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Development trends of the banking sector 

(as of March 31, 20191

 

As of March 31, 2019, 25 commercial banks (including the branch of the National Bank of Pakistan in Bishkek city) and 321 branches of the commercial banks operated in the territory of the Kyrgyz Republic. 

As of March 31, 2019, aggregate assets of the banking sector decreased by 0.4 percent year-to-date and totaled KGS 221.2 billion (at the end of 2018 KGS 222.0 billion). 

As of March 31, 2019, the volume of the credit portfolio2 of the banking sector increased by 2.1 percent year-to-date and amounted to KGS 130.6 billion (at the end of 2018 KGS 127.9 billion), including the sectors as follows: 

· loans for industry amounted to KGS 11.3 billion (decrease by 2.2 percent); 

· loans for agriculture amounted to KGS 24.5 billion (increase by 3.6 percent); 

· loans for commerce amounted to KGS 36.0 billion (increase by 3.0 percent); 

· loans for construction activity amounted to KGS 11.8 billion (increase by 4.6 percent); 

· loans for mortgage amounted to KGS 12.6 billion (increase by 2.4 percent); 

· consumer loans amounted to KGS 13.6 billion (decrease by 1.3 percent); 

· other loans amounted to KGS 20.9 billion (increase by 2.2 percent). 

As of March 31, 2019, the share of non-performing loans in the credit portfolio of the banking system made 7.9 percent or KGS 10.2 billion (at the end of 2018 7.5 percent or KGS 9.6 billion).  

As of March 31, 2019, total liabilities of the banking sector decreased by 1.2 percent year-to-date and amounted to KGS 184.3 billion (at the end of 2018 KGS 186.6 billion). 

Aggregate deposit base of the banking sector3 increased by 0.5 percent year-to-date and amounted to KGS 133.8 billion (at the end of 2018 KGS 133.1 billion soms), including: 

· deposits of the legal entities totaled KGS 45.0 billion (decrease by 1.1 percent); 

· deposits of the individuals totaled KGS 73.7 billion (increase by 3.1 percent); 

· deposits of the authorities totaled KGS 3.7 billion (decrease by 24.0 percent); 

· deposits of the non-residents totaled KGS 9.9 billion (increase by 1.9 percent); 

· deposits of other financial-credit organizations totaled KGS 1.4 billion (decrease by 4.1 percent). 

As of March 31, 2019, the net total capital of the banking sector being applied to calculate the prudential standards set by the NBKR increased by 4.2 percent year-to-date and amounted to KGS 38.0 billion (at the end of 2018 KGS 36.5 billion). On March 31, 2019, the share of foreign contribution in capital of the banking system made 43.9 percent or KGS 11.1 billion of the paid up authorized capital of the banking sector. 

As of March 31, 2019, the total capital adequacy ratio of the banking system made 24.7 percent (at the end of 2018 23.7 percent) with the standard of 12.0 percent, the leverage ratio of the banking system made 17.2 percent (at the end of 2018 16.5 percent) with the standard of 8.0 percent. 

As of March 31, 2019, the liquidity ratio of the banking system made 68.3 percent (at the end of 2018 66.9 percent) with the standard of 45.0 percent.  

Return of assets of the banking sector (ROA) was 0.7 percent (at the end of 2018 1.4 percent), and return on equity (ROE) made 4.4 percent (at the end of 2018 9.5 percent). 

The total financial intermediation (assets/GDP) made 39.5 percent. 

1 Preliminary data taking into account adjustments introduced by the banks for the previous periods. 

2 Excluding loans extended to the banks and other financial-credit organizations. 

3 Excluding deposits of the banks.