Czech banks' net profit rises 8% in first half of 2023

Czech banks and savings institutions saw their net profit rise by 8% year-on-year to nearly CZK 60 billion in the first half of 2023, according to the Czech National Bank. Banks' financial and operational earnings increased to CZK 125 billion, driven by higher interest income and fees. Major banks like Česká spořitelna, ČSOB, and Raiffeisenbank all reported profit growth, while Komerční banka saw a 22% decline. Despite the introduction of a windfall tax, the government collected only CZK 700 million from an expected CZK 33 billion. Analysts expect minimal impact from the tax in future years.