Dutch Banks FY 2023 Earnings Reaching a Peak

Morningstar DBRS has released a commentary discussing the FY2023 results of the three large Dutch Banks (ABN AMRO, Rabobank, ING Group).

Key highlights include:

-- Strong 2023 profits supported by higher net interest income.
-- Expense trends mixed, despite inflationary pressure on salaries.
-- Asset quality still robust, but likely to weaken.

‘In our view net interest income has peaked in 2023’ said Sonja Förster, Vice President Global FIG. ‘In 2024, lower deposit margins and the loss of the minimum reserve remuneration from the ECB are expected to be partly offset by somewhat higher loan growth.’ she added.