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Finance Industry: Savings Banks in the North Continue to Focus on Branch Business
🇩🇪 Germany /Economy & Trade

Finance Industry: Savings Banks in the North Continue to Focus on Branch Business

From Die Zeit · (13m ago) German

Translated from German, summarized and contextualized by DistantNews.

TLDR

  • Savings banks in Schleswig-Holstein are committed to maintaining their branch network and personal customer service.
  • Despite a slight decrease in net profit, the banks saw an increase in total assets and loan commitments in 2025.
  • The regional economy is considered stable, with growth potential in security technology and tourism, though challenges remain.

The savings banks in Schleswig-Holstein are demonstrating a strong commitment to their traditional business model, emphasizing the importance of physical branches and personal customer interaction. Oliver Stolz, President of the Schleswig-Holstein Savings Banks and Giro Association, affirmed that the region's largest banking group has a responsibility to maintain its local presence. Contrary to trends seen elsewhere, the number of branches has slightly increased, and the association anticipates that ATMs will remain a fixture for the foreseeable future, reassuring customers about continued accessibility.

It will not be the case that in ten years there will be no more ATMs.

— Oliver StolzReassuring customers about the continued presence of ATMs and physical branches.

Financially, the results for 2025 show a mixed picture. While the total assets grew modestly by 3.2% to 53.1 billion euros, the net profit after taxes saw a decline of 14.7% to 70.7 million euros. However, the core capital ratio improved, indicating a solid financial foundation. Encouragingly, the lending business rebounded significantly after a slump in 2023, with loan commitments rising by 12.7% to nearly five billion euros, driven by both private individuals and businesses. This resurgence in lending activity suggests a growing confidence in the regional economy.

A silver lining on the horizon is emerging.

— Oliver StolzDescribing the economic outlook for Schleswig-Holstein.

Stolz described the economic outlook for Schleswig-Holstein as stable and resilient, identifying security and defense technology, along with tourism, as key growth sectors. He noted a "silver lining on the horizon" but cautioned that companies are not yet fully benefiting from federal investment packages. The ongoing energy price hikes, exacerbated by global conflicts, underscore the urgency of the energy transition. The association also reported a continued rise in customer engagement with securities savings, indicating a diversification of investment strategies among the populace. With 1.4 million customers and a growing workforce, the savings banks remain a vital pillar of the regional financial landscape.

The energy transition is therefore more urgent than ever.

— Oliver StolzHighlighting the need for energy transition due to rising energy prices.
DistantNews Editorial

Originally published by Die Zeit in German. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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