(Adds CEO quotes, details and background)
AMSTERDAM, May 12 (Reuters) – Dutch bank ABN Amro on Wednesday reported a net loss of 54 million euros ($66 million) over the first three months of 2021, as a hefty fine for money laundering outweighed the positive impact of economic recovery in the Netherlands.
ABN Amro last month agreed to pay 480 million euros to Dutch prosecutors to settle a criminal investigation into its lax oversight of money laundering going on through its accounts.
“Operational performance was in line with previous quarters,” Chief Executive Officer Robert Swaak said.
“The Dutch economy continues to weather the COVID crisis relatively well. We expect a strong economic rebound later this year as lockdown restrictions ease.”
The lender improved its market share of new mortgages amid the ongoing boom on the Dutch housing market, while economic recovery also meant it could release 77 million euros from its earlier provisions for bad loans.
Interest income, however, remained under pressure due to low rates and the wind-down of the corporate loan portfolio.
Last year, ABN had said it would end all trade and commodity financing after a series of losses, exiting the United States, Asia, Australia and Brazil, except for clearing operations.
Net loss in January-March period was roughly in line with analysts’ average expectations in a company-compiled poll. The lender had reported a loss of 395 million euros a year ago during the coronavirus outbreak.
$1 = 0.8249 euros Reporting by Bart Meijer; Editing by Tom Hogue and Sherry Jacob-Phillips
