Chairman Nicolas Hadjiyiannis said non-performing loans (NPLs) totalled 53.1% of total loan portfolios in the first half of the year.
He added that the Group’s Common Equity Tier 1 ratio stood at 13.6% “showing a very robust image” of the sector.
Hadjiyiannis said the messages coming from the NPLs management division “are quite positive as borrowers are cooperating”.
“The co-operative Credit Sector currently has a very robust balance sheet and we are cautiously optimistic,” he added.
Asked about the stress tests, taking place as part of the formation of a European Banking Union and more specifically of a Joint Supervisory Mechanism, Hadjiyiannis said “our balance sheet is strong and we expect that the work done will have a positive reflection on the results, rendering them manageable”.
Following banking crisis in March 2013, the subsequent bailout included a €1.5 billion recapitalisation package for the co-ops.
Source: Cyprus Mail