The profitability of the Cypriot banking sector surged in the first half of 2024, with after-tax profits rising to €602.92 million, compared to €345.64 million at the end of March 2024.
According to the Central Bank of Cyprus (CBC), net interest income for Cypriot banks reached €1.03 billion by the end of June 2024, a substantial increase from €519.19 million recorded at the end of March 2024.
Alongside the rise in net interest income, the total net operating income of the banking sector also grew significantly, amounting to €1.22 billion by mid-2024, up from €660.31 million at the end of the first quarter.
The CBC also noted an increase in provisions for non-performing loans, which rose by €8.48 million from €20.34 million in March 2024, reflecting ongoing efforts to address potential credit risks.
Additionally, the financial strength of Cypriot banks improved, with total equity rising to €6.13 billion by the end of June 2024, up from €5.82 billion in March 2024.
Risk-weighted assets (RWA) for Cypriot banks increased as well, reaching €22.91 billion by the end of June 2024, up by approximately €280 million since March. Finally, total capital requirements rose to €1.83 billion by mid-2024, compared with €1.81 billion at the end of the first quarter.
