Cyprus banks’ NPL ratio falls to 1.5 per cent at end-July 2026
Cyprus’ banking sector non-performing loan (NPL) ratio fell to 1.5 per cent at the end of July 2026, down from 1.6 per cent a month earlier, according to updated figures published by the Central Bank of Cyprus (CBC) on Monday and referring to July 31. The NPL coverage ratio slipped to 64.5 per cent at end-July from 64.9 per cent at end-June, as provisioning coverage narrowed slightly. Total restructured loans stood at €700 million, of which €300 million continued to be classified as non-performing loans. The CBC’s figures follow the European Banking Authority (EBA) risk dashboard methodology, which includes loans and advances to central banks and credit institutions in the NPL ratio calculation.
The data show that €300 million of the €700 million in restructured loans was still classified as non-performing at end-July, so renegotiated repayment terms do not by themselves move a loan out of the NPL category.