At the end of the first half of 2023, the average NPL ratio in the local banking system was below 3% of the total loans, in line with data from Romania’s central bank.
The latest statistical data show that the NPL ratio was 2.65% in June 2023, the same as at the end of 2022.
In January-June 2023, the NPL ratio ranged between 2.64% and 2.73%, peaking in March. By comparison, in the first half of 2022, the ratio ranged between 3% and 3.4% of total loans and subsequently fell below the 3% threshold.
In fact, the ratio decreased in the first half of 2023 to the lowest levels since 2009 when the signs of the precedent global financial crisis were felt on the local market. Looking back, in 2014, the NPL ratio exceeded 20% of total loans.