Loan Demand Slows Down in July

Loan demand in Cyprus experienced a significant slowdown in July 2025, according to data released by the Central Bank of Cyprus (CBC). Total loans recorded a net increase of €74.9 million, a considerable decrease compared to the previous four months.

Simultaneously, deposits saw a net decrease, following a substantial net increase of €1.16 billion over the preceding three months. In July 2024, loans had recorded a net decrease of €7.2 million.

Total deposits in July 2025 registered a net decrease of €154.5 million, compared to a net increase of €654.7 million in June 2025. The annual growth rate of total deposits reached 6.5%, with the balance of total deposits standing at €56.6 billion.

Deposits from Cyprus residents decreased by €89.7 million. Household deposits and non-financial corporations’ deposits increased by €62.6 million and €105.3 million respectively. Total loans in July 2025 recorded a net increase of €74.9 million, compared with a net increase of €672.3 million in June 2025.

The annual growth rate of total loans reached 7.2%, and the outstanding amount of total loans stood at €26.5 billion. Loans to Cyprus residents decreased by €42.7 million. Loans to households increased by €19.7 million, while loans to non-financial corporations decreased by €45.8 million.

Source: CNA