As of April 30 2008, the loan portfolio of banks operating in Bulgaria totaled 47.96 billion leva, up 42.7 per cent on the year, data of the Bulgarian National Bank (BNB) showed.

Thus, the loan exposure of the Bulgarian banking system already accounts for 85 per cent of Bulgaria’s gross domestic product, which was 56.5 billion leva in 2007, according to the National Statistical Institute.

In April alone, the gross value of loans and advance payments rose by 1.2 billion leva, or 2.5 per cent. The increase happened across the board, in lending to non-credit institutions, corporate and retail loans.

The BNB said that the quality of the credit portfolio remained good.

As of April 30, the assets of the banking system totaled 61.3 billion leva in what is an increase by 38.2 per cent on the year. The five largest lenders control more than 56.7 per cent of the banking sector.

The volume of funds attracted  is commensurate to that of assets. Over the past year, the size of funds attracted rose by 38 per cent to 53.8 billion leva. In April, the main source of financing for banks was the 10.3 per cent increase of financing from foreign lenders. The value of deposits from individuals and households reached 20.3 billion leva. Deposits also remained a main source of financing with a share of 37.8 per cent, BNB noted.

Aggregate net profit of banks came in at 481 million leva, an increase by 57.7 per cent. The capital of banks rose by 45.8 per cent on the year to 6.6 billion leva as of April 30 2008.