10 February 2016, updated 6 November 2018
Out of 99 banks operating in the Netherlands, 3 banks makes up 81.39 % of total banking assets, with 6.27 % more added by the next seven largest banks. This high degree of concentration combined with the diversity of products and services provided by these 10 largest banks underlines the importance of these banks in Dutch banking landscape. The major banks of the Netherlands currently undergo significant changes amid the changes in economic and regulatory environment and in customer behaviour patterns.
Consisting of 99 banks operating in the Netherlands in the beginning of 2018, Dutch banking sector is relatively large in size. The most commonly used ratio to measure the size of a banking sector, namely the ratio of consolidated banking assets to gross domestic product, for the Netherlands shows that the Dutch banking sector is almost than 4 times bigger than the national economy (the ratio is 309.29 %).
The Dutch banking sector is dominanted by domestic banks: the total assets of the domestic banks makes up 91.96 % of consolidated total assets of all banks operating in the Netherlands, leaving 8.04 % to foreign-controlled banks.
The banking sector of the Netherlands is also characterized by a very high degree of concentration: 3 largest banks (ING Bank, Rabobank, ABN AMRO Bank) comprise 81.39 % of total banking assets. Since November 2014 these banks are directly supervised by European Central Bank. In 2015, only Rabobank had decrease in both total assets and net income due to the changes in the governance structure.
10 largest banks in the Netherlands in terms of total assets are shown in the table below.
|Rank||Name||Total Assets||% of Consolidated Total Assets||Net Income|
|1||ING Bank NV||846318.00||37.13 %||5019.00|
|2||Coöperatieve Rabobank U.A.||615816.00||27.01 %||2616.00|
|3||ABN AMRO Bank NV||393171.00||17.25 %||2791.00|
|4||de Volksbank NV||60892.00||2.67 %||329.00|
|5||NIBC Bank NV||22290.00||0.98 %||213.00|
|6||Nationale-Nederlanden Bank NV||16069.92||0.70 %||85.00|
|7||Van Lanschot NV||14658.88||0.64 %||94.95|
|8||Achmea Bank NV||14199.36||0.62 %||17.33|
|9||Triodos Bank NV||9902.32||0.43 %||37.40|
|10||Delta Lloyd Bank NV (closed)||5343.31||0.23 %||-0.81|
|11||KAS Bank NV||4199.19||0.18 %||15.10|
All the data are for 2017. Total assets and net income are provided in million EUR.
The recent changes in the major Dutch banks were driven by the following factors:
ING Bank is the largest bank in the Netherlands and it also a market leader in "BeNeLux" countries. In 2008 ING Bank accepted 10 bln EUR capital injection from Dutch Government which was completely repaid in 2014. Currently ING Bank's strategic goals for 2017 are in strengthening its positions in digital banking (so-called 'Think Forward' strategy) as well as improving capital ratios and decreasing cost/income ratio. ING Bank is striving to be a leader in the digital customer experience based on easy access, simplified products and services, and tools to help customers make smart financial decisions.
Rabobank is the second-largest bank in the Netherlands and is a cooperative bank. In 2014 the bank announced its intentions to review its existing governance structure to address the shift of supervision to the European Central Bank and new European laws and regulations that place additional demands on the organisation of the bank. Starting from January, 1 2016 the cooperative structure of Rabobonk is changed. All local Rabobanks and Rabobank Nederland now form one cooperative structure, holding one banking licence and releasing one set of financial statements. These changes neither affect the cooperative principles of Rabobank Group nor the manner it conducts business with its clients. Rabobank's strategic direction for 2020 are excellent customer service, improving its financial results, and achieving a more flexible and stronger balance sheet.
ABN AMRO Bank is the third-largest bank in the Netherlands with the primary focus on domestic market while conducting selected operations internationally. All shares of ABN AMRO Bank were held by Dutch State. In 2013 ABN AMRO announced that it could start preliminary preparations for IPO. In November 2015 the first tranche of depositary receipts for shares was listed on the stock exchange. The Dutch State will remain a shareholder of ABN AMRO for some time and will gradually reduce its shareholding in the coming years. ABN AMRO sets five strategic priorities for the year 2017: enhance client centricity, invest in the future, strongly commit to a moderate risk profile, pursue selective international growth, improve profitability.
de Volksbank (formerly SNS Bank) is the fourth-largest bank in the Netherlands and the largest Dutch bank which is not under direct supervision of the European Central Bank. The bank operates on Dutch market with focus on mortgages, savings and payments. In 2013 SNS Bank was rescued by the Dutch Government and is still state-owned. The bank defines thw following strategic priorities: excellent customer experience and business operations, maintaining moderate risk profile. Since 1 January 2017, SNS Bank operates as 'de Volksbank' to underline that the bank is a stable bank providing simple, useful and affordable products and taking responsibility. Also since 1 January 2017, ASN Bank, Regio Bank, SNS Bank, BGL Wonen Bank and Zwitserleven operate using the single banking license of de Volksbank.
NIBC Bank operates in BeNeLux countries and in Germany focusing on providing residential mortgages and savings products to corporate and individual customers. In 2014 NIBC Bank repaid the last tranches of government-guaranteed bonds received from the Dutch state during the financial crisis. Also in 2014 NIBC completed the acquisition of Germany’s Gallinat-Bank AG, whose name was changed to NIBC Bank Deutschland AG.
Nationale-Nederlanden Bank is a member of NN Group, an insurance and asset management company. Nationale-Nederlanden Bank provides retail banking products and services including savings, investments, payment cards mortgages and consumer loans. Nationale-Nederlanden Bank offers its products both directly and indirectly via independent consultants. In the first half of 2017, Nationale-Nederlanden completed the acquisition of shares of Delta Lloyd Group. Delta Lloyd Bank and Nationale-Nederlanden Bank will continue together under the name Nationale-Nederlanden.
Van Lanschot Bank is the oldest independent bank in the Netherlands, specializing in private banking (targeting high net-worth individuals, business owners and family businesses), asset management of a range of asset classes (small caps, property, high-dividend equities, fixed-income securities and funds of hedge funds) and merchant banking (services in areas such as securities, mergers and acquisitions, capital market transactions and finance advice). Currently Van Lanschot is focusing on existing market niches, simplification and transparency of its products and services, optimizing organisation and reducing cost base. Van Lanschot's strategic direction is to be a pure-play wealth management firm.
Achmea Bank is focused on providing savings products to domestic private individuals and owner-occupied residential mortgage loans. In 2014 the bank underwent significant change in its corporate structure: Achmea Hypotheekbank N.V., Achmea Bank Holding N.V. and Achmea Retail Bank N.V. completed their merger into a single banking entity. The purpose of the merger was to reduce complexity, to be able to meet new legislation and to increase efficiency in systems and processes.
Triodos Bank finances companies, institutions and projects that add cultural value and benefit people and the environment, with the support of depositors and investors who want to encourage socially responsible business and a sustainable society. Triodos Bank puts sustainable banking into practice by offering products and services that directly promote sustainability. Money plays a leading role in this because using money consciously means investing in a sustainable economy. This in turn helps to create a society that enjoys a better quality of life. Triodos Bank is to broaden the scope of its products and service offering: complementing the existing services to respond flexibly to a wide spectrum of customer needs within a relationship-based approach.
Delta Lloyd Bank is a member of Delta Lloyd Group specializing in life insurance, pensions and general insurance in the Netherlands and Belgium. Delta Lloyd activities in the Dutch market are centered around mortgages and tax efficient savings products. In 2015 Delta Lloyd Bank sold its Belgium subsidiary which was involved in non-core business activities to Anbang Insurance (Chinese Insurance Group), the bank now operates as Banque Nagelmackers. In the first half of 2017, Nationale-Nederlanden completed the acquisition of shares of Delta Lloyd Group. Delta Lloyd Bank and Nationale-Nederlanden Bank will continue together under the name Nationale-Nederlanden.
KAS Bank provides wholesale securities services for institutional investors and financial institutions. To match the current legislation on separation of roles and duties within the financial sector or the transparent reporting of risks and costs, in 2015 KAS Bank launched the corporate campaign "The Custodian Principles". The current strategy of KAS Bank is focused on the inflow of new clients and a growing market share in the Netherlands, the United Kingdom and Germany.