Hungary Banking Sector Continues To Book Losses in 3Q -Regulator
11/23/2012| 12:30pm US/Eastern
By Margit Feher
BUDAPEST--Hungary's banks continued to book losses in the third quarter, driving the sector into the red in the first nine months of this year, data released Friday by the financial market regulator, PSZAF, showed.
The net loss of the third quarter totaled 8.4 billion forints ($38.7 million), down from a net loss of HUF30.4 billion in the second quarter, resulting in a net loss of HUF1.1 billion in the January-September period.
The figures indicate that most of the losses were amassed by the banks owned by foreign lenders, including UniCredit SpA (>> UniCredit SpA), Raiffeisen Bank International (RBI.VI) and Erste Group Bank AG (EBS.VI) of Austria.
OTP Bank Nyrt. (OTP.BU), the largest bank by both market share and assets and the only major Hungarian bank without a foreign parent, said last week that its third-quarter consolidated net profit was HUF42.54 billion, including a net profit of HUF27.03 billion at its core, Hungarian operations.
The share of non-performing loans of the overall loan stock was 13.8%, up from 13.6% in the previous quarter.
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