New loans spike in May due to renegotiations

Total new loans in May spiked to €1.07 bln, more than double the previous month due to renegotiated loans for which new contracts were signed, while fresh new credit rose to €536.5 mln.

According to Central Bank of Cyprus data, the total pure new loans were €556.8 mln from €202 mln in the previous month.

Corporate loans over €1 mln received the lion’s share of new lending with €351 mln pure news loans, followed by mortgages which almost doubled compared with April, amounting to €105 mln.

New corporate lending up to €1 mln reached €49 mln.

Consumer lending was €22.7 mln, while other loans were €9.7 mln.

Furthermore, total renegotiated loans for which new contracts are signed hit €536.4 mln, as borrowers and particularly corporations reschedule their loans due to rising interest rates.

Renegotiated corporate loans over €1 mln were €402.5 mln, while mortgage restructurings followed with €66.2 mln.

Renegotiated corporate loans under €1 mln amounted to €40.9 mln.

Consumer renegotiated loans were €6.5 mln in May, while other loan restructurings were €20.9 mln.