Albanian commercial banks' loan portfolios ticked down by 0.4% y/y to ALL545.3n (€4.06bn) at the end of April, after edging up by 0.02% in the previous month, central bank data indicated on May 30.
The decline of corporate lending, driven both by weak demand and tight supply in the banking sector, and which accounted for the bulk of the total loan portfolio, contributed to the fall in overall loans in the fourth month of the year. Credit growth was concentrated in the segment of loans to households.
On a monthly basis, the volume of loans in Albania also edged down by 0.4% in April.
The volume of credit extended to private non-financial companies, which accounted for 62% of all loans extended, fell by 2.5% y/y to ALL338.2bn at end-April, deepening from a 1.5% y/y decline in the previous month.
However, lending to households went up by 3.8% y/y to ALL169.8bn, after rising by 3.5% a month earlier.
Bank loans |
April’16 |
March’17 |
April’17 |
y/y change |
ALL bn |
|
|
|
|
TOTAL |
547.5 |
547.8 |
545.3 |
-0.4% |
Loans to non-financial corporations |
346.9 |
340.8 |
338.2 |
-2.5% |
Household loans |
163.5 |
169.8 |
169.8 |
+3.8% |
Source: central bank |
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