Banks optimistic

House builders can hope for more favorable loans

The dream of owning a home should now be easier for many Styrians again.

(Bild: Markus Wenzel)

In recent years, the focus for many Styrians has been on saving. This year, the investment mood is likely to pick up again, according to Styrian bank directors. The reasons for this ray of hope. 

Years of inflation, multiple crises, more difficult lending and an ongoing recession: Styrians are experiencing turbulent times financially, which is also having an impact on financial institutions. Raiffeisen-Landesbank, for example, reports an increase in customer assets of around five percent for the past year - in other words, people are saving more due to a cautious investment mood.

More and more Styrians are discovering shares for themselves
"The most significant growth is in the securities business. Building society savings are also experiencing a renaissance," says Raiffeisen market board member Rainer Stelzer. However, demand for home loans is still very subdued. There is cautious optimism for this year: rising wages, a further fall in interest rates, stable real estate prices and, last but not least, the expiry of the so-called KIM regulation (strict lending rules) at the end of June should make it easier for Styrians to create living space again.

Demand for residential property has already risen slightly in the last quarter

Martin Schaller. Generaldirektor Raiffeisen Landesbank Steiermark

Bild: Christian Jauschowetz

"Demand for residential property has already risen slightly again in the last quarter," says Raiffeisen CEO Martin Schaller. As far as the interest rate cut by the European Central Bank is concerned, he expects interest rates to remain at around two percent until the end of the year.

"Catch-up process" for home loans
The "fear of saving" in uncertain times also made itself felt at Steiermärkische Sparkasse last year, reports CEO Gerhard Fabisch. Among other things, the trend towards bonds is currently noticeable: "Many customers want to secure good interest rates now." Steiermärkische has also recorded a slump in residential loans to around 50 percent compared to "normal years". Fabisch is now assuming a "catch-up process over two or three years".

Monika Cisar-Leibetseder, General Manager of Volksbank Steiermark, also reports "active savings and investment behavior" on the part of Styrians in the past year, particularly with regard to investment funds and bonds. However, a moderate increase in demand for loans has also been noticeable at Volksbank since the fall, "due to the introduction of the Styrian promotional initiatives".

Raiffeisen zieht Bilanz

Bargeld hat für Steirer weiter hohen Stellenwert

The regular trip to the house bank with paper deposit slips has virtually ceased in recent years. Online banking, whether on a PC or via smartphone, has become commonplace for the majority of Styrians. For example, 99.5 percent of the approximately 224 million transactions carried out at Styrian Raiffeisen banks last year were carried out digitally.

In addition, the use of cashless payment systems - for example by card or cell phone - increased again by around 13% in 2024. "Customers expect a flexible combination of digital and personal banking. And we are doing everything we can to guarantee this freedom of choice," said Raiffeisen CEO Rainer Stelzer yesterday at the Raiffeisen-Landesbank's annual kick-off meeting.

More cash was withdrawn from ATMs again last year.

(Bild: Wenzel Markus)

Cash volume at ATMs increased
Parallel to the digital trend, the volume of cash withdrawals from ATMs also increased by around four percent last year. 2.9 billion euros were withdrawn from Raiffeisen ATMs in 2024. There are currently 40 Raiffeisen banks in Styria - five fewer following last year's mergers - with 189 banking outlets (plus 65 self-service outlets) for around 760,600 private customers and 72,700 companies. "We are and will remain the principal bank for every second Styrian," emphasizes CEO Martin Schaller.

It is interesting to note that despite the trend towards online banking and contrary to the gloomy forecasts of a few years ago, the number of employees at Styrian Raiffeisen banks actually increased by 133 to a total of 3,475 last year. "In day-to-day business, the trend is clearly moving towards digital services. Local employees are increasingly involved in providing advice," says Schaller.