Banks – Berlin – high demand: low interest rates diminish savings bank earnings – economy

Berlin / Schwerin (dpa / mv) – The persistently low level of interest rates keeps companies and private individuals willing to invest, but makes it increasingly difficult for the savings banks in Mecklenburg-Western Pomerania to make money. As the Ostdeutsche Sparkassenverband (OSV) announced on Tuesday in Berlin, the institutes in the northeast achieved a result of 164 million euros in 2020 with total assets of almost 19.4 billion euros. The total of the granted loans grew within one year by seven percent to just under 10.1 billion euros. Accordingly, loans for residential construction increased particularly strongly.

However, deposits also rose sharply – by 12.4 percent to 16.5 billion euros. Instead of long-term investments, sight deposits with short-term access dominated. “In the year of the crisis, customers entrusted us with their money more than ever, and we can be proud of that. However, our savings banks lack opportunities to invest this money or to invest it with interest,” stated OSV President Michael Ermrich in a press release. He called for changes in the monetary policy of the European Central Bank to create the “exit from the unhealthy situation”.

© dpa-infocom, dpa: 210216-99-464231 / 2

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