BNP Paribas is looking for cost reduction solutions
Now integrated into the French banking group, the former Fortis Bank is seeking 200 million euros in additional savings per year by 2014.
Reason for this? Cost structure is too high. Reaching 71%, its cost income ratio (ratio between costs and revenues) is, according to the bank, superior than the market average.
In this context, that Fortis is seeking to identify new savings of 200 million per year. With the aim, therefore, to reduce this efficiency ratio to 65%.
To achieve this, the company plans to better control its overhead costs (real estate, computer, etc..), hoping to spend 130 million euros less.
Source: Trends tendances, 22 septembre 2011
