ALTHOUGH the commercial banking space continues to exhibit growth, data from the Bank of Jamaica (BOJ) revealed that some companies are actively dominating the lending market while others are building up their capital base for future regulatory changes.

The BOJ recently published the balance sheet data and prudential indicators for the 11 deposit-taking institutions (DTI) in Jamaica, up to September 30, 2025. That publication revealed that the value of loans (net of loan loss provisions) across these entities increased six per cent from $1.46 trillion in September 2024 to $1.55 trillion, with the eight commercial banks representing $1.40 trillion, two building societies representing $143.11 billion, and the sole merchant bank with $4.33 billion in loans. Commercial banks had $1.32 billion in loans in September 2024.

Deposits across the banking sector improved 12 per cent to $2.18 trillion, with $2 trillion held at commercial banks, $177.46 billion held at building societies, and $2.42 billion held at a merchant bank.

While these unaudited interim data show there is more lending in the economy, the underlying figures for commercial banks reveal more peculiar trends.

National Commercial Bank Jamaica Limited (NCBJ)

Assets: $981.76 billion

Loans: $443.59 billion

Deposits: $617.26 billion

Capital/Equity: $112.38 billion

The country’s largest commercial bank grew its assets by five per cent as it put more of its money into Government of Jamaica (GOJ) securities ($164.48 billion), BOJ securities ($28.73 billion), and other foreign currency investments ($108.98 billion). However, the bank’s loan book contracted by three per cent after peaking at $476.28 billion in March 2024. This was due to a focus on portfolio optimisation and asset quality, according to its parent company’s quarterly report. Cash and central bank balances increased 11 per cent to $101.69 billion.

Customer deposits improved eight per cent, with foreign currency deposits at $207.76 billion while repurchase agreements declined 20 per cent to $79.55 billion due to the bank aiming to improve its cost-of-funding base. Capital grew two per cent as dividends were paid to its parent, there was a change in fair value reserve, and its capital adequacy ratio (CAR) surpassed 15 per cent.

The Bank of Nova Scotia Jamaica Limited (BNSJ)

Assets: $683.01 billion

Loans: $335.65 billion

Deposits: $547.33 billion

Capital: $88.37 billion

Scotiabank Jamaica saw its asset base improve 12 per cent due to loans rising 15 per cent over the comparative period. While commercial banks saw loans rise by $80.02 billion over the same period, Scotiabank was responsible for $43.79 billion or 55 per cent of that increased loan balance. Cash and central bank balances increased 24 per cent to $84.25 billion, with cash due from overseas banks and financial institutions rising 28 per cent to $90.29 billion.

Customer deposits improved 12 per cent, with foreign currency deposits reaching $200.41 billion. Capital grew 10 per cent as it bulked up its retained earnings reserve fund to $62.10 billion to strengthen its CAR for future regulatory changes.

JN Bank Limited

Assets: $291.55 billion

Loans: $165.10 billion

Deposits: $220.37 billion

Capital: $29.89 billion

JN Bank’s asset base increased eight per cent on a year-over-year basis, with loans rising by four per cent. The bulk of the asset growth can be attributed to local GOJ securities ($7.02 billion) and other foreign currency securities ($19.37 billion). Cash and central bank balances stood at $26.83 billion.

Customer deposits improved nine per cent while repurchase agreements increased five per cent to $22.69 billion. Capital grew four per cent as JN Bank put more of its earnings towards regulatory capital with the CAR above 13 per cent.

Sagicor Bank Jamaica Limited (SBJ)

Assets: $246.20 billion

Loans: $146.03 billion

Deposits: $193.49 billion

Capital: $30.55 billion

SBJ’s asset base grew 13 per cent, with loans rising 12 per cent on a year-over-year basis. The bank invested more into GOJ securities ($16.87 billion) and BOJ securities ($15.90 billion) while its cash and central bank balances stood at $23.40 billion and due from overseas banks and financial institutions rising 120 per cent to $9.76 billion.

Customer deposits improved 15 per cent, with $74.93 billion held in foreign currency. Capital increased nine per cent as SBJ’s earnings were largely allocated to regulatory capital.

JMMB Bank (Jamaica) Limited

Assets: $217.46 billion

Loans: $143.19 billion

Deposits: $175.22 billion

Capital: $22.71 billion

JMMB Bank grew assets nine per cent as loans rose seven per cent on a year-over-year basis. JMMB purchased more BOJ securities ($16.12 billion) and increased its cash and central bank balances to $20.99 billion.

JMMB’s deposit base increased 21 per cent, with $57.30 billion held in foreign currency. JMMB’s capital increased nine per cent as it continued to build up its regulatory capital.

CIBC Caribbean Bank (Jamaica) Limited

Assets: $204.87 billion

Loans: $118.37 billion

Deposits: $143.50 billion

Capital: $19.64 billion

CIBC’s assets grew 13 per cent, with loans improving nine per cent ($9.61 billion) over the comparative period. CIBC’s asset base previously stood at $166.89 billion in September 2023, with loans of $89 billion, before its parent company doubled down on the Jamaican market. CIBC’s cash and central bank balances increased 21 per cent to $28.63 billion, with due from overseas banks and financial institutions rising 28 per cent to $36.06 billion.

CIBC’s deposit base increased 15 per cent, with $52.82 billion held in foreign currency. CIBC’s capital base grew six per cent as more earnings were put towards its regulatory capital.

First Global Bank Limited (FGB)

Assets: $100.79 billion

Loans: $49.93 billion

Deposits: $81.45 billion

Capital: $10.86 billion

FGB’s asset base grew eight per cent and exceeded the $100-billion mark for the first time with loans up 16 per cent. FGB invested more into BOJ securities ($11 billion) and held $11.72 billion in cash and central bank balances.

FGB’s deposits improved 10 per cent, with $35.40 billion held in foreign currency. FGB’s capital base grew eight per cent over the comparative period.

Citibank N.A. is a Jamaican branch of Citigroup Inc and does not have major changes in its balance sheet.

The BOJ’s prudential indicators revealed that non-performing loans (NPL) increased 19 per cent on a year-over-year basis to $42.89 billion, with $39.17 billion attributed to the commercial banks. The ratio of NPLs to gross loans ($1.44 trillion) for commercial banks moved from 2.3 per cent to 2.7 per cent over the one-year period but remains well below the five per cent warning mark.

The data also showed that the gross loans-to-deposit ratio for banks moved from 75.7 per cent to 71.8 per cent, a sign that banks lent at a slower pace than the growth of deposits. The pre-tax profit (profit before tax) margin of commercial banks for the June to September quarter moved from 15.6 per cent to 20.6 per cent while building societies saw a move from 10.4 per cent to 16.1 per cent for the same ratio.