BAKU, Azerbaijan, December 5. The European Bank for Reconstruction and Development (EBRD) has forecast its annual return to reach 6.4 percent in 2025 and 5.6 percent in 2026, Trend reports.
A report from the EBRD's Board of Directors, titled "Strategic Implementation Plan (SIP) for 2024-2026" shows this data and the bank’s strong recovery after a significant loss in 2022.
"After a significant loss of 1.1 billion euro in 2022, the bank achieved impressive profits in 2023, with a more modest profit forecast of 7.1 percent for the current year. The three-year rolling average return on regulatory capital for 2024 is projected to be 5.9 percent, surpassing the minimum target of 3.5 percent outlined in the bank's organizational scorecard.
The annual return is expected to exceed 3.5 percent in 2025 and 2026, with figures of 6.4 percent and 5.6 percent, respectively. The minimum income target from credit operations, which represents the bank's most stable income source, is set at 9 percent for 2024," the report said.
Additionally, the proposed budget in the SIP for 2024-2026 includes an increase in basic administrative expenses for 2024, totaling 479.3 million pound, reflecting a 6.9 percent rise compared to the previous year.