Cypriot banks maintain a high solvency ratio

The overall solvency ratio of the Cyprus banking sector stood at 21.2% at the end of December 2022, the same as September 2022, according to data published by the Central Bank of Cyprus last week.

According to key aggregate financial indicators for the Cyprus banking sector, by CBC, an annual increase of 50 base units was recorded.

The Cyprus banking sector's CET1 ratio in the fourth quarter of 2022 amounted to 17.7%, recording a 0.3% decrease compared to September 2022, but remaining stable on an annual basis.

At the same time, banks' efficiency shows improvement, since the cost-to-income ratio was down to 68.7% in December 2022, compared to 82.6% in September of the same year.

With regard to income, net interest income in the fourth quarter of 2022 amounted to 68.7% of total income compared with 74.3% in the previous quarter.

Furthermore, net...