RBI generated a consolidated profit of EUR 209 million in the core group (excluding Russia) in the first quarter of 2026

Raiffeisen Bank International (RBI) generated a consolidated profit of EUR 209 million in the core group (excluding Russia), in the first quarter of 2026. Net interest income rose 3 per cent to EUR 1,076 million year-on-year, while net fee and commission income increased significantly 11 per cent to EUR 520 million.

The main reasons for the decline in consolidated profit in the core group year-on-year (down 19.6 per cent) were higher banking levies and increased  risk costs due to the macroeconomic impacts of the Iran conflict.

Loans to customers in the core group increased 3 per cent year-to-date to EUR 105 billion. 

"RBI has made a strong start into the 2026 financial year. The earnings performance remains quite encouraging," said RBI CEO Johann Strobl.

CET1 ratio of 14.9 per cent

RBI's common equity tier 1 (CET1) ratio excluding Russia stood at 14.9 per cent at the end of the first quarter 2026. In calculating this figure, RBI assumes a worst-case scenario in which it must deconsolidate Raiffeisenbank Russia and loses its entire equity in the process. 

Forward-looking risk policy

The quality of the loan portfolio remains excellent, with an NPE ratio of 1.6 per cent at the end of the first quarter of 2026. Risk costs in the core group amounted to EUR 103 million, an increase of EUR 56 million compared to the previous year. This increase was due to forward-looking provisions made in response to the changed macroeconomic situation for RBI’s core region.

“Thanks to our forward-looking risk policy, our NPE ratio is at an all-time low. In light of the economic impacts of the conflict in Iran, we are continuing to pursue this policy consistently,” explained RBI Chief Risk Officer Hannes Mösenbacher.

M&A transactions to strengthen market positions

In the first quarter, RBI announced the acquisition of Garanti BBVA Group Romania and in April a tender offer for the outstanding shares of Addiko Bank.

“The acquisitions will enable us to strengthen our market positions in Romania and Croatia at an attractive price and re-enter the Slovenian market,” commented RBI CFO Kamila Makhmudova.

Further reduction of business in Russia

The loan book at Raiffeisenbank Russia shrank 78 per cent since the start of the war. Customer deposits also declined significantly (down 41 per cent since February 2022) due to decisive measures – for example, customers no longer receive interest on their deposits. All business reduction targets were met in 2025 and the restrictions will remain in force in 2026.

Iran conflict is dampening macroeconomic outlook

Due to the conflict in the Middle East, experts at Raiffeisen Research expect oil supplies to remain constrained for some time. High inflation, rising interest rates, and uncertainty pose risks to consumption and investment in Europe. Raiffeisen Research anticipates a significant slowdown in GDP growth in Europe, but does not expect a recession in 2026. An economic recovery is expected to resume in 2027. Inflation in 2026 will be driven by higher energy prices, likely followed by an easing in 2027. Raiffeisen Research expects two interest rate hikes of 25 basis points each by the ECB this year, with the first hike expected to occur at the June meeting. In Central and Southeastern Europe, the experts at Raiffeisen Research expect most central banks to adopt a wait-and-see stance and emphasize their readiness to act.

Outlook 2026

The following guidance refers to RBI excluding Russia. Only the CET1 ratio has been slightly adjusted due to the announced M&A projects.

• In 2026, net interest income is expected around EUR 4.4 billion, and net fee and commission income around EUR 2.1 billion.
• RBI expects loans to customers to grow by around 7 per cent (excluding acquisitions).
• RBI expects general administrative expenses around EUR 3.6 billion, resulting in a cost/income ratio of around 52.5 per cent.
• The provisioning ratio is expected to be around 35 basis points.
• The consolidated return on equity is expected to be around 10.5 per cent in 2026.
• At year-end 2026, RBI expects a CET1 ratio of around 14.3 per cent* (including announced acquisition projects).

*Assuming deconsolidation of the Russian entity at a price/book value ratio of zero.

In the medium term, RBI aims to achieve a consolidated return on equity of at least 13 per cent excluding Russia and excluding provisions and legal cost for foreign currency loans in Poland.
 

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