Losses on Loans by South African Banks Still Not Improving, Regulator Says

The ratio of impaired loans to total credit granted by South African banks remained unchanged at 5.9 percent at the end of June compared with Dec. 31, Errol Kruger, the registrar of banks, said.

Banking activity remained “subdued” by the end of June while profitability ratios at lenders stayed “compressed,” Kruger said in a copy of a presentation to lawmakers in Cape Town today. Assets held by the five largest banks declined 0.4 percent to 2.72 trillion rand by the end of June while the industry posted improvements in capital adequacy levels and leverage ratios, he said.

To contact the reporter on this story: Mike Cohen in Cape Town at mcohen21@bloomberg.net

• Tweet
• More
  • Business Exchange
  • Buzz up!
  • Digg
• Print
• Email