Azerbaijan's banking sector made a net profit of 832.9 million manats ($789.94 million) in January-September of this year (+21.9%), Report informs, citing the Central Bank of Azerbaijan.
During the nine months, the sector's operating income amounted to 3,570.9 million manats ($2.1 billion) (+26.3%), operating expenses to 2,303.7 million manats (nearly $1.36 billion) (+27.1%), loan loss provision made up 220.6 million manats ($129.76 million) (+27.2%), windfall gains stood at 0.9 million manats ($0.53 million) and profit tax payments accounted for 214.7 million manats ($126.29 million) (+36.75%).
The assets of Azerbaijan-based banks, as of October 1, amounted to over 45,530.5 million manats ($26.8 billion), up 4.3% from a year earlier.
The loans to customers amounted to 20,987.3 million manats ($12.3 billion). Year-on-year, the loan portfolio grew 16.7%, and the share of loans in assets rose from 41.2% to 46.1%.
In the reporting period, the liabilities grew by 3.3% to 39,539.1 million manats ($23.2 billion), with the deposit portfolio rising by 2.6% to 32,174.2 million manats ($19 billion). Individuals accounted for 12,418.4 million manats ($7.3 billion), while legal entities' deposits made up 19,755.8 million manats ($11.6 billion). During the year, the funds of the population in banks increased by 13%, and the funds of companies in banks decreased by 3.1%.
The liabilities of the banks to the Central Bank of Azerbaijan (CBA) dropped by 2.5 times to 107.7 million manats ($63.28 million), and total capital surged by 12.1% to 5,991.4 million manats ($3.5 billion).
As of October 1, 2023, overdue loans in Azerbaijan amounted to 519.8 million manats ($305.76 million), down 2.7% from a month earlier.
The amount of problem loans in the country decreased by 12.4% compared to the beginning of the year, and by 20% in comparison to a year earlier.
By the end of September of this year, the share of overdue loans in the total loan portfolio was 2.3%, while this figure was 2.4% at the end of August, 2.9% at the end of last year, and 3.3% at the end of September last year.
