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Cyprus banking sector solvency ratio at 25.7% in March 2024

The overall solvency ratio of the Cypriot banking sector reached 25.7% in the first quarter of 2024, compared to 21.7% in the same quarter of 2023 and 25.5% in the last quarter of 2023.

According to the key aggregated financial indicators for the Cypriot banking sector for the first quarter of 2024, compiled on the basis of consolidated banking data released by the Central Bank of Cyprus on Monday, the cost-to-income ratio decreased further in March 2024 to 30.5% from 33.5% in March 2023 and 32.8% in December 2023, indicating increased efficiency.

The Tier 1 capital ratio increased to 23.4%, compared to 19.3% in Q1 2023.

In terms of income sources, net interest income at the end of March rose to 78.6% of total income, compared to 68.5% in March 2023 and 76.2% in the previous quarter. Net fees and commissions income was 13.1% in Q1, a decrease compared to the previous quarter which was 14.3%, and to March 2023 which was 15.3%.

Total loans and advances represented 40.8% of total assets at the end of March 2
024, compared to 39.1% in December 2023 and 40.5% in Q1 2023.

Cash and trading assets accounted for 34.8% of total assets at March 2024, compared to 38% at the end of March 2023 and 37.9% at the end of December 2023.

In terms of expenditure, personnel costs increased to 55.4% in Q1 2024 compared to 52.9% in the previous quarter.

Source : Cyprus News Agency