Slovak Banks Enjoy 34% y/y Hike in Profit
As people have to keep tightening their belts, Slovak banks are not suffering from any crisis, with a massive hike in profits in 2011.
According to a press release issued by the Slovak Banking Association (SBA) yesterday, the net income of Slovak banks for 2011 translates into an astonishing 34% year-on-year hike in profit to EUR 674 million.
The positive figure comes from preliminary calculations of the National Bank of Slovakia, with one-off deposits generating a large part of the positive development. Discounting them, the profit in the sector would still be EUR 504 million. The final audited results should be published in March.
In 2011 Banks saw net income from interest increase by 7% year-on year (to EUR 1.8 billion), with revenues from fees and commissions also up 5%. New mortgage loans granted in 2011 came to EUR 3.8 billion, which is an all-time high (in 2010 it was EUR 3.2 billion).