Strategy Note /
Global

The emerging market banks that benefit the most from rising interest rates

  • Most EM banks stand to benefit from rising rates: a 100bps hike raises structural margins by 15bps and profits by 6%

  • Al Rajhi’s margin is most sensitive to rising rates, but profit sensitivity is highest for Santander Polska and Pekao

  • Based on rate forecasts, Santander Polska, Pekao, HBL profits should benefit most. Garanti profits will get squeezed

The emerging market banks that benefit the most from rising interest rates
Rohit Kumar
Rohit Kumar

Global Financials/Thematics

Contributors
Rabail Adwani
Rahul Shah
Tellimer Research
26 October 2021
Published by