TIRANA, Sept 23 /ATA/ – The restructured loan ratio in the last 12 months was estimated at around 27 billion lek, an amount that makes for about 10 % of the banking sector’s annual new loan influx, the Bank of Albania said in its latest Financial Stability Report.
According to the Bank, around 80 % of the restructured loans share was reported by the commercial banks as restructured in the second half of 2020.
The restructured loans include the loans portfolio to businesses, the industry sector (mainly extracting industry), and the foreign currency-denominated loans.
The borrowers from the industry sector have around 14% of their loan stock restructured, and the restructured loans to this sector accounted for around 35 % of the volume of the restructured loans during the reviewed period.
The loan restructuring for this sector has been carried out mostly during the second half of 2020.
Industry was one of the sectors worst hit by the pandemic during this period, recording a strong decline in production and largely contributing to the shrinkage of the country’s economy.
Two other sectors making for a significant share in the volume of restructured loans in the past 12 months were trade and tourism.
The restructured loans to these two sectors was estimated at around 8 billion lek or one third of the total of the restructured loans during this period.
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