(Bloomberg) – Corp. Bettina Orlopp, CEO of Commerzbank AG, said lenders have a strong start this year, although economists warn that the threat of tariffs will weigh on Germany’s economic growth this year.
Commerzbank’s “very good start and in all segments,” Orlopp said at a financial meeting hosted by Morgan Stanley on Thursday. “So we are very confident that when we present our first quarter results in mid-May, there will be some good news for our package.”
Commerzbank has raised optimistic attention with his peers, including Deutsche Bank partners, after Germany approved a large-scale defence and infrastructure spending plan this week. While the threat of U.S. tariff threats on European goods could have negative impacts this year, Orlopp said the plan is expected to boost economic growth next year.
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In Orlopp’s home country, Commerzbank’s strategy is currently growing at 1% in the coming years and 0.5% this year. She said that while most economists have made predictions for next year, they have narrowed their estimates for 2025.
This year, Olop said they became “more cautious”. “But I’m more optimistic.”
Orlopp has improved profitability and payment targets to defend lenders from potential takeovers from Italian rival Unicredit. Since UniCredit disclosed a large stake in early September, Commerzbank’s stock has been about 80%.
Commerzbank gave up some earnings on Thursday, down 6.7% from the bank. That extended a 3.7% drop on Wednesday, when UniCredit CEO Andrea Orcel said he could wait a few years before deciding on a potential takeover offer.
Germany’s turn to broad fiscal policy is expected to restore Europe’s largest economy after two years of contraction. This historic decision – which is also expected to help strengthen growth across the region – is transferred by the United States from the Transatlantic Alliance.
Deutsche Bank CEO Christian Sewing said this week that his lender will also benefit from the debt agreement.
“You’ve seen in the client’s discussion that people are actually getting a more optimistic view, both on the corporate side and on the private banking side,” he said.
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