Key figures

The Andorran financial sector in figures

Key figures


A strategic sector of the Andorran economy

The financial system is one of the main pillars of the Andorran economy which, together withthe insurance sector, contributes roughly 21% to gross domestic product (GDP).

The Andorran banking sector comprises a total of five banking groups with over 85 years of banking experience.

The main lines of business in the banking sector are retail banking, private banking and asset management and insurance. The sector is regulated and supervised by the Andorran National Institute of Finance (INAF).

The banking sector closed 2016 with an increase of EUR 220 million in managed resources compared to the previous year, with an aggregate volume of EUR 45,434,000,000, an increase of  0.5% over 2015. This data includes the resources managed by Vall Banc. The growth of Andorra’s banking sector demonstrates the strength and stability of the sector at a time of transition to the new international transparency standards.

The attributed net profit was EUR 156 million, 7% lower than the year before but in line with forecasts in the context of negative interest rates that have been affecting financial margins since 2014, in addition to the costs associated with adapting to the new regulatory framework for the European banking sector. We would also note the return on the banks’ own resources, which closed 2016 with an ROE of 9.73%, well above the European average.

The solvency ratio stood at 25.1%, an increase of 230 basis points over the year before, which demonstrates the entities’ efforts to strengthen their capital, greatly exceeding the minimum stipulated rate under Andorran regulations.

Andorran banks also contributed to the growth of the Andorran economy, granting loans totalling EUR 2,880 million in assets in 2016, up by 0.38% over the year before.

  • 2016

    2016 (In thousands of euros)
    Total assets 14.492.462
    Gross credit investment 6.299.918
    Assets under management 45.434.271
    Results €155.933
    ROE  9,73%
    ROA 1,03%
    Efficiency ratio 59,98%
    Solvency ratio 25,10%
    Liquidity ratio 61,41%
     

    The data includes five banks: Andbank, Morabanc, Crèdit Andorrà, BancSabadell d’Andorra i Vall Banc.

    Source: Associació de Bancs Andorrans

  • 2015

    2015 (In thousands of euros)
    Total assets 14.411.802
    Gross credit investment 6.278.629
    Assets under management 45.214.084
    Results €168.548
    ROE 10,93%
    ROA 1,19%
    Efficiency ratio 54,15%
    Solvency ratio 22,78%
    Liquidity ratio 71,24%
     

    The data includes five banks: Andbank, Morabanc, Crèdit Andorrà, BancSabadell d’Andorra i Vall Banc.

    Source: Associació de Bancs Andorrans

  • 2014

    2014 (In thousands of euros)
    Total assets 14.046.563
    Gross credit investment 6.337.751
    Assets under management 43.965.816
    Results €183.268
    ROE 12,38%
    ROA 1,38%
    Efficiency ratio 45,35%
    Solvency ratio 20,75%
    Liquidity ratio 68,11%
     

    The data includes five banks: Andbank, Morabanc, Crèdit Andorrà, BancSabadell d’Andorra i Vall Banc.

    Source: Associació de Bancs Andorrans

  • 2013

    2013 (In thousands of euros)
    Gross credit investment 6.152.178
    Assets under management 34.020.667
    Results 184.656
    Solvency ratio 22,04%
    Liquidity ratio 67,31%
     

    The data includes five banks:  Andbank, Morabanc, Crèdit Andorrà, Banc Sabadell d’Andorra and Vall Banc.

    Source: Association of Andorran Banks