The Taiwan Financial Services Commission published May 2026 asset quality data for 38 domestic banks showing that total outstanding loans increased by NT$428.3 billion from the previous month to NT$47.35 trillion at month-end. Non-performing loans totaled NT$68.52 billion, up NT$0.03 billion month on month, while the average non-performing loan ratio fell to 0.14% from 0.15% a month earlier. Loss-absorption metrics also improved, with the coverage ratio of allowances for non-performing loans rising 7.19 percentage points from the previous month to 919.81%. The commission described domestic banks' asset quality as manageable based on these figures and said it will continue to require banks to take measures to improve asset quality and financial structure on an ongoing basis.
Taiwan Financial Services Commission2026-07-09
Taiwan Financial Services Commission reports May domestic bank NPL ratio fell to 0.14% as loans rose to NT$47.35 trillion
The Taiwan Financial Services Commission said total loans at 38 domestic banks rose to NT$47.35 trillion at the end of May 2026, while non-performing loans were broadly unchanged at NT$68.52 billion. The average NPL ratio fell to 0.14% and the coverage ratio increased to 919.81%. The commission said asset quality remained manageable and that banks will continue to be required to improve asset quality and financial structure.