The Taiwan Financial Supervisory Commission reported that the 38 domestic banks’ outstanding loans rose by TWD 1.04 trillion from June to TWD 48.85 trillion at the end of July 2026. Nonperforming loans increased by TWD 1.25 billion to TWD 68.59 billion, while the average nonperforming loan ratio remained unchanged at 0.14% and was 0.02 percentage points lower than a year earlier. The allowance coverage ratio for nonperforming loans increased by 1.71 percentage points from June to 941.22%. The commission assessed domestic banks’ asset quality as manageable and will continue requiring banks to improve their asset quality and financial structure.
2026-09-10Taiwan Financial Services Commission
Taiwan's Financial Supervisory Commission reports domestic banks’ nonperforming loan ratio stable at 0.14% in July
Taiwan’s 38 domestic banks held TWD 48.85 trillion in outstanding loans and TWD 68.59 billion in nonperforming loans at the end of July 2026. The average nonperforming loan ratio remained at 0.14%, while the allowance coverage ratio rose to 941.22%.