The Taiwan Financial Services Commission published end-February 2025 asset quality statistics for 38 domestic banks, showing the average non-performing loan (NPL) ratio unchanged at 0.16% from the prior month and from the same month last year. Total outstanding loans increased to TWD 42.76 trillion (USD 1,303 billion), while NPL balances rose to TWD 69.19 billion (USD 2.11 billion). Outstanding loans were up TWD 164 billion (USD 5 billion) month on month and NPLs increased by TWD 0.69 billion (USD 0.02 billion). Allowance coverage of NPLs fell by 10.35 percentage points to 835.23% from 845.58%. The FSC assessed the reported asset quality as manageable and indicated it will continue to require banks to take measures to improve asset quality and financial structure.
Taiwan Financial Services Commission 2025-04-08
Taiwan Financial Services Commission reports domestic banks’ NPL ratio steady at 0.16% and allowance coverage down to 835.23%
The Taiwan Financial Services Commission reported that the average non-performing loan (NPL) ratio for 38 domestic banks remained steady at 0.16% in February 2025. Total outstanding loans rose to TWD 42.76 trillion (USD 1,303 billion), with NPL balances increasing to TWD 69.19 billion (USD 2.11 billion). The FSC deemed asset quality manageable and will continue to mandate banks to enhance asset quality and financial structure.