Serbia - The Banking Sector in Central Europe - Performance Overview
The analysis of the banking sectors in Serbia
- Net profit in 2011 amounted to just EUR 12M, scarcely managing to stay out of the red.
- The cost of risk amounted to 2.8% in 2011, up from 2.3% the previous year, placing Serbia among those countries with the highest levels of provisions in the CE region.
- Recent developments affecting the loan-to-deposit ratio, which has stayed around the 100% mark over the last couple of years, point to the Serbian banks’ cautious approach to liquidity management.
- Among positives is the quite significant share of the equity account, which amounted to 21% in 2011, a larger contribution than is usual.