Assets and credits of the Popular Association of Savings and Loans grew significantly last year

The Popular Association of Savings and Loans (APAP) reported that at the end of 2021 it achieved a growth of 21.5% in its assets, for a total of RD$118,781 million, in a context of rapid recovery of the economy after overcoming the effects of the pandemic.

As part of the assets, the gross loan portfolio grew by 17.4%closing at RD$61,300 million, with a delinquency level improved to 1.4% and a past due portfolio coverage of more than 31 days of 286.8%, details an institutional statement.

It adds that APAP marked another milestone by closing the fiscal year January-December 2021 with a solvency ratio of 53.8%, more than 5 times the minimum of 10% established by the monetary and financial law.

“The health of these results has been ratified by the risk rating agencies Fitch Ratings and Feller Rate, which have assigned APAP an AA- rating with a stable outlook,” said Gustavo Ariza, executive president of the financial institution.

The main mutual entity in the country experienced strong commercial credit growth of 44.5%as well as 25.0% in consumer loans and 17.6% in mortgage loans, positively impacting different areas of the Dominican economy.

Mortgage loans represented 55.9% of the portfoliowith which APAP ratifies its original vocation to promote housing, while consumer loans rose to 27.7% and commercial loans were 16.4%.

Ariza indicated that APAP loans to SMEs, which make up the largest proportion of the country’s business fabric, grew by 15.3% and represented important support for their formalization and financial inclusion process.

“Two confidence factors, deposits and the issuance of subordinated debt, added up to RD$92,506 million, for a growth of 17.1% driven by a robust increase of 36.3% in financial certificates”, Ariza stressed.

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In turn, he indicated that the issue of subordinated debt of RD$5,000 million registered a demand of 1.5 times the offer placed in the market.

“The increase in efficiency indicators, the strategies to improve profitability and the maximization of the business network contributed a net result of RD$2,919 million, for an increase of 81.5%, overcoming the challenges in the years of the pandemic”, valued the executive president of APAP.

These results were presented this Thursday at the institution’s annual assembly of associates.

 

 

 

 

 

 

 

 

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