Due to the pandemic-related crisis, intentional ING bank made lost half of its profits in 2020. Net profits amounted to almost EUR 2.5 billion, which is 48% less than in 2019. Demand for loans has decreased among businesses and consumers, points out the bank when the annual figures are published.
According to ING, it happened is due to low economic activity and increased uncertainty in times of returning quarantines and lockdowns. Money also had to be set aside for loans that may never be repaid because borrowers bankrupt in numbers.
The fall in profits in the last quarter of 2020 was lower, with a 17 percent decrease. In this period, there was relatively much less money going to the ING expenses, as fewer loans would be irrecoverable.
ING-CEO Steven van Rijswijk is satisfied with the annual figures however. He is particularly pleased with the increase in the number of customers worldwide. A total of 578,000 customers have been added.
A few months ago, about 1000 jobs were cut at the bank due to the economic downturn.