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Bulgarian banks' profit rises 12.3% to €1.6 billion in the first nine months of 2026

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Interior of a modern bank branch with service counters, a waiting area and a cash machine in a glass wall Financial
Interior of a modern bank branch with service counters, a waiting area and a cash machine in a glass wall

Bulgarian National Bank data show banking assets of €124.4 billion at the end of September, deposits of €103.6 billion and a lower share of non-performing loans.

The profit of Bulgaria's banking system rose by 12.3%, or €177 million, year on year to €1.6 billion at the end of September 2026, according to Bulgarian National Bank (BNB) data published on Friday 30 October and reported by BTA.

Banking assets increased by €3.4 billion, or 2.8%, during the third quarter to €124.4 billion. The liquidity coverage ratio stood at 263.1% at the end of September, compared with 261.2% at the end of June and a regulatory minimum of 100%.

Gross loans and advances grew by €733 million, or 0.9%, in the quarter to €83.8 billion. The banks' gross loan portfolio rose by €2.2 billion, or 3.1%, to €72.5 billion. Household loans made the largest contribution, increasing by €1.7 billion, or 5.1%, including €1.1 billion of loans secured on residential property. Loans to non-financial companies rose by €684 million, or 2.2%, and to other financial companies by €207 million, while loans to the general government sector fell by €401 million.

Gross non-performing loans and advances fell by €28 million to €2.2 billion. Their share of total gross loans and advances declined to 2.59% from 2.65% at the end of June. Net of impairment, non-performing exposures stood at €1 billion, or 1.24% of the net value of loans and advances.

Deposits rose by €2.3 billion, or 2.3%, during the quarter to €103.6 billion. Company deposits made the largest contribution, growing by €1.4 billion, or 5.3%, while household deposits increased by €851 million, or 1.5%. Deposits from the general government sector and from other financial companies declined.

Impairment costs on financial assets not measured at fair value through profit or loss amounted to €382 million, €134 million or 54% more than at 30 September 2025.

The figures show a sector that is still growing on the back of household borrowing, especially mortgages, while keeping large liquidity buffers. The higher impairment costs are a point to watch as lending continues to expand.

Sources