The recently much-debated increase in the bank tax, which has now also been anchored in the program of the black-red-pink government, does not bring joy to Erste Group. "I am not a fan of bank taxes," said bank CEO Peter Bosek on Friday at the annual press conference. It is a "political decision between a bank tax and an economic upswing," which has now turned out to be unfavorable for the banks. "We find that very unfortunate," said Bosek.

The possibilities for financing would be severely restricted by such measures, the bank CEO continued. However, the decision must be acknowledged. How high the tax will be exactly is not yet clear, as there are no precise guidelines outside of the brief description in the government program. According to an initial rough estimate, Bosek expects about 140 to 160 million euros for this and the next year.

Government Program with Bank Levy

The future black-red-pink government foresees in its government program published on Thursday a bank levy for the entire sector of 500 million euros each for 2025 and 2026. After that, the levy is to decrease to 200 million euros. Erste Group already pays a bank tax in Austria, Romania, and Slovakia. While in Austria last year 40 million euros were incurred (2023: 46 million euros), it was 37 million euros in Romania and 103 million euros in Slovakia. In Austria, the tax is likely to increase significantly.

Following the announcement of the government program, there was also criticism from other bankers. The Raiffeisen Association criticized the tax as "pure arbitrariness" and as a growth brake for Austria, which is already in its third year of recession. The Chamber of Commerce (WKÖ) also criticized the increase in the levy as an "arbitrary economic location tax" and pointed to negative impacts on the economy.

(APA/Red)

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