Cypriot banks granted 50% fewer loans in April 2022 in comparison to March due to a sizable drop in new housing loans.
According to data published by the Central Bank of Cyprus, total new “fresh” credit in April amounted to 193.6 million euros compared with €378 million the month before, marking a monthly drop of 49%. Compared with April of last year, new loans dropped by 1.4%.
All new loan categories as reported by the CBC fell compared with the previous month, with housing loans and loans over €1 million (representing the largest categories) showing sizable reductions.
New consumer credit in April amounted to €11.4 million, compared with €12.3 million in March, while housing loans slumped to €64.8 million compared with €195.2 in the previous month. The drop may be attributed to the Easter holidays as well as price hikes in raw materials, which pushed home prices upward.
New credit up to €1 million amounted to €44.4 million, compared with €68.3 million in the previous month, while new loans over €1 million declined to €66.9 million, compared with €95.4 million in March.