FINANCE - BANKS

BCL

Bank balance sheets up 6.7% year-on-year



The BCL notes a significant strengthening of banks' balance sheets over twelve months (Photo: Romain Gamba/Maison Moderne/Archives)

The BCL notes a significant strengthening of banks' balance sheets over twelve months (Photo: Romain Gamba/Maison Moderne/Archives)

According to the latest figures from the Luxembourg Central Bank, the sum of the balance sheets of lenders amounted to €919.729 billion on 31 July. Over one year, the increase was 6.7%.

In detail, the BCL notes that the interbank balance, i.e. the difference between interbank claims and liabilities, increased by €10.223 billion (or +4.8%) to €221.479 billion. 

10% more real estate loans

Over twelve months, loans to resident non-bank customers increased by 4.2%, i.e. €4.202 billion in new loans. The increase was also seen in loans to households for house purchase (+10.4% or €3.612 billion in new loans) and loans to other financial intermediaries (AIF) (+6% or €1.795 billion). Conversely, loans to non-financial corporations (NFCs) decreased by €1.039 billion (-3.5%).

On the liabilities side, deposits of the resident non-banking sector increased by €40.754 billion, i.e. an increase of 15.3% over twelve months.

Also over one year, deposits of Other Financial Intermediaries (OFIs) (which include money market and non-money market funds and whose share amounted to 72.3% on 31 July 2021) increased by €36.364 billion (+19.5%) and those of households by €961 million (+2.2%). Deposits of NFCs increased by €1.793 billion (+10.7%) and those of other sectors by €1.636 billion (+7.9%).

This article was originally published in French on Paperjam. It has been translated and edited for Delano.lu.