 2023 amounted to BGN 20 billion, BGN 687 million (3.6%) more than at the end of September. The increase in profit and accumulated other comprehensive income contributed to the increase in equity during the period, the BNB noted.