The Central Bank of Nicaragua published its May 2026 Banking and Financial System indicators note, showing continued strength in liquidity, solvency and profitability alongside double digit annual growth in both public deposits and lending. Public deposits rose 15.4 percent year over year to NIO 294,813.1 million, while the loan portfolio increased 11.0 percent to NIO 245,379.8 million. Credit quality remained stable, with performing loans at 95.7 percent of gross loans and the past-due loan ratio at 1.4 percent, unchanged from May 2025. Year to date, system funding was driven mainly by higher obligations to the public of NIO 19,650.2 million, supplemented by a reduction in cash of NIO 3,248.6 million and an increase in deposits from financial institutions and international organizations of NIO 2,527.4 million. Those resources were used primarily to increase investments by NIO 14,788.9 million and gross lending by NIO 7,274.6 million, while also reducing obligations to financial institutions by NIO 2,868.8 million. Liquidity, measured as cash and cash equivalents over public deposits, stood at 34.2 percent. The legal reserve requirement showed overcompliance in both domestic and foreign currency, with an end-month effective rate of 15.4 percent in each. Return on equity was 13.6 percent, return on assets was 2.3 percent and the capital adequacy ratio reached 19.2 percent.
Central Bank of Nicaragua2026-07-07
Central Bank of Nicaragua reports double digit deposit and credit growth in May banking indicators
The Central Bank of Nicaragua said its Banking and Financial System indicators for May 2026 showed continued strength in liquidity, solvency and profitability, with public deposits up 15.4 percent and lending up 11.0 percent year over year. Asset quality remained stable, with a 1.4 percent past-due loan ratio and 95.7 percent of loans classified as performing. Liquidity stood at 34.2 percent and capital adequacy at 19.2 percent.