Israel’s five largest banks are expected to report an aggregate profit of NIS 1.5 billion, compared with NIS 2.1 billion last year.
The “Yediot Ahronot” Hebrew daily reported that the recession is hitting the banks in full force. The capital market expects Israel’s five largest banks to report an aggregate profit of NIS 1.5 billion, the lowest figure in the past decade, compared with an aggregate NIS 2.1 billion last year, a 30% decrease.
The main factor in the blow to the banks is the severe crisis affecting their borrowers, which has substantially increased their allowances for doubtful debts.
Published by Globes [online] - www.globes.co.il - on November 11, 2002