In the end of March, the level of outstanding loans hit the percentage of 22.7%, registering the same levels as in 2014. The figures issued by the Bank of Albania show that this indicator has remained in the same levels and this has affected positively in the bank system, helping the second tier banks to achieve better financial results.
According to the Bank’s statistics, the balance of expenses for the outstanding loans’ reserve fund has been positive, which means that banks have returned many of the provisions set before.
This move brought to the bank system about 560 million ALL incomes, a development that shows, according to the experts, the consolidation and the well capitalization of the market in Albania. The outstanding loans have been the biggest concern of the country’s bank system, for which the government and the Bank of Albania have applied various easing policies.
In a latest declaration, the Bank of Albania’s Governor, Gent Sejko, declared that the outstanding loans are a problem not only in the Albanian bank system but in the entire region of the Southeast Europe.
News source: ATA
Photo credits: Images Money (Flickr)
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