Deposits rise after government puts 2.5 bln in the Co-op
Due to a huge EUR 2.5 bln government deposit in the Co-op bank, total deposits in the Cyprus banking system rose 5.16% in April.
Total deposits in the banking system recorded a net increase of EUR 2.47 bln in April, compared with a net decrease of EUR 642.9 million in March, according to Central Bank of Cyprus figures.
In March total deposits fell 1.46% to EUR 47.99 bln after jittery Co-op customers took their money out over fears the bank was in crisis as the government was trying to sell it off.
Earlier this year, a senior official at the Co-op revealed that the bank bled EUR 1.9 bln in lost deposits in what can only be described as a bank run on the institution.
“The increase of deposits is mainly explained by the deposit of an amount of EUR 2.5 bln by the Cyprus Government, with the Cyprus Cooperative Bank in April 2018,” said the Central Bank.
It said the annual deposits growth compared with -0.8% in March 2018.
The outstanding amount of total deposits reached EUR 50.47 bln in April, up from EUR 47.99 bln in the previous month.
Total loans in April saw a net decrease of EUR 100 million, compared with a net decrease of EUR 155.7 million in March 2018.
rate reached 4.5%,