THE MITTELEUROPEAN VIEW: Western banks go back to square one in CEE

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By By Gunter Deuber The key messages of this year’s Raiffeisen Research CEE Banking Sector Report at the industry level are as follows: Geopolitically, the leading CEE banks in Eastern Europe (Russia, Ukraine, Belarus) were not naïve; on the profitability side, things are still running smoothly in Central and Southeastern Europe for the time being, while market concentration continues to increase. However, increasing competition and repeated government interventions will limit the full earnings potential, especially in 2023. At the individual bank level, the large Austrian CEE banks still lead…

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