VTB's Profit Forecast Dims Amid Central Bank Policy

VTB, Russia's second-largest bank, anticipates a drop in its 2025 profit to 400 billion roubles due to the central bank's restrictive monetary policy. CEO Andrei Kostin highlights challenges with loan portfolio growth and lower income potential, urging discussions with the central bank.

VTB, Russia's second-largest bank, projects a decline in its 2025 profit to 400 billion roubles, a significant drop from 550 billion this year. The anticipated decrease is attributed to the central bank's stringent monetary policies, according to CEO Andrei Kostin.

Kostin emphasized that the bank's ability to grow its loan portfolio is constrained by these policies, leading to reduced income. He expressed the need for ongoing discussions with the central bank to address these challenges.

The CEO warned that without the capability to issue more loans, the bank's income potential would remain limited, illustrating the impact of the regulator's measures on the banking sector.