Last year, the banking system in Slovenia generated EUR 450.3 million in profit after tax, which is 15.1 percent less than the year before. According to the Bank of Slovenia, relatively favorable results were mainly achieved by the merger of Nova KBM and Abanka, because without this effect, profits would be lower by more than half.
The total balance sheet of the banking system in 2020 increased by more than 8 percent (EUR 3.4 billion) to EUR 44.65 billion. Deposits of the non-banking sector remain the main factor in the increase in total assets. Household deposits, which make up two-thirds of all deposits in the non-banking sector, rose by more than a tenth last year, from EUR 20.3 to 22.4 billion.
In December, demand deposits from the non-banking sector continued to grow, with corporate loans falling in particular and consumer loans continuing to decline. The growth of corporate loans has been negative since August last year, reaching -1.4 percent year on year in December. The biggest contribution to this was made by the December drop in the volume of loans by EUR 186 million.
Growth in retail loans slowed further towards the end of last year, reaching only 0.1 percent year on year in December. The year-on-year decline in the volume of consumer loans (-7.8 percent), which overlapped with uncertain economic conditions and the worsening of the epidemiological situation at the end of last year, contributed the most to the rapid decline in growth.
