News Economy
ABN Amro records a loss of 45 million euros in corona year
ABN Amro has recorded a loss of €2020 million in 45. The bank attributes this to the corona crisis and low interest rates. Last year ABN Amro made more than € 2 billion profit. It is the first time in 10 years that the bank has written red numbers.
CEO Robert Swaak speaks of 'a modest loss'. A net profit of €54 million was recorded in the fourth quarter. “Net interest income is still under pressure due to low savings margins and a lower volume of corporate loans,” said Swaak. The return on equity for 2020 was an 'unsatisfactory' -0,8% and the cost/income ratio was 66%. Based on the adjusted ECB recommendation and the loss for 2020, no dividend will be paid for the past year.
Sustainable loans
In the quarterly report, the bank states that the bank is focusing on sustainability. Now one fifth of the loans is sustainable, that is to be one third by 2024. Agriculture is not mentioned anywhere.
Swaak has positive expectations for 2021. "The Dutch economy and housing market remain resilient and the effective government support measures continue. We expect the roll-out of the vaccination program to enable a significant relaxation of the corona measures in the second quarter of 2021, with As a result, a strong recovery in the economy in the second half of the year. We expect loan loss impairments to be lower than in 2020." The CEO does not venture a profit forecast.
Linda van Eekeres
© DCA Market Intelligence. This market information is subject to copyright. It is not permitted to reproduce, distribute, disseminate or make the content available to third parties for compensation, in any form, without the express written permission of DCA Market Intelligence.