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LJUBLJANA, July 10 (Reuters) - Non-performing loans at Slovenian banks fell in May to 2.2 billion euros ($2.6 billion), or 5.2 percent of all loans, from 5.4 percent in April, the Bank of Slovenia said on Tuesday.
It also said lenders had a combined net profit of 230.5 million euros in the first five months of 2018, up from 194.6 million in the same period of last year.
"The balance sheet assets of the Slovenian banking system reached 38.3 billion euros in May and was up by 2.5 percent year-on-year, mainly on account of higher household deposits," the central bank said in a report.
Total loans to the non-banking sector increased by 5.3 percent year-on-year, while loans to households were up by 6.7 percent.
Slovenia, which narrowly avoided an international bailout for its banks in 2013, when bad loans amounted to about a fifth of all loans, returned to growth a year later and banks have since managed to reduce the amount of bad loans by restructuring and with the help of economic growth.
Some of the biggest banks are still state-owned and the government controls about 40 percent of the banking sector.
The rest are mostly owned by foreign banks and investors, including U.S. investment firm Apollo Global Management, France's Societe Generale, Italy's Unicredit and Intesa Sanpaolo, Russia's Sberbank and Austria's Sparkasse and Addiko Bank.
$1 = 0.8539 euros Reporting By Marja Novak; Editing by John Stonestreet and Mark Potter