Insider Business NPLs still a key challenge for the banks, CBC Governor says 

NPLs still a key challenge for the banks, CBC Governor says 

Central Bank of Cyprus (CBC) Governor Chrystalla Georghadji has outlined the key challenges faced by the banking sector during her speech at the AGM of the Cyprus Banking Association.

Despite improvement in the banking sector since 2013, there are still substantial issues that need to be addressed, she noted.

Georghadji said that the primary objective is to solve the problem of Non-Performing Loans(NPLs) which despite their significant decrease over the past two years they continue to bedevil the banking sector.

The current level of NPLs, she added, is an obstacle to the growth of banks as it reduces their profitability while consuming a significant amount of their capital and many resources (personnel and systems) that could be used in purely banking.

As a result, the contribution of the banking sector to the recovery of the economy through the granting of new loans is limited, she said.

She also assured that the CBC will continue to be next to the Association in providing guidance and any assistance required in relation to the matter.

At the same time, she said that another major challenge for banks is to restore profitability through a viable business model.

Read more

Top Stories

13-Cyprus back to double digits but no cases yet out of Larnaca and youth sampling programmes

  13 new cases of Covid-19 were detected in Cyprus in the past 24 hours out of a total of 3 thousand 220 diagnostic tests. The...

Police probe launched on Cyprus Investment Programme

  The Attorney General's Office has instructed police to start taking testimony in establishing possible criminal offences in the Cyprus Investment Programme following the conclusions...

Turkey issues latest NAVTEX in Aegean sea as tempers rise

  Turkey has continued its NAVTEX issuing tactics in the Aegean sea by issuing yet another maritime directive, this time involving a real fire military...

Paris knife attacker suspect confesses

  The man believed to have attacked and wounded two people with a meat cleaver is cooperating with the police and said he had targeted...

UK has no intention of approving direct flights to occupied north Cyprus

  The British government has once again officially made clear that it has 'no plans to approve direct flights between the UK and north Cyprus'. The...



Sheftalies, a very tasty dish from the charcoal grill, are minced meat shaped into small sausages and wrapped in “panna” (suet). Panna is a...

Spicy grilled soutzoukakia

Place all ingredients for soutzoukakia in a bowl and mix well, preferably using a food processor, until well combined. Using the mixture, form cigar-shaped...


Pork souvlaki: Put the meat and all the other ingredients in a bowl (not metal) and mix well. Cover the bowl and keep in...

Pastelli (Carob Toffee)

The nutritional sweet of Pastelli is made with the syrup of carob pods, produced by boiling their pulp until it forms a thick, sticky...