Financial Analysis and Currency Deposits slide image

Financial Analysis and Currency Deposits

Liquid balance sheet positively geared to higher interest rates 1 Cash and balances with Central Banks of €9.91 bn, of which €3 bn TLTRO 2) 3) 4) 7234 25.84 25.84 Other assets 2.25 1.24 Other (including HFS) 1.15 2.09 REMU properties 0.40 Equity 0.61 Wholesale 5 Legacy net loans 2.96 3 Funding from 2 2 0.49 Central Bank Net performing loans 9.72 Due to banks 3 2 Securities Due from banks 2.10 0.31 IEA1 3 18.45 Customer deposits 4 Cash and balances 1 9.91 with Central Banks Total assets Total liabilities & equity Interest earning assets Non-legacy loans of corporate (including IBU, W&M and Large and International corporate), SME and Retail Debt securities, treasury bills and equity investments Excluding TLTRO (€3 bn) and Exempt Tier (€1 bn) 4 • ECB depo rate rises benefit to be booked immediately c. €12 mn4 benefit in 2H2022 from the 50 bps July 2022 rate rise Securities of €2.10 bn Conducive conditions for fixed income portfolio expansion going forward Net loans of €10.12 bn (of which €9.72 bn performing book) • 48% linked with Euribor 23% linked with Bank's base rate 15% linked with ECB MRO rate Customer deposits of €18.45 bn • Cyprus banking system has ample liquidity, so no immediate deposit repricing expected • Liquidity fees charged from March 2021, contributed c. €8 mn in 1H2022, expected to phase out as interest rates pick up 5 Wholesale funding of €0.61 bn Expected to gradually increase to comply with MREL requirements 15
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