16:57 - 11.05.2023

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May 11, Fineko/abc.az. International rating agency S&P Global Ratings has published a forecast on problem loans in the banking sector of Azerbaijan.

ABC.AZ reports that the agency predicts relative growth of problem loans in Azerbaijan by 2025.

So, in 2022, the share of overdue loans in the total loan portfolio was 2.9%. Standard & Poor's determined that problem loans will grow by 3.1% this year and up to 3.2% in 2024.

S&P forecasts an increase in credit losses in the banking sector. The rating agency has determined the ratio of credit losses to the total loan portfolio at 1.2% for 2023 and 2024.

At the end of last year, this figure was 1%.