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LJUBLJANA, Sept 19 (Reuters) - Joint net profit of Slovenian banks rose to 287.6 million euros ($344.5 million) in the first seven months of the year from 272.6 million in the same period of 2016, mainly due to lower provisions for bad loans, the Bank of Slovenia said in a report on Tuesday.
Bad loans, with repayment delayed by 90 days or more, fell to 3 billion euros in July or 7.3 percent of all loans, down from 7.5 percent a month earlier.
Joint balance sheet assets increased by 1.3 percent year-on-year while loans were up by 1.2 percent.
"Loans to non-financial companies rose by 6.5 percent year-on-year in July ... while loans to households were up by 7.3 percent with positive growth of those loans at all banks," the central bank said.
Slovenian banks have been gradually reducing bad loans and increasing lending since 2013 when the government had to pour more than 3 billion euros into local banks to prevent them from collapsing under a large amount of bad loans, managing to narrowly avoid an international bailout.
The government still controls about 45 percent of the banking sector while the rest is owned by foreign banks and investors, including US investment firm Apollo Global Management , France's bank Societe Generale, Italy's Unicredit and Intesa Sanpaolo, Russia's Sberbank, Austria's Sparkasse and Addiko Bank.
$1 = 0.8349 euros Reporting by Marja Novak; editing by Jason Neely and Louise Heavens