Source: Central Bank
Processing and comments: ODA
Although since the beginning of the economic crisis in 2008, the pace of credit growth started to decline, a phenomenon not recorded in any of the years after the liberalization of the banking market . This decrease is due to the tightening of banks conditions for crediting but also from the contraction of many businesses in a difficult economic situation as investments are significantly reduced. By processing the data, it results that the decline coincides with the reduction of credit in foreign currency lending by banks , which in 2013 was reduced by a rate of 3 % versus 2012.
Source: Central Bank
Processing and comments: ODA
Loans in local currency, despite the difficult economic situation, have continued to grow, recording an expansion of 2.3 % over 2012 . This is a consequence of the policy of banks , directed by the Central Bank, to lend in local currency in order to avoid the negative effects of exchange rate fluctuations. However foreign currency loans lending continues to dominate the banking system, accounting for 60 % of it.
On the other side, bank deposits at the end of 2013 amounted to 951 billion ALL registering a growth of 2 % compared to 2012 . As in the case of loans, the economic crisis has slowed the pace of deposit growth , but did not decrease the ‘desire’ of Albanians to preserve their savings , especially in conditions of uncertainty to invest .
Source: Central Bank
Processing and comments: ODA
Source: Central Bank
Processing and comments: ODA
Banking system appears well-capitalized at a time when loans account for about 58% of deposits and have a margin of over 403 billion All. The largest share of deposits is dominataed from deposits in local currency , with 52 % of the total.