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Cypriot Investment Scheme
Repossession Property Yield Properties

Latest news

  • 29 November 2019 Νέα Πολιτική Αδειοδότησης

    Υφιστάμενη κατάσταση read more

  • 27 November 2019 Property Investment is our Specialization

    Lately, we made a lot of sales in the Commercial Sector as very good bargains... read more

  • 27 November 2019 EU Citizenship by Investment in Cyprus Meetings in Cairo Egypt

    First, let me introduce myself, I am the Managing Director of New Zoe... read more

  • 8 November 2019 Small rise in property sales

    October saw a marginal rise in Cyprus property sales compared to the... read more

  • 31 October 2019 Express Evictions For Bad Payers

    Parliament's plenary session on November 22 will put forward a bill tabled by... read more

Moody s Improves financial structure of the Cypriot banks

   

Nicosia: The increase in deposits in the Cypriot banking system improves the financial structure of the Cypriot banks, considers the Moody`s rating agency in response to the increase in deposits in the banking system in 2016. 

The financial statement (Moody`s Credit Outlook) issued today , the agency notes that the annual increase in deposits in 2016 was the first, after four years. 

"The increase in deposits was driven more by stable domestic deposits and is considered positive because it improves the financial banking structures", he says, adding that the rise in deposits demonstrates the increased households' ability to service its high debt levels, a significant proportion of which remains problematic. 

According to Moody`s, the increase of € 3 billion to the total deposits of € 49 billion is the highest since 2013, demonstrating the improved financing conditions in a system where the confidence of depositors remains fragile after losses (due to clipping) during the banking crisis of 2013. 

"this improvement reflects the strong economic growth, which we estimate will reach 2.7% in 2017, the lowest unemployment and the integration of the economic adjustment program in March 2016, "the firm says. 

According to Moody`s, these factors have partly led to restore confidence of depositors, leading to the gradual return of "money from layers", while auxiliary acted and high income from tourism. 

Meanwhile, according to the firm, increasing contributor Cypriots and other residents of the euro area, particularly companies from Greece. 

Prolonged recovery process of bank balance sheets 

The firm believes that the improved financial situation of households would strengthen their ability to serve high debt levels. 

"However, the banks' balance sheets recovery process will be a long process because of the long healing periods on restructured loans before being classified as performing, and the considerable amount of problem loans, which have not yet structured," he adds. 

Additionally, o Moody`s notes that the process of improvement of bank balance sheets will be prolonged due to the limited recovery through the low volume of sales of assets in the real estate market and the difficulty of changing the culture of Cypriot households, as demonstrated by high rates of restructured loans in arrears. 

Finally, the agency warned that a weakening of banks' solvency level would mark deposit outflows While noting such a possibility is not to forecast. 

http://www.philenews.com/el-gr/oikonomia-kypros/146/350401/moodys-veltionetai-i-chrimatodotiki-domi-ton-kypriakon-trapezon