First half of 2024

Balance sheet of Hypo Tirol: “Want to offer everyone an account”

Alexander Weiß is the Chairman of the Board of Hypo Tirol.

(Bild: Johanna Birbaumer)

Hypo Tirol Landesbank takes stock of the first half of the year. The core capital ratio was increased. CEO Alexander Weiß denies rumors of premature contract terminations by private individuals and entrepreneurs. The "Krone" had heard these from several sources.

On the occasion of the half-year results, the "Tiroler Krone" met with Alexander Weiß, Chairman of the Board of Hypo Tirol. As of June 30, the Landesbank achieved a result of EUR 46.66 million (after taxes). "The core capital ratio remained consistently high at 18.01 percent and was further increased compared to the 2023 annual balance sheet (17.64 percent)," Weiß is pleased to report.

The half-year result is in line with the average for Austrian banks.

Hypo Tirol will also be subject to stricter capital adequacy requirements and, in addition to other factors, must hold more equity in terms of credit risk, market risk and operational risk.

Alexander Weiß

Pleased with "top rating"
 The Chairman of the Managing Board is proud that "in July, the rating agency Moody's raised Hypo Tirol's credit rating for mortgage Pfandbriefe by one level from Aa1 to Aaa and thus to the highest possible category". Together with the A+ bank rating from Standard & Poors's, "we have a top rating".

The current good economic situation also ensures compliance with the increased capital requirements that are prescribed from January 1, 2025. Weiß explains: "At the beginning of next year, banks must have implemented the amendments to the Capital Requirements Regulation III. This means that Hypo Tirol will also be subject to stricter capital requirements and, in addition to other factors, will have to hold more equity in terms of credit risk, market risk and operational risk."

The "Tiroler Krone" met with the Chairman of the Board of Directors for an interview.

(Bild: Johanna Birbaumer)

Investment in regionality and digitalization
When looking to the future, Weiß talks about investments in the areas of digitalization, regionality and advice. There will be no branch closures, on the contrary. "In the Oberland region, we are considering possibly opening new branches in the valleys. However, this is anything but a done deal at the moment."

When asked about the development of interest rates in the coming months, the CEO said that "the European Central Bank will probably make two more cuts of 0.25 percent this year". Everything else would then depend on economic growth and the development of inflation.

Hypo Tirol honors all its contracts. We are interested in offering every Tyrolean an account with us.

Alexander Weiß

Demand for savings products on the rise again
Speaking of inflation: "We are now seeing strong demand for savings products from our clients again. Both online and with traditional savings accounts."

The CEO does not want to give any tips on the best way to invest savings at the moment. "Customers should go to their advisor and find out about the products. Savings products are generally suitable for short-term expenses. Two to five months' salary should be invested in a savings account. The main savings investment needs to be looked at individually in detail."

Weiß denies rumors of premature contract terminations among private customers and entrepreneurs.

(Bild: Johanna Birbaumer)

Contracts terminated earlier? "I am not aware of this"
As the "Krone" has heard from several sources, Hypo Tirol is said to have terminated various contracts prematurely for some private customers and companies. When asked about this, Weiß concludes: "I have no knowledge of this. Hypo Tirol honors all its contracts. We are interested in offering every Tyrolean an account with us. We are very active in this area. Especially with young clients. We are always happy to welcome new customers."