Forty one billion Dinars were out of banks as real estate and consumer loans

Housing loans exceeded 400 billion dinars, or 40 billion centimes, while banks and financial institutions in Algeria counted 1,000 billion centimes out of their coffers as consumer loans, the bulk of which was consumed by loans aimed at the acquisition of brand-new cars, in less than two years.

In so doing, the banks sent a letter to the economic agents concerned with settling the import of the goods concerned with a license.
They were required to attach each application for the import license out of the total list of 26 items and products which the Government has recently subjected to import licensing.
The head of the Association of Professional Banks and Financial Institutions and the Director General of the Agricultural Bank, Mr. Boualem Djebbar, told “Echorouk” to this effect that the volume of mortgages represents only 15 percent of the volume of bank loans, while investment loans constitute 75 percent of total bank loans.
He pointed out that the bank loans reached by the end of last year 8,400 billion dinars, 75 percent of which were meant for investment loans.
He also stressed that the rate of delivery of mortgages, has reached 400 billion dinars, or 40 thousand billion centimes, almost 100 percent, while indicating that a large size of funds was allocated by the Algerian CPA to finance various housing construction projects.
He said that the real estate loans allocated to the latter were nothing compared to those attributed to “AADL” housing programs.
As for the overall volume of consumer loans, which did not complete their second year of return, our interlocutor said that the Algerians borrowed 10 billion dinars, or 1,000 billion centimes, and said that the demand has taken an upward trend since the return of this banking product.
Mr Djebbar further noted that about 90 percent of consumer loans were destined to the purchase by citizens of new vehicles, with a remaining 10 percent, covering expenses for  some household furniture and equipment loans.