The loan portfolio of the Credit Facility Management (CFM) sector and Credit Purchase Companies (CPCs) in Cyprus increased by €256 million, as of the end of March 2026, compared to the end of 2025, according to data published Tuesday by the Central Bank.

Specifically, as of March 31, 2026, the contractual balance of all loans under management outside the banking system amounted to €19,607 million, an increase of 1.3% compared to December 31, 2025, when it stood at €19,351 million.

The increase is mainly attributable to growth in loans to households (by €131 million) and non-financial corporations (by €118 million).

According to data published by the CBC, of the €9,667 million in loans held by households, €662 million are performing and €9,005 million are non-performing. These loans involve a total of 55,044 households.

Similarly, of the €9,236 million in loans held by non-financial corporations, €403 million are performing and €8,833 million are non-performing. These loans involve a total of 9,261 non-financial corporations.

Both households and non-financial corporations saw an increase in non-performing loans compared to December and a decrease in performing loans. In contrast, in the “other financial institutions” category, performing loans increased to €15 million from €6 million, and non-performing loans decreased to €689 million from €691 million. This loan category covers 76 other financial institutions.

According to the CBC, for loans with a contractual balance of €19,607 million, the net book value as of March 31 was €2,843 million.

As the CBC notes, the net book value is the value of a loan as reflected on the balance sheet of the debt purchase companies, adjusted to reflect any revisions to estimates of future cash flows and impairments. Similarly, the contractual balance represents the principal balance owed by the borrower under the loan agreement, regardless of any potential recovery, provisions, or the market value of the portfolio, including accrued interest.