Profit and loss account of credit institutions as at 30 June 2026
Press release 26/18
Profit before provisions and taxes of the Luxembourg banking sector1 amounted to EUR 5,330.2 million in the first half of 2026, i.e. an increase of 5.4% compared to the same period of the previous year. Taking into account the increase in the allocations to provision for risk, net profits are at a level comparable to that of the first half of 2025.
Profit and loss account as at 30 June 2026
| Items in million EUR |
January – June 2025 |
January – June 2026 |
Variation in % |
| Net interest income |
5,159.8 |
5,332.1 |
3.3% |
| Net fee and commission income |
3,169.9 |
3,473.4 |
9.6% |
| Other net income |
918.9 |
851.6 |
-7.3% |
| Banking income |
9,248.6 |
9,657.1 |
4.4% |
| Staff costs |
1,837.7 |
1,897.0 |
3.2% |
| Other general expenses |
2,353.4 |
2,429.9 |
3.3% |
| General expenses |
4,191.1 |
4,326.9 |
3.2% |
| Profit before provisions and taxes |
5,057.6 |
5,330.2 |
5.4% |
The net interest income generated by banks during the first half of 2026 increased by 3.3% compared to the same period in 2025. This upward trend, observed in 62% of the banks, is occurring against a backdrop of rising balance sheet totals (+6.4%).
Net fee and commission income increased by 9.6% year-on-year. The increase concerned 70% of the banks, especially depositary banks. For the latter, the average value of the net assets of undertakings for collective investment, which represents the key element for the calculation of their safekeeping commissions, grew by 11.3% in the first half of 2026 compared to the same period in 2025.
Other net income, which includes various elements that are by nature very volatile and generally non-recurring, declined by 7.3% year-on-year.
General expenses increased by 3.2% year-on-year. This increase is due to the rise in staff costs (+3.2%) as well as the growth in other general expenses (+3.3%).
The above-mentioned developments led to a cost-to-income ratio of 44.8%, as at 30 June 2026, against 45.3% as at 30 June 2025.
1 The scope of the data of the Luxembourg banking sector covers banks active during the reference period, except for their foreign branches and their subsidiaries.