The profit of the Bulgarian banking system increased by 4.4 percent on an annual basis to a total of 2.5 billion leva by the end of August this year, according to data from the Bulgarian National Bank.
In August 2025, the assets of the banking system increased by 2.4 billion leva (1.2 percent) to 203.3 billion leva. During the period, loans and advances increased (by 1.6 billion leva, 1.3 percent) and debt securities (by 881 million leva, 2.5 percent), with their shares in the structure of balance sheet assets at the end of the month being 63.7% and 17.7%, respectively (63.7% and 17.5% at the end of July).
Total gross loans and advances at the end of August amounted to 133 billion leva and increased by 1.6 billion (1.3 percent) compared to the end of July. Receivables from credit institutions increased by 571 million leva (4.8 percent) to 12.5 billion leva. The gross loan portfolio increased on a monthly basis by 1.0 billion leva (0.8 percent) to 120.1 billion leva.
Loans to households increased by 894 million leva, 1.7 percent (including 622 million leva secured by residential property), to other financial enterprises by 147 million leva (1.6 percent), and to the general government sector by 1.6 million leva (1.6 percent). by 7 million BGN (0.6 percent).
Loans to non-financial enterprises decreased by 37 million BGN (0.1 percent).
At the end of August, deposits in the banking system totaled 171.8 billion BGN, increasing by 2.1 billion BGN (1.2 percent) compared to the end of July. An increase was recorded in deposits of households (by BGN 1 billion, 1.1 percent), non-financial enterprises (by BGN 1.2 billion, 2.4 percent) and other financial enterprises (by BGN 192 million, 4.8 percent).
Deposits of credit institutions (by BGN 183 million, 1.3 percent) and the general government sector (by BGN 177 million, 4.2 percent) decreased.
The balance sheet equity of the banking system as of August 31, 2025 is BGN 24.9 billion, by BGN 272 million (1.1 percent) more than that reported as of July 31. The increase is mainly due to the increase in current profit.
The impairment charges for financial assets not measured at fair value through profit or loss for the eight months of 2025 amounted to BGN 418 million, BGN 38 million (10 percent) more than those accrued as of August 31, 2024.
The base interest rate (BIR) will be 1.81 percent, effective October 1, the Bulgarian National Bank announced. The BIR is decreasing by 0.01 percentage points compared to September 2025.
The base interest rate in our country has been at zero for many years, but at the end of September 2022 a series of increases began. The BRL had not been raised since 2016, peaking at 3.80 percent in December 2023.
The prime interest rate in Bulgaria is primarily used to calculate the annual interest on liabilities.