ZABA, SPAN push lower Croatian share indices
Foreign tourist arrivals to Bosnia's Federation down 0.9% y/y in Jan
Ljubljana stock indices decline in lower turnover
Bosnia's Federation annual inflation slows down to 0.7% in Jan
Croatia's industrial PPI down 1.4% y/y in Jan
Dec 23, 2009 20:56 EEST
December 23 (SeeNews) - Bulgaria's banking system will end the year with a net profit of 700 million levs ($510.2 million/357.9 million euro), half its 2008 net profit, state-run news agency BTA reported.
The profit for the current year will be capitalised which will raise the capital buffer against bad loans to some 3.5 billion levs, BTA quoted central bank governor Ivan Iskrov as saying.
Bulgaria had 24 domestically-registered banks and branches of six foreign lenders at the end of September. They had a combined net profit of 621.6 million levs in the first nine months of the year, down from 1.1 billion levs a year ago.
Non-performing loans will reach 6.0% of Bulgarian banks' loan portfolio at the end of 2009 but the banks are capitalised well enough to deal with this problem, Iskrov said.
"Even though we have an rise in non-performing loans in 2009, which is normal in the difficult economic situation, the Bulgarian banking system, thanks to strict regulations, has built up solid buffers to meet these challanges," BTA quoted Iskrov as saying.
The banking system's liquidity is around 20% and its capital adequacy ratio has increased to some 17% at the moment from 14% at the end of 2008, Iskrov said.
(1 euro = 1.95583 Bulgarian levs)
You have run out of free articles this month.
Sign up in for
and get ten (10) free articles per month or sign up for
and get unlimited access.
Browse our free newsletter options