The first half of 2023 was marked by continued economic uncertainty. The Russian invasion of Ukraine gave rise to an energy crisis and caused the cost of living to shoot up, inflicting concern and complicating the economic situation. At MuniFin, our operations remained stable and we were able to successfully carry out our core mandate of ensuring the availability of affordable financing for our customers.
The Group’s net operating profit excluding unrealised fair value changes amounted to EUR 81 million in January–June, growing from the comparison period and exceeding the previous year’s figure by 9.3%. The increase in net operating profit was affected by significant non-recurring item included in the comparison period’s costs and increase in net interest income of 2%.
In the first half of 2022, the operating environment was again turbulent, but MuniFin’s business operations remained stable and continued without disruptions.
The Group maintained its strong market position and its results improved substantially compared to last year. The growth of MuniFin’s loan portfolio returned to normal levels from the spike in demand created by the COVID-19 pandemic a year earlier. MuniFin’s own funding from international markets continued to succeed very well.
The COVID-19 pandemic increased the demand for financing in municipalities. The Group’s long-term customer financing grew by 7.8% in the reporting period. The long-term customer financing portfolio stood at EUR 26.7 billion at the end of the reporting period.
The total of new lending in January–June amounted to EUR 2.5 billion. The growth was spurred by the increase in the demand of loans and a drop in the availability of financing from other credit institutions, both due to the COVID-19 pandemic.
Business operations remained strong in the first half of 2019. Long-term customer financing grew by 3.3% and the portfolio amounted to EUR 23.7 Bmillion at the end of the review period. This figure includes long-term loans and leasing.
The total of new loans withdrawn in January–June amounted to EUR 1.4 billion. In the entire customer finance portfolio, the amount of green financing aimed at environmentally friendly investments totalled EUR 1.2 billion.
Steady results progress continued in the first half of 2018. The total of new loans withdrawn in January-June amounted to EUR 1.2 billion and the lending portfolio stood at EUR 21.5 billion.
MuniFin managed once again to improve its result in January-June 2017. Also the Finnish economy developed positively in the first half of 2017. The positive sentiment was evident in the municipalities’ economic situation, which was better than expected. This was reflected in a slight decrease in the demand for financing when compared to the previous year.
The uncertainty of the customers’ operating environments had a surprisingly marginal impact on MuniFin’s operations. In the first half of 2016, MuniFin strengthened its position among its customers compared to the previous year.
New loans withdrawn in January-June amounted to EUR 1.5 billion and the lending portfolio grew to EUR 20.5 billion.
Despite the uncertainty in the operating environment, MuniFin had a very strong beginning of the year 2015. The Group’s net operating profit amounted to EUR 78.3 million, which represents a 23.6% growth from the previous year.
MuniFin’s financial result developed as planned in the first half of 2014. Customers’ demand for loans has been lower during the first half of the year compared to the previous year. With interest rates remaining low, customers continued to be active in using short-term financing.
