The results achieved by Dutch banks in 2011 came out slightly lower than in 2010, when signs of a recovery started being seen according to De Nederlandsche Bank (DNB). Rising credit losses were reflected in the need for substantially higher loan loss reserves. On the other hand, however, the banks were able to reduce their operating costs and so improve the sustainability of their profits. The capital buffers remained largely the same as in 2010.
The net profit of the Dutch banking sector in 2011 came out at EUR 7.8 billion; this was EUR 1.1 billion (13%) lower than in 2010. The return on capital of 6.3% was one percentage point lower, comparable with the average for the eurozone. Although the sector’s result is better than in 2008 and 2009, it remains below its pre-crisis level.
The modest rise in income was largely attributable to non-recurring income relating to the discontinuation of activities.