European Central Bank Reports Record €7.9 Billion Loss for 2024

The ECB's second consecutive year of losses halts profit distributions to national central banks, including Germany's Bundesbank.

The European Central Bank (ECB) recorded a €7.9 billion loss in 2024, the highest in its 25-year history.
This marks the second consecutive year of losses for the ECB, following a €1.3 billion loss in 2023 after offsetting risks using reserves.
The losses are attributed to rising interest rates, which increased borrowing costs while reducing the value of fixed-income assets held by the ECB.
National central banks, such as Germany's Bundesbank, will receive no profit distribution from the ECB for 2024, extending a multi-year trend.
The ECB anticipates smaller losses in the coming years and expects to return to profitability after 2024 as economic conditions stabilize.