M&A fees are down 35% for the year to date, dropping to a nine-year low.
The Banker’s Joy Macknight and Barbara Pianese discuss the main trends emerging from this year’s Top 1000 World Banks Ranking
Large banks in the region retain more than 70% of all banking assets, with an average size of almost €700bn.
Many banks are members of the Net-Zero Banking Alliance, but the “net zero” targets leave controversial portfolios unaddressed.
The decline also reflected the increased competition with specialist and challenger banks.
The Caribbean economies expanded last year on the back of increased revenue in commodity-exporting countries. Most of the biggest lenders in the region improved metrics, such as assets and profits.
Singapore’s banks take the top spots again in the Tier 1 ranking, but Indonesia’s banks continue their strong showing across the performance metrics.
The country’s Financial Conduct Authority has written to High Street banks asking them to justify their lower savings rates.
Globally, M&A deals dropped 19.6% year-on-year in 2022. All regions, except for the Middle East and Africa, saw a year-on-year decline.
The global private debt mountain has expanded over the past decade, with the world’s leverage now higher than pre-2008 levels.
Meanwhile, countries in the region are increasing the amount of deposits protected by EU deposit guarantee schemes.
The issue is especially acute in countries still with a large ATM network, such as Germany.
Norwegian banks dominate several best-performing categories, while two Swedish banks have different stories to tell in this year’s top Nordic bank rankings.
Even before the collapse of Silicon Valley Bank, investors and depositors had already started shifting their money from banks into more lucrative funds.
Banks’ share prices and credit spreads have partially recovered since the volatility that followed the confidence crisis surrounding Credit Suisse and Silicon Valley Bank.
European lenders are less exposed than US banks.
Thailand’s finance minister Arkhom Termpittayapaisith speaks to The Banker about the country’s plans for inflation and meeting its impressive GDP goals for 2023.
Structural challenges still impede optimal non-performing loan resolution.
The loan-to-deposit ratio across the continent has decreased since the end of the global financial crisis.