Montenegro’s bank assets rise 7.4% y/y to EUR 3bn at end-August 2013

By bne IntelliNews September 23, 2013

Montenegro’s commercial bank assets increased 7.4% y/y to 3.0bn at end-August, speeding from a 5.4% y/y rise the month before, supported by rising lending and cash and deposits held with the central bank, data from the central bank (CBCG) showed. The total assets-to-GDP ratio stood at 87.3% at end-August.

Loans, which accounted for the bulk of bank assets (83%), went up 5.7% to EUR 2.5bn at end-August after rising 5.5% y/y the month before. Household loans grew 6.8% to EUR 880.6mn, following a 6.6% annual increase in July. On the other hand, corporate lending growth slowed to 0.4% at end-August, from 0.6% the month before as rising loans to foreign and state-owned companies was partly offset by falling loans to private companies.

Bank’s cash and deposits with the central bank, which include banks' reserve requirements, climbed 25.3% y/y to EUR 348mn at end-August, acceleratinfrom a 8.0% annual growth in July, likely reflecting stronger deposit collection.

Bank lending and assets have been showing signs of recovery since January 2013 after retreating in annual terms since January 2010 (latest available) supported by both the corporate and retail segments. However, corporate lending growth has weakened since the second quarter of the year, possibly reflecting reduced demand and banks’ cautious attitude towards rising NPLs.

Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

EIF signs guarantee agreements with 11 banks in Western Balkans, unlocking €750mn for small businesses

The European Investment Fund (EIF), part of the EIB Group, said on April 15 that it has signed guarantee agreements with 11 banks and financial intermediaries in the Western Balkans. These ... more

EIB surpasses investment milestone in the Western Balkans by investing €1.2bn in 2023

EIB Global, the financial arm of the European Investment Bank (EIB) for activities beyond the EU, set a new record by investing €1.2bn in the Western Balkans in 2023, the EIB said on February 9. ... ... more

bne IntelliNews Southeast Europe Outlook 2024

This Southeast Europe Outlook 2024 has been prepared by bne IntelliNews as part of a series of annual reviews providing updates on the geopolitical, macroeconomic and commercial state of ... more

Follow Us On

Most Read

  1. Iran vs Israel: Who is better equipped for war?
    5 days ago
  2. Saudi Arabia to scale back plans for Neom city
    8 days ago
  3. BREAKING: Iraq, Syria and Jordan close airspace amid Iranian strike on Israel
    5 days ago
  4. PANNIER: Caspian military drills that exclude Russia and Iran have some people in Moscow asking questions
    6 days ago
  5. Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
    5 months ago
  1. Russia could pay off its entire external debt tomorrow, in cash
    19 days ago
  2. Speculation swirls of “Men in Blue” in Crocus City Hall terrorist attack linked to FSB
    23 days ago
  3. Albanians campaign on social media to keep bus bridge created in freak accident
    1 year ago
  4. UBN: Russia could take the Baltic states in 48 hours
    28 days ago
  5. BRICS announce a blockchain-based payment system to create a common currency
    21 days ago

Reports

Dismiss