The meltdown in KKM balance continues

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Lerato Khumalo

Exchange rate-protected Turkish lira deposit and participation accounts (KKM) decreased by 5.6 million lira to 244.2 million lira last week.

According to the weekly bulletin published by the Banking Regulation and Supervision Agency (BDDK), the total credit volume of the banking sector increased by 312 billion 754 million liras as of June 26, rising from 26 trillion 224 billion 538 million liras to 26 trillion 537 billion 292 million liras.

Total deposits in the banking sector, including interbanks, increased by 416 billion 860 million liras last week, from 29 trillion 851 billion 709 million liras to 30 trillion 268 billion 569 million liras.

The amount of consumer loans increased by 52 billion 38 million lira in this period, reaching 3 trillion 371 billion 318 million lira. Of the amount in question, 800 billion 464 million lira consisted of housing loans, 43 billion 292 million lira from vehicle loans and 2 trillion 527 billion 562 million lira from consumer loans.

During this period, the amount of installment commercial loans increased by 39 billion 663 million liras and reached 4 trillion 139 billion 34 million liras. Banks’ individual credit card receivables increased by 1.7 percent, reaching 3 trillion 216 billion 933 million liras.

Of the individual credit card receivables, 1 trillion 199 billion 610 million liras were installment debts, and 2 trillion 17 billion 324 million liras were non-installment debts.

LEGAL EQUITY INCREASED

As of June 26, non-performing receivables in the banking sector increased by 3 billion 901 million liras compared to the previous week, reaching 757 billion 573 million liras. Special provisions were allocated for 571 billion 849 million liras of non-performing receivables.

In the same period, the legal equity capital of the banking system increased by 6 billion 32 million liras, reaching 5 trillion 753 billion 402 million liras.

KKM balance decreased by 5.6 million lira to 244.2 million lira last week.