El Salvador: The Banking System in November 2015
23 Nov 2015The liquidity of the banking system grew by 30% in the last twelve months, helped by the growth of liquid assets of banks and the extension of terms for external loans.
The report by the Central Bank concludes in its study on financial stability that the Salvadoran banking system continues to show a position of robust solvency in terms of liquidity levels which have been expanded in recent months.
Some of the study's findings:
The Salvadoran banking system continues to show a position of robust solvency in liquidity levels that have been expanding in recent months.
- The solvency has been strengthened by capital increases and positive but moderate financial results, while liquidity has shown an upward trend as a result of significant growth in deposits and medium-term foreign loans.
- Credit figures indicate a preference for consumption at the expense of lending to companies, showing zero growth, which has led to a higher proportion of household debt.
Source: centralamericadata.com