Russia has long dominated the upper echelons of banking in central and eastern Europe (CEE) by size, but this year it is also a leader in terms of performance. Four out of the top five banks in the region by return on equity are Russian, as are six of the top 10 fastest movers by change in Tier 1 capital.
The total capital of the largest 25 banks in the region surged by almost 30%, mainly thanks to a 38% rise in capital at the largest CEE bank, Russia’s Sberbank. This also makes Sberbank one of the fastest movers, and the increase is driven purely by organically created capital from previous retained earnings. No surprise to find that Sberbank also recorded the second-highest return on capital, at almost 40%.
