trending Market Intelligence /marketintelligence/en/news-insights/trending/ygo1GOyGg5iMRsbjX8ML0Q2 content esgSubNav
In This List

Commerzbank's Polish unit eyes ROE, NIM boost under 2023 strategy

Podcast

Street Talk Episode 87

Blog

A New Dawn for European Bank M&A Top 5 Trends

Blog

Insight Weekly: US banks' loan growth; record share buybacks; utility M&A outlook

Blog

Banking Essentials Newsletter 2021: December Edition


Commerzbank's Polish unit eyes ROE, NIM boost under 2023 strategy

Poland-based mBank SA, recently put up for sale by its German parent Commerzbank AG, will target a net return on equity of around 10.5% in 2023 and a dividend payout ratio of 50% under its newly approved strategy.

The bank also plans to increase its net interest margin to around 3% and reduce the cost-to-income ratio to around 40% in 2023, while its capital ratios will remain at least 1.5 percentage points above the minimum regulatory levels at the end of each year of implementing the strategy.

For the first nine months of 2019, mBank's ROE was 7.9%, while the net interest margin and cost-to-income ratio stood at 2.7% and 43.4%, respectively.

The Polish lender further said it eyes a compound annual growth rate of around 8% for total income, 5% for total costs and 6% for loans and deposits from 2019 to 2023.

MBank will also pursue various corporate social responsibility goals under its 2023 strategy, including the reduction of its indirect impact on the environment by lending to sectors relevant to EU climate policy.