Quarterly ROE of the banking industry in Estonia 2016-2023
Between the first quarter of 2016 and the second quarter of 2023, the banking industry in Estonia witnessed significant fluctuations in return on equity (ROE). In the observed period, the ROE of the banking industry generally fluctuated between five and 10 percent, with periodic drops and hikes. The most notable change occurred in the first quarter of 2021, when the ROE was 6.6 percent. This poor performance was linked to the economic contraction caused by the COVID-19 pandemic. The ROE stabilized after the second quarter of 2021, reaching its highest value in the observed period in the first quarter of 2023 at 20.8 percent.