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Rabobank books significantly more profit due to higher interest rates
Rabobank posted a significantly higher profit in the first half of this year than in the same period last year. Was the net profit for the first half of 2022 €1.276 million, for the first half of 2023 it is €2.528 million. Rising interest rates in particular had a positive impact on the results. The credit outstanding in the Netherlands in the Food & Agri portfolio has grown by 3% compared to the first half of 2021.
Income rose by 36%, mainly due to strong growth in interest income. Earlier it also appeared that ING and ABN Amro had booked significantly higher profits thanks to the interest rate hikes.
Costs were also higher for the bank than in the same period last year. This is mainly due to increasing costs for combating financial and economic crime (such as money laundering and terrorist financing), investments in IT infrastructure, and collective labor agreement increases. The bank expects inflation to continue to exert pressure in the coming years.
Food & Agri portfolio Netherlands grows by 3 percent
Rabobank's global Food & Agri portfolio grew by 1% to €114,7 billion in the first half of this year. The total size of the loan portfolio increased by €1 billion to €433,1 billion and remained virtually the same, according to the bank. In the Netherlands, €40,4 billion of this is outstanding, €1,2 billion or 3% more than in the first half of 2021.
The bank has regained its position as market leader in the Dutch mortgage market with a market share of new mortgages of 19,4%. .
€3 billion for sustainable farmers
Chairman of the Rabobank Group Management Board, Stefaan Decraene, repeats in a press release that money is being made available for financing for farmers who want to become more sustainable. "Now that the negotiations for the agricultural agreement have stranded, farmers remain insecure. Rabobank is making €3 billion available to help the sector become more sustainable. With these loans, entrepreneurs with a solid business model can finance adjustments to their business operations on favorable terms and/or with a longer term. interest-free periods. We are also making extra advisors available to support farmers who want to become more sustainable."
125 years
Decraene also discusses the bank's anniversary in the press release. "For 125 years we have been helping our customers achieve their goals. Today we do that with more than 2 million members and more than 9 million customers, making a positive contribution to the world around us. We see that the society is changing and facing increasingly complex challenges. It requires us to move with it, without losing sight of our cooperative philosophy. For us as a cooperative Rabobank, the way forward is clear: we must unite our networks, knowledge and resources and work together to find solutions."
Linda van Eekeres
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