ePrivacy and GPDR Cookie Consent by TermsFeed Generator

Hot topic

Banks in Slovenia: restructured, consolidated, and profitable
The headquarters of Slovenia’s largest bank NLB in Ljubljana. / Photo: STO, Miran Kambič

Last year was exceptionally successful for Slovenian banks – proof of a successful restructuring of the sector. Yet the number of the players has diminished.

The 2022 profits of the largest Slovenian banking group NLB amounted to 447 million euros. To quote the bank’s president Blaž Brodnjak this is »the largest profit ever by any company headquartered in Slovenia«. 

It’s a clear indicator that 2022 was a successful year for Slovenian banks: profits are up, while liquidity and capital ratio has improved in most of the banks. The number of banking institutions, however, is constantly in decline due to the further consolidation of the sector. Hungarian banking group OTP acquired the second largest Slovenian bank NKBM last year. The bank already owns SKB, the third largest bank in the country. The merger of both banks should be completed in 2024 and will create a strong performer with a value of total assets close to 15 billion euros and a market share of 32 percent. 

Regardless, NLB is set to stay in the leading position, as it has acquired the Slovenian subsidiary of Sberbank (N1 Bank). NLB also remains a strong regional player with over 10 percent of the market share in Serbia, Northern Macedonia, Kosovo, and Montenegro. The total assets of the group exceed 24 billion euros. 

And 2023? Inflation remains too high and overall economic conditions are worsening. Yet as Bank of Slovenia stated in October: »the banking system's resilience to systemic risks is favorable«. A silver lining of the financial crisis over a decade ago is a thoroughly restructured system – obviously able to cope with adverse situations.

Do you have any questions? We are here to help you! Get in touch
Terms of use |Privacy policy | Financed by the Ministry of Economy, Tourism and Sport © SPIRIT Slovenia 2022 - 2024