Liquidity (the difference between loans and deposits) in the banking system amounted to €28.7 billion in August, driven by an increase in deposits combined with a decrease in the overall loan balance.

According to data released on Thursday by the Central Bank of Cyprus (CBC), total deposits in August recorded a net increase (excluding changes due to reclassifications, exchange rate, and other adjustments) of €288.5 million, compared to a net increase of €164.7 million in July 2024.

The annual rate of change in total deposits reached 3.8%, compared to 2.9% in July 2024.

The balance of total deposits in August 2024 reached €53.6 billion.

Deposits from Cypriot residents increased by €194.2 million. Specifically, household deposits and non-financial corporation deposits rose by €34.6 million and €46.8 million, respectively. Deposits from other domestic sectors saw a total increase of €112.8 million.

Total loans in August 2024 recorded a net decrease of €74.9 million, compared to a net decrease of €7.2 million in July 2024.

The annual rate of change in total loans reached 1.7%, compared to 2.0% in July 2024. The balance of total loans in August 2024 stood at €24.9 billion.

Loans to Cypriot residents decreased by €72.2 million. More specifically, loans to households and non-financial corporations fell by €25.8 million and €53.6 million, respectively. Loans from other domestic sectors showed a total increase of €7.2 million.

It should be noted that other domestic sectors include investment organizations, other intermediary financial organizations, auxiliary financial organizations and entities, subsidiaries of financial institutions and money lenders, insurance companies and pension funds, and the general government.