Commercial banks reported 2% drop in profit in 2025

Commercial banks reported declining profitability for the second consecutive year in 2025. According to central bank NBS data, net profit fell 2% to €1.06bn. After a record 2023 (€1.2bn), profits are falling due to a new tax, with the rate dropping from 30% of gross profit in 2024 to 20% this year. Net interest income rose 7% to €2.6bn, but banks sharply increased provisioning by €231m in anticipation of higher non‑performing loans. Operating costs grew 6%, driven by a 13% increase in IT spending.

(finsider.sk)