CEB Financial Results as at 30 June 2022

Paris - The half-year report “Condensed Interim Financial Statements as at 30 June 2022” of the Council of Europe Development Bank (CEB) is now online.

In compliance with IAS 34 “Interim Financial Reporting”, the CEB has released today the Half-year Report on its non-audited condensed interim financial statements with a comparative reference as of 31 December 2021.

Despite the challenging geopolitical situation posed by the war in Ukraine and the demanding macroeconomic environment with rising interest rates, elevated inflation and mounting energy prices, the financial position of the CEB remains solid.

The CEB's unaudited net profit for the first half of 2022 amounted to € 48.2 million, 6.8% below the same period in 2021. The cost of risk increased owing to worsening macroeconomic scenarios and higher default probabilities under IFRS9 provisioning rules. However, the Bank did not experience any default by any of its counterparties. The swift increase in interest rates and exchange rate fluctuations translated into a positive impact under net gains from financial instruments at fair value through profit and loss.

The CEB reported € 35.2 billion in total assets at the end of June 2022, an increase of 18.5% from € 29.7 billion as at 31 December 2021 due to the standard cyclical intra-year activity. 

At the same time, equity reached € 3 351.1 million, increasing by € 117.5 million (+3.6%) compared to year-end 2021 (€ 3 233.6 million).

CEB's prudential ratios remained within their respective limits throughout the first half of 2022.

CEB's activity for the reporting period remained within the objectives charted in the Development Plan 2020-2022. CEB's loans focused on aid to refugees and displaced persons from Ukraine – in line with its longstanding humanitarian expertise –  and other key areas for CEB's stakeholders, such as inclusive growth, job creation and environmental sustainability. 

The Bank approved € 2.6 billion in new projects in the first half of 2022, similar to the € 2.5 billion approved during the same period last year. Meanwhile, disbursements amounted to € 1.6 billion in the six months ending on 30 June 2022, compared to € 2.4 billion in the same period last year.

In the first half of 2022, the CEB issued two Social Inclusion Bonds (a EUR 1.0 billion seven-year funding transaction in April and a USD 1.0 billion three-year transaction in June) whose proceeds are primarily being used to support Ukrainian refugees hosted by CEB member countries.