The Council of Europe Development Bank (CEB) posted solid financial results for the first half of 2025 despite facing a difficult economic and geopolitical climate, the bank said in its latest report. Net profit reached €58.7 million by the end of June, down 12.4% compared to the same period last year, but core earnings showed strength, rising 2.7% to €65.1 million.
The better core performance came from a 4.7% improvement in the interest margin, driven by higher income from securities and more active management of liquidity and interest rate positions. But factors outside core operations—including financial instrument valuations and cost of risk—dragged down overall profit compared to the first half of 2024.
The CEB’s balance sheet grew to €40.7 billion by mid-year, up 5.4% from €38.6 billion at the end of 2024, tracking normal lending cycles. Loans at fair value dipped slightly to €22.0 billion from €22.3 billion at year-end, while equity held nearly steady at €4.8 billion.
The bank kept its cautious approach to risk, with all prudential ratios staying within approved limits. No counterparties defaulted or missed payments during the reporting period—continuing a pattern from previous years.
In the first six months of 2025, the CEB approved €2.7 billion in new projects and disbursed €1.1 billion in loans. The pipeline of approved projects waiting for financing reached €10.2 billion by the end of June, up 10.6% from December 2024. The bank says it remains on track with its Strategic Framework 2023-2027 goals despite external headwinds.
