Breaking news

Cyprus Credit Acquisition Firms Wrestle With €19.7 Billion Loan Exposure

by THEFUTURE.TEAM

September 9, 2025

Overview Of The Financial Landscape

On June 30, 2025, Cyprus’ credit acquisition companies were reported to hold loans totaling €19.7 billion, as verified by the Central Bank of Cyprus. This figure underscores significant financial exposure within the sector, warranting a comprehensive examination of the underlying challenges.

Non-Performing Loans Dominate The Balance Sheet

Notably, an overwhelming €18.5 billion of the total loans have been classified as non-performing. This represents a staggering 94% of all outstanding loans, indicating severe liquidity and credit quality issues that could have far-reaching implications for both the domestic market and investor confidence.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Disaggregated Insights: Individuals Vs. Enterprises

The sector’s portfolio reveals stark contrasts between different borrower groups. Loans extended to individuals amounted to €9.9 billion, with €9.3 billion impaired. In parallel, loans to legal entities reached €9.75 billion, of which €9.27 billion were non-performing. These figures reflect common challenges across various client segments and highlight the pervasive nature of credit risks underpinning the industry.

Borrower and Asset Metrics

Credit acquisition companies manage a sizeable clientele of 69,494 borrowers while possessing a property stock of 8,079 units. The real estate portfolio is valued at approximately €974 million. This asset base, although significant, pales in comparison to the immense scale of non-performing liabilities.

Concluding Analysis

The concentration of non-performing loans, dominating 94% of total exposures, raises critical questions about risk management and operational resilience within Cyprus’ credit acquisition firms. Stakeholders and market regulators must closely monitor developments in this segment to mitigate potential systemic risks and safeguard financial stability.

The Future Forbes Realty Global Properties

FinTech’s Dominance In MENA: Three Strategic Drivers Behind Unyielding VC Success

by THEFUTURE.TEAM

September 11, 2025

Despite facing tightening global liquidity and macroeconomic headwinds, the FinTech sector continues to assert its leadership in the MENA region. In the first half of 2025, FinTech emerged as the most resilient and appealing arena for venture capital investments, proving its worth as a catalyst for financial innovation and inclusion.

Addressing Structural Financial Gaps

In many parts of MENA, a significant proportion of the population remains underbanked and underserved by traditional financial institutions. FinTech companies are uniquely positioned to address these persistent challenges by bridging critical access gaps and driving financial inclusion. With the proliferation of payment apps, digital wallets, and micro-lending platforms, investors have witnessed firsthand how these solutions pave the way for scalable growth and eventual exits. Early-stage momentum in the region is underscored by a doubling of pre-seed deals year-over-year, reinforcing the sector’s capacity for rapid innovation and sustainable expansion.

Follow THE FUTURE on LinkedIn, Facebook, Instagram, X and Telegram

Highly Scalable and Replicable Business Models

One of the key factors behind FinTech’s dominance is the inherent scalability of its business models. Once the necessary infrastructure and regulatory approvals are in place, these models have demonstrated robust performance across borders. The first half of 2025 saw a marked acceleration in deal activity, with payment solutions leading the charge with 28 deals in MENA—a significant increase over the previous year. Lending platforms, in particular, experienced a meteoric 500% year-over-year increase in funding, emerging as the fastest-growing subindustry. Such replicability makes FinTech an attractive proposition for investors seeking high-growth opportunities in diverse markets.

Supportive Regulatory And Government Backing

The strategic support offered by key government initiatives in the UAE and Saudi Arabia has been instrumental in propelling the FinTech sector forward. Progressive frameworks, such as the UAE’s open finance and digital asset directives, coupled with Saudi Arabia’s live-testing sandboxes, have materially lowered entry barriers for startups. These measures not only foster innovation but also streamline the path to commercialization. Consequently, the combined efforts of these regulatory bodies have enabled the UAE and Saudi Arabia to account for 86% of MENA’s total FinTech funding in H1 2025.

The resilience of FinTech in MENA is not merely a reflection of contemporary market trends—it signals a fundamental shift in the region’s economic fabric. With an unwavering commitment to addressing real financial challenges, scalable and replicable business practices, and robust regulatory support, FinTech is setting the benchmark for sustainable innovation. As capital markets become increasingly discerning, this sector stands out as a beacon of long-term growth and transformative impact.