Pari Daily

The Bulgarian commercial banks reported a total of BGN 293 M net profit for the first ten months of 2001.For a second month in a row, the debt denominated in foreign currency of the budget to the commercial banks commercial marked an increase, according to data released by the Bulgarian National Bank /BNB/.

The end-October foreign currency liabilities of the treasury went up by the equivalent of BGN 54 million to a total of BGN 142.4 million. The whole amount was accounted for in the balance sheets of the so called first-group banks - Bulbank, the United Bulgarian Bank /UBB/ and the DSK Bank.

Experts attribute the increase to foreign debt buy-back operations. October net profit of the commercial banks stood at BGN 17.764 million, which is by 6.4% than the profit reported in September. The three top banks retained their positions, with a 75.6% share of the profit of the whole banking system. Bulbank, UBB and DSK Bank hold 46.6% of the assets of the Bulgarian banking system and 48.2% of all deposits. The three banks have extended a total of 37.1% of all credits.

At the end of October, the balance sheet value of the banking sector fell by 0.25% to a total of BGN 11.412 billion. Credits rose by 4.9%, to a total of BGN 3.994 billion. Corporate credits amounted to BGN 2.926 billion.