Commentary by the Czech Bar Association
Net interest income in the second quarter of 2026 reached 46.2 billion CZK, up from 45.7 billion in the previous quarter. Net interest income averaged approximately 45.4 billion over the past four quarters and totaled 44.2 billion in 2025.
During the first two quarters of 2026, net interest income of CZK 91.9 billion reflects interest income of CZK 237.3 billion, which exceeded interest expense of CZK 145.4 billion. In contrast, during the same period a year ago, the net interest income surplus of CZK 86.9 billion reflected lower interest income of CZK 225.4 billion, albeit against the backdrop of lower interest expenses of CZK 138.5 billion at that time.
The ratio of interest income to interest expense in the second quarter of 2026 fell to 162%, compared with 164% in the previous quarter. It is thus below the average ratio of 164% from 2025, above the average ratio of 152% from the previous three years, but remains below the five-year pre-pandemic average of 363%.
The ratio of interest income to interest expense tends to decline during periods of higher central bank interest rates or, conversely, to rise (when income exceeds expenses by a greater margin) during periods of lower central bank interest rates.
Interest Income and Expenses
billion CZK, quarterly
Source of Primary Data
CNB ARADCategory
Banking SectorData Frequency
quarterlyNote
Net interest income (quarterly figures) represents the difference between the interest income banks earn on their assets and the interest expense they pay on their liabilities.The data also includes figures for banks and branches of foreign banks operating in the Czech Republic, as well as figures for branches of banks operating abroad.
