Taiwan bad loans increased by $400m in July
Total outstanding loans increased to $1.19t at the end of July.
Taiwan’s non-performing loans (NPL) reached $1.89b in July, an increase of $400m compared to the previous month, the Financial Supervisory Commission said.
Total outstanding loans extended by the current 39 domestic banks increased by $7.54b as compared to the figure of the previous month and amounted to $1.19t at the end of July 2022.
The FSC said that the average NPL ratio of the 39 banks remained at 0.16% compared to June, however, NPL ratio was down by 0.05 percentage points compared to July 2021.
The coverage ratio of allowances for NPLs stood at 839.71%.
The FSC said the asset quality of domestic banks continuously remained manageable as of the end of July 2022
“Whilst the ratio slightly increased by 9.97percentage points from 829.74% of the previous month, it still remained stable at a higher level. The FSC will request banks to undertake measures to improve asset quality and financial structure on an ongoing basis,” the FSC said.