Kosovar banks with over 250 million Euro profit

For the last 12 years, commercial banks in Kosovo, recorded a profit of over 250 million Euros. This profit was mostly achieved due to the high interest rates on loans, which on average are about 15%.

The Bank’s net profit has tripled in recent years, despite an interest rates reduction on loans and increased interest rates on deposits and also increased competition in the banking system, with new banks entering the market. According to reports published by the Central Bank of the Republic of Kosovo (CBK), the lowest profit was recorded in 2002, which was 2.7 million Euros, while a year earlier (2001) the profit was 6.7 million Euros.

In 2003, banks earned a total of 6.8 million Euros, while in 2004 the profit amounted to 12.9 million Euros. In 2005, banks had earned 13.5 million Euros and 19.3 million Euros in 2006. Profits were doubled in 2007, reaching a sum of 33.5 million Euros. In 2008, when the whole world was affected by the financial crisis and many commercial banks in the world reported staggering losses, banks in the Kosovo made a profit of 36.4 million Euros.