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Share of banks' assets in Croatia's financial sector falls below 80% - HNB

ZAGREB, Aug 25 (Hina) - The banking system is dominant in the entire assets of Croatia's financial sector, however, for the first time last year, its share fell below 80 percent coming to 78.6 percent, according to a report entitled "Macroprudent Analysis" which the National Bank (HNB) recently published.
ZAGREB, Aug 25 (Hina) - The banking system is dominant in the entire assets of Croatia's financial sector, however, for the first time last year, its share fell below 80 percent coming to 78.6 percent, according to a report entitled "Macroprudent Analysis" which the National Bank (HNB) recently published.

"Leasing companies took the second place with a share exceeding 6%, while insurance companies were third with a share of over 5%," according to the central bank's publication.

The assets of leasing companies rose by 22.3 percent from 2004 to 20.2 billion kuna in 2005.

The share of insurance companies in total assets of financial intermediaries continued slowly reducing, the HNB said.

Last year saw a steady growth in the share of assets of mandatory pension funds with their relative importance in total assets of domestic financial institutions rising from 2.9% in 2004 to 3.2% at the end of the first half of 2005.

"Despite high growth rates, voluntary pension funds are still the smallest financial intermediaries in the Croatian market," the HNB reported, among other things in its publication.

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