At the Bundesbank, the interest rate hikes are reflected on both sides of the balance sheet. In a structure that is as complex and highly interwoven as a central bank, their impact fundamentally transforms many components. Our profit and loss account for 2022 bears testament to this complexity.
The slide on the profit and loss account provides an overview (slide 15): The largest component of the profit and loss account is net interest income (column 1), which recorded a € billion increase from € billion to € billion. Net interest income in foreign currency rose by € billion on the back of rising US dollar yields.