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Cyprus Sees Decline In Loans And Rise In Deposits In October 2024

by THEFUTURE.TEAM

November 29, 2024

Cyprus experienced contrasting financial trends in October 2024, with total loans decreasing by €213 million while deposits increased by €377.6 million, according to data released by the Central Bank of Cyprus.

Deposits on the Rise

Total deposits reached €54.6 billion in October, recording a net increase of €377.6 million compared to a €485.7 million rise in September. The annual growth rate of deposits climbed to 5.4%, up from 4.5% the previous month.

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Deposits by Cypriot residents contributed significantly, with an increase of €230.2 million. Within this category:

Household deposits rose by €64.9 million.
Deposits from non-financial corporations increased by €115.8 million.
Other domestic sectors added €49.4 million to the total.

Loans Continue to Decline

The total loan portfolio shrank to €24.8 billion in October, following a €213 million net decrease, in contrast to a €107.3 million increase in September. The annual growth rate of loans remained steady at 2%.

Loans to Cypriot residents dropped by €130.4 million, with mixed performance across sectors:

Household loans saw a modest increase of €9.4 million.
Loans to non-financial corporations declined sharply by €132.2 million.
Other domestic sectors recorded a €7.6 million reduction in loans.

Key Insights

The data suggests a cautious approach by borrowers amid economic conditions, alongside growing confidence in savings, as reflected by the increase in deposits. This trend highlights a shift in financial behaviour within Cyprus, with implications for lending strategies and deposit incentives in the coming months.

The Future Forbes Realty Global Properties

Grammarly Secures $1B Non-Dilutive Financing to Accelerate Strategic Growth

by THEFUTURE.TEAM

May 30, 2025

Innovative Financing Fuels Expansion

Grammarly, the 14-year-old leader in intelligent writing assistance, has forged a groundbreaking $1 billion commitment from General Catalyst. Eschewing traditional equity financing, the company has opted for a revenue-based repayment model, repaying the capital along with a fixed, capped percentage of the revenue generated using this funding.

A Strategic Pivot in Financing Models

The investment, sourced from General Catalyst’s Customer Value Fund (CVF), exemplifies an alternative financing strategy tailored for mature, revenue-generating companies. Unlike conventional venture capital rounds, this arrangement enables companies like Grammarly to secure critical growth capital without diluting ownership or resetting valuation metrics.

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Focused on Growth and Strategic Acquisitions

With the proceeds slated primarily for bolstering sales and marketing efforts, Grammarly aims to reallocate its existing capital toward targeted acquisitions. This strategic move comes on the heels of its recent acquisition of productivity startup Coda, reinforcing its transition into an AI-driven productivity platform. Notably, the company achieved annual revenues exceeding $700 million, underscoring its strong market position.

Context Amid Market Dynamics

Although Grammarly’s valuation of $13 billion during the peak of the ZIRP era in 2021 highlights its high growth prospects, current market conditions have tempered these valuations. This financing structure not only mitigates the impact of these fluctuations but also supports the company’s growth trajectory by leveraging secured recurring revenue streams.

General Catalyst’s Role in Transformative Financing

The Customer Value Fund has backed nearly 50 companies, including insurtech innovator Lemonade and telehealth platform Ro. By providing non-dilutive funding, General Catalyst continues to empower late-stage startups with predictable revenue streams to accelerate their market expansion.

With leadership under CEO Shishir Mehrotra and a renewed focus on AI-powered productivity solutions, Grammarly is positioned to navigate the evolving landscape of digital communication and enterprise productivity.