Italian lender Unicredit more than doubled its profit year on year in 1Q24 in Russia to €213mn in 1Q24, according to Kommersant daily. Unicredit’s net interest income fell by 5.9% to €200mn and net fee and commission income by 4.7% to €44mn, with trading income up 2.4-fold to €34mn in 1Q24.
As followed by bne IntelliNews, the European Central Bank is expected to step up pressure on foreign banks to exit Russia, with a binding order for UniCredit and Austrian Raiffeisen Bank International (RBI) to cut back their business in the country.
The analysts surveyed by Kommersant note Unicredit’s and RBI’s significant role in the market of international settlements, even if they still largely depend on the actions of foreign correspondent banks.
At the same time Unicredit is cutting its loan portfolio faster than RBI. The Italian bank’s loan book in 1Q24 almost halved to €2.9bn, while RBI's portfolio in Russia shrank by 28.2% to €5.8bn over the same quarter.
UniCredit Russia reported pre-tax profit of €890mn euros in 2023, about 7.7% of the group's total. The pre-tax profit jumped to €210mn in pre-invasion 2021. To remind, in 2022 both RBI and UniCredit were top earners among the foreign banks that maintained activities in Russia.
Related Articles
Egypt and Russia sign supplementary agreements to advance El-Dabaa nuclear plant
Egypt and Russia have signed a supplementary intergovernmental agreement to push forward the El-Dabaa nuclear power plant project in Egypt, Al Arabiya reported on July 8, citing a statement from ... more
Non-performing loans hit historic low in CESEE, but early warning signs emerge, says EBRD
Non-performing loans (NPLs) in central, eastern and south-eastern Europe (CESEE) fell to their lowest levels since the global financial crisis in 2024, but early indicators suggest rising risks ... more
China’s LNG imports slump for eighth month
China’s LNG imports have fallen on a year-on-year basis for the eighth consecutive month, Bloomberg reported on June 26 citing data from Kpler. Imports of the super-chilled fuel in the world’s ... more
Most Read
-
Putin to skip Rio BRICS summit over ICC warrant as Xi signals no-show
16 days ago
-
Turkey yet to prove rare earth deposit has suggested “giant” potential despite reported processing talks with China
10 months ago
-
Uproar in Mongolia as development bank reveals scale of risky loans and NPLs
3 years ago