In terms of return on capital, domestic banks in the Czech Republic are
among the best in Europe, the news site iHNed reported on Wednesday, after
analysing data from annual reports and national bank statistics. Last year,
net profits amounted to CZK 82.1 billion, an 8.9 percent increase when
compared to 2017.
According to iHNed, the excellent results are partly down to the growth in
the volume of loans provided and the subsequent increase in interest
income. The latter is also supported by an increase in the Czech National
Bank’s interest rate, which rose to 2 percent this May. This is in
contrast to the situation in the Eurozone where, the European Central Bank
lowered its key interest rate to -0.5 percent in September, the news site
reports.