Lender Leumi says it made bank on high interest mortgages in 2024

Bank Leumi, one of Israel’s two largest lenders, reports a profit of almost NIS 10 billion ($2.7 billion) in 2024 as it cashed in on high interest rates paid by mortgage and loan holders, while living costs continued to rise.

Leumi’s net income in 2024 of NIS 9.8 billion ($2.72 billion) was up 40 percent from NIS 7 billion ($1.9 billion) a year earlier. Net interest income last year increased to NIS 16.5 billion ($4.6 billion) from almost NIS 16 billion ($4.4 billion) in 2023.

Net income in the October to December quarter amounted to about NIS 2.5 billion ($693 million), up 34% from the NIS 1.8 billion ($499 million) reported during the same period in 2023.

Leumi said it spent NIS 526 million ($144 million) on war-related donations, rehabilitation projects, and relief programs for residents in southern and northern communities. The relief program includes a series of benefits for IDF reservists, business owners, and self-employed, such as exemptions from mortgage and loan repayments for retail customers and small businesses, the bank said.

For the years 2025 and 2026, Leumi expects to post an annual net income of NIS 9 billion to NIS 11 billion ($2.5 billion-$3 billion).