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The profitability of Luxembourg’s banks declined slightly in 2020, compared to 2019, driven by increased expenses and restructuring costs. Library picture: Banque de Luxembourg’s headquarters seen on 29 March 2019. Photographer: Jan Hanrion 

Earnings from interest rate margins fell by 2.4%, while net commission income increased by 14.6% on the previous year, the CSSF said on 31 March.

However this latter figure was somewhat inflated by data collection changes and corporate restructuring moves. If these factors are taken out the underlying increase in commission income was 5%.

General expenses rose by 7.7%, figures also boosted by restructuring activities.