With the bank’s assets at about 175 percent of Cyprus’ GDP and advances to customers equivalent to over 80 percent of its asset base (before reserves) it is pretty safe to say “this isn’t your father’s bank!” You decide.
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I would love to see note 13!
Thanks for comments, LW.. The footnote is just below the balance sheet. Not much detail, however, except large loan loss reserves against the advances.
Pingback: Cyprus’ Popular (Laiki) Bank Balance Sheet | goldcuan
Reblogged this on goldcuan.
wow, super bubble banking system!
Pingback: Cyprus’ Popular (Laiki) Bank Balance Sheet | Fifth Estate
A reblogué ceci sur le blog a lupus…un regard hagard sur l'écocomics et ses finances…. and commented:
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Maybe I’m missing your point, but it doesn’t appear to shed much light on Laiki’s difficulties.
The issue isn’t that 80% of Laiki’s assets are ‘Advances to customers’ – which doesn’t seem exceptional – the question is what’s their nature and quality. The ‘3 million provision for impairment indicates trouble with equity and reserves of 4 million.
Thanks for comment, JR. It’s the size of the balance sheet relative to GDP.