Annual Report - Raiffeisen Bank Kosovo JSC

Raiffeisen Bank Kosovo - Overview Raiffeisen Bank Kosovo 2009
2009 was profitable for Raiffeisen Bank Kosovo. There was a net income after tax of more than
€5 million (2008: €15 million), thus resulting in an 18.2% market share in the banking sector in
Kosovo.
Net Income after Tax
Net Income after Tax - Market Share*
Retained Earnings / Losses in € Million
60
50
46,268
53,297
Raiffeisen Bank Kosovo
18.2%
40
31,166
30
20
16,485 14,681 15,102
7,029
10
4,161
5,690
10,795
0
-1,331
6,883
1,193
5,354
-10
2003 2004 2005 2006 2007 2008 2009
Cumulative Net Income
Net Income after Tax
Banking Sector
81.8%
* Unaudited Market Data for 2009
The net profit in 2009 shows a dip compared to 2008 figures. This is because the Bank was more
cautious in lending and the loan portfolio recorded a slight decrease (change of -10.8%). As a
result, the Bank generated less interest income from loans and advances to customers. In addition,
the Bank had more interest expenses due to the overall financial crisis and liquidity preferences in
the market. This situation led to an increase in interest rates for customer deposits. Considering the
overall situation in the market, the Bank was more conservative on provisioning. An impact was
also recorded from a loss on valuation result position from hedging instruments. This was due to the
rapid decrease of Euribor in the fourth quarter of 2008 and first quarter 2009.
20 www.raiffeisen-kosovo.com Introduction Management Board Organisational Structure Vision and Mission RZB and RI