The Taiwan Financial Services Commission published end-December 2025 asset quality statistics for 38 domestic banks, showing the average non-performing loan (NPL) ratio fell to 0.15% and the coverage ratio of allowances for NPLs rose to 917.43%. Total outstanding loans reached TWD 44.82 trillion (USD 1,426 billion), up TWD 342 billion (USD 10.88 billion) from the previous month, while NPLs declined to TWD 66.43 billion (USD 2.11 billion), down TWD 3.63 billion (USD 0.12 billion). The NPL ratio decreased by 0.01 percentage points month on month and was unchanged from the same month a year earlier; the coverage ratio increased by 61.95 percentage points from the prior month. The FSC assessed domestic banks’ asset quality as manageable and stated it will continue requiring banks to take measures to improve asset quality and financial structure.
Taiwan Financial Services Commission 2026-02-05
Taiwan Financial Services Commission reports domestic banks’ NPL ratio at 0.15% in December 2025 and coverage ratio at 917.43%
The Taiwan Financial Services Commission reported that as of December 2025, the average non-performing loan (NPL) ratio for 38 domestic banks fell to 0.15%, with the coverage ratio for NPLs rising to 917.43%. Total outstanding loans increased to TWD 44.82 trillion, while NPLs decreased to TWD 66.43 billion, leading the FSC to assess asset quality as manageable and continue requiring banks to enhance asset quality and financial structure.