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Annual Financial
Report
2023
· Highlights
· · Consolidated profit of € 997 million, excluding
Russia and Belarus and including € 873 million
provisions for CHF mortgages in Poland
· · Core revenues excluding Russia and Belarus
up 17% year-over-year to € 6,006 million, driven by
net interest income
· · Lower provisioning for impairment losses
year-over-year: € 296 million for the Group
excluding Russia and Belarus
· · CET1 ratio excluding Russia improves to 14.6%
(Group CET1 ratio at 17.3%)
· · Customer loans in Russia down € 3 billion in 2023 as
part of de-risking approach to Russia
· · Dividend proposal to the Annual General Meeting
in April 2024: € 1.25 per share
2
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Overview

Monetary values in € million | 2023 | 2022 | Change | 2021 | 2020 | 2019
Income statement | 1/1-31/12 | 1/1-31/12 |  | 1/1-31/12 | 1/1-31/12 | 1/1-31/12
Net interest income | 5,683 | 5,053 | 12.5% | 3,327 | 3,121 | 3,412
Net fee and commission income | 3,042 | 3,878 | (21.6)% | 1,985 | 1,684 | 1,797
General administrative expenses | (3,908) | (3,552) | 10.0% | (2,978) | (2,832) | (3,052)
Operating result | 5,158 | 6,158 | (16.2)% | 2,592 | 2,241 | 2,492
Impairment losses on financial assets | (393) | (949) | (58.6)% | (295) | (598) | (234)
Profit/loss before tax | 3,576 | 4,203 | (14.9)% | 1,790 | 1,183 | 1,767
Profit/loss after tax | 2,578 | 3,797 | (32.1)% | 1,508 | 910 | 1,365
Consolidated profit/loss | 2,386 | 3,627 | (34.2)% | 1,372 | 804 | 1,227
Statement of financial position | 31/12 | 31/12 |  | 31/12 | 31/12 | 31/12
Loans to banks | 14,714 | 15,716 | (6.4)% | 16,630 | 11,952 | 9,435
Loans to customers | 99,434 | 103,230 | (3.7)% | 100,832 | 90,671 | 91,204
Deposits from banks | 26,144 | 33,641 | (22.3)% | 34,607 | 29,121 | 23,607
Deposits from customers | 119,353 | 125,099 | (4.6)% | 115,153 | 102,112 | 96,214
Equity | 19,849 | 18,764 | 5.8% | 15,475 | 14,288 | 13,765
Total assets | 198,241 | 207,057 | (4.3)% | 192,101 | 165,959 | 152,200
Key figures | 1/1-31/12 | 1/1-31/12 |  | 1/1-31/12 | 1/1-31/12 | 1/1-31/12
Return on equity before tax | 19.8% | 26.6% | (6.9) PP | 12.6% | 8.8% | 14.2%
Return on equity after tax | 14.3% | 24.1% | (9.8) PP | 10.6% | 6.8% | 11.0%
Consolidated return on equity | 14.8% | 26.8% | (12.0) PP | 10.9% | 6.4% | 11.0%
Cost/income ratio | 43.1% | 36.6% | 6.5 PP | 53.5% | 55.8% | 55.1%
Return on assets before tax | 1.72% | 2.02% | (0.30) PP | 0.99% | 0.74% | 1.18%
Net interest margin (average interest-bearing assets) | 2.87% | 2.59% | 0.28 PP | 2.01% | 2.13% | 2.44%
Provisioning ratio (average loans to customers) | 0.34% | 0.73% | (0.39) PP | 0.30% | 0.67% | 0.26%
Bank-specific information | 31/12 | 31/12 |  | 31/12 | 31/12 | 31/12
NPE ratio | 1.9% | 1.6% | 0.3 PP | 1.6% | 1.9% | 2.1%
NPE coverage ratio | 51.7% | 59.0% | (7.4) PP | 62.5% | 61.5% | 61.0%
Total risk-weighted assets (RWA) | 93,664 | 97,680 | (4.1)% | 89,928 | 78,864 | 77,966
Common equity tier 1 ratio (transitional) | 17.3% | 16.0% | 1.3 PP | 13.1% | 13.6% | 13.9%
Tier 1 ratio (transitional) | 19.1% | 17.7% | 1.4 PP | 15.0% | 15.8% | 15.5%
Total capital ratio (transitional) | 21.5% | 20.2% | 1.4 PP | 17.6% | 18.5% | 18.0%
Stock data | 1/1-31/12 | 1/1-31/12 |  | 1/1-31/12 | 1/1-31/12 | 1/1-31/12
Earnings per share in € | 6.93 | 10.76 | (35.5)% | 3.89 | 2.22 | 3.54
Closing price in € (31/12) | 18.67 | 15.35 | 21.6% | 25.88 | 16.68 | 22.39
High (closing prices) in € | 18.75 | 28.42 | (34.0)% | 29.40 | 22.92 | 24.31
Low (closing prices) in € | 12.73 | 10.00 | 27.3% | 16.17 | 11.25 | 18.69
Number of shares in million (31/12) | 328.94 | 328.94 | 0.0% | 328.94 | 328.94 | 328.94
Market capitalization in € million (31/12) | 6,141 | 5,049 | 21.6% | 8,513 | 5,487 | 7,365
Dividend per share in € | 1.25 | 0.80 | 56.3% | – | 1.23 | –
Resources | 31/12 | 31/12 |  | 31/12 | 31/12 | 31/12
Employees as at reporting date (full-time equivalents) | 44,887 | 44,414 | 1.1% | 46,185 | 45,414 | 46,873
Business outlets | 1,519 | 1,664 | (8.7)% | 1,771 | 1,857 | 2,040
Customers in million 1 | 18.6 | 18.1 | 2.8% | 19.5 | 17.6 | 17.2
1 Adjustment of the previous year's figures due to the inclusion of customers from the credit card business
In this report RBI denotes the RBI Group. If RBI AG is used it denotes Raiffeisen Bank International AG. Head office refers to Raiffeisen Bank International AG excluding branches.
Adding and subtracting rounded amounts in tables and charts may lead to minor discrepancies. Changes in tables are based on not rounded amounts. The ratios referenced in this report are defined in the consolidated financial statements under key figures.

3
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Content

Group Management Report | 5
Market development | 6
Significant events in the reporting period | 11
Earnings and financial performance | 12
Research and development | 20
Internal control and risk management system in relation to the Group accounting process | 22
Capital, share, voting, and control rights | 25
Risk management | 28
Corporate Governance | 28
Consolidated non-financial report | 28
Human Resources | 28
Outlook | 30

Segment and country analysis | 32

Consolidated financial statements | 41
Company | 42
Statement of comprehensive income | 43
Statement of financial position | 45
Statement of changes in equity | 46
Statement of cash flows | 47
Segment reporting | 49
Notes | 56
Principles underlying the consolidated financial statements | 56
Notes to the income statement | 69
Financial assets measured at amortized cost | 79
Financial assets measured at fair value | 88
Other assets and liabilities and equity | 101
Notes of financial instruments | 123
Risk report | 145
Other disclosures | 176
Regulatory information | 209
Key figures | 214
Events after the reporting date | 217
Statement of all legal representatives | 218
Independent Auditor's Report | 219

Annual financial statements | 224
Statement of financial position | 225
Income statement | 227
Notes | 228
General disclosures | 228
Recognition and measurement principles | 229
Notes to the statement of financial position | 236
Notes to the income statement | 259
Other | 263
Events after the reporting date | 266
Management report | 267
Market development | 267
Business performance at Raiffeisen Bank International AG | 272
Financial Performance Indicators | 278
Capital, share, voting and control rights | 282
Non-financial Performance Indicators | 284
Research and Development | 285
Corporate Governance | 286
Risk report | 287
Internal control and risk management system in relation to the accounting process | 307
Outlook | 310
Statement of the board of Management pursuant to § 82 (4) Z 3 Austrian Stock Exchange Act | 313
Independent Auditor’s Report | 314

4
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The report in English is a translation of the original German report. The only authentic version is the German version.
Group Management Report
5
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Market development
Weak economy in a crisis-ridden environment
While the US economy was remarkably robust in 2023, Europe’s economic environment was characterized by a stagnant
economic cycle. Economic support from the services sector weakened significantly over the course of the year, while the
industrial sector remained in recession for most of the year. As a result, more service-driven economies achieved slightly
above-average growth, while more manufacturing-oriented countries in Western Europe such as Germany and Austria found
themselves in mild recessions. Overall inflation fell noticeably in 2023, mostly due to energy prices, although the core rate of
inflation sank much more gradually. Both the US Federal Reserve and the ECB continued their series of interest rate hikes into
the (late) summer and then left key rates unchanged for the rest of the year.
The euro area’s gross domestic product was only slightly higher on average in 2023 than in 2022. In the second half of 2023,
economic momentum weakened and GDP was below the level of the first half of the year. What is striking in this economic
cycle is the robust labor market. Unemployment rates have barely risen, many jobs are vacant and employment levels are high
despite the persistently weak economy. Inflation fell from 8.6 per cent at the beginning of the year to below 3 per cent in the
fall. Price increases for food and many tangible goods have slowed, and energy goods are actually cheaper than in the year
before. Services, on the other hand, saw stronger price growth in 2023 than in 2022.
The European Central Bank (ECB) raised its key rates 200 basis points in 2023. In addition, the bond holdings in the APP (asset
purchase programme) portfolio were reduced around € 200 billion by stopping reinvestments of maturing bonds. The bulk of
the central bank’s balance sheet reduction was achieved by allowing refinancing transactions to mature. The outstanding
volume of these loans to commercial banks fell over € 1,300 billion by the end of 2023. While short-dated money market rates
rose roughly the same amount as key interest rates, interest on swap rates and yields on German government bonds with five-
to ten-year maturities were barely higher at the end of the year than at the beginning. However, performance was extremely
volatile over the course of the year. One key element in the interest rate market is the inverted yield curve. In 2023, the interest
rate for swap rates and German bonds with short maturities was consistently higher than that for long maturities.
The Austrian economy was in recession in parts of 2023, with real GDP falling 0.7 per cent for the year as a whole. This made
the Austrian economy one of the worst performers in the euro area. In addition to the industry and construction sector, this
was also due to consumer related services. The construction industry experienced a stronger real correction in Austria than in
many other euro countries. Inflation fell noticeably over the course of the year. However, at an annual average of 7.7 per cent, it
was still well above the euro area’s level (2 percentage points). Austria’s conspicuously weak economy can also be partially
attributed to above-average inflation.
CEE: High interest rates and inflation, sluggish growth
The CEE region’s economy was affected by inflation and industry weakness in 2023 in much the same way as the euro area
and Austria were. Some of the measures taken in 2022 to combat inflation (price regulations and energy price caps) expired in
2023, which shifted inflationary pressure from 2022 to 2023. Inflationary pressure was overall more persistent in the region
than in the euro area, in large part because the labor markets were already very tight before the war in Ukraine drove up
(energy) prices, which increased wage pressures. Nevertheless, base effects for energy prices caused inflation to start falling in
the first half of 2023. Given the significant steps taken by central banks in Central and Eastern Europe back in 2021 and 2022,
most CEE countries did not enact more interest rate hikes in the first half of 2023 (with the exception of Albania and Serbia). As
the year progressed, some central banks in the CEE region felt able to cut key rates in response to a further decline in inflation
rates; other banks continued to wait.
The industrial sector was weak in large parts of Central Europe (CE) in 2023. Because of this sector’s importance to these
economies and close ties with the German industrial sector, the region underperformed most of Europe. However, a strong
inflow of EU funds, improving foreign trade and a moderate recovery in consumer demand fueled a slight recovery over the
course of the year. Thanks to a strong boost from foreign trade, Slovakia (up 1.3 per cent) outperformed the rest of the Central
European countries (up 0.1 per cent). Support also came from access to NextGenerationEU funds (NGEU funds), which Poland
and Hungary could not (yet) tap.
6 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Once again, the economy in Southeastern Europe (SEE) outperformed the euro area and Central Europe because SEE depends
much less on the industrial sector, which had been battered more by the war in Ukraine and high energy prices. Southeastern
Europe’s strong performance was supported by an abundant inflow of EU funds along with a strong tourist season.
Nevertheless, growth in SEE only reached 1.8 per cent in 2023, with Albania leading the way (up 3.5 per cent). Supporting factors
in this country were the construction sector and tourism, private and public spending as well as investment. The lowest growth
was posted in Romania (up 1.5 per cent), where the economy disappointed in the autumn due to the continued weakness of its
industrial sector.
In Eastern Europe (EE), Ukraine recorded the strongest growth in 2023 (up 5.7 per cent), due to its robust adjustment to the
war and base effects. The Russian economy, in contrast, grew 2.5 per cent in 2023, supported by fiscal policy and defense
spending. In Belarus, the impact of EU and US sanctions increased significantly, but the country managed to grow 3.9 per cent,
partly due to state-subsidized investments in the modernization of industrial plants and machinery.
Annual real GDP growth in per cent compared to the previous year

Region/country | 2022 | 2023e | 2024f | 2025f
Poland | 5.1 | 0.2 | 3.1 | 3.5
Slovakia | 1.7 | 1.3 | 2.1 | 2.1
Czech Republic | 2.4 | (0.5) | 1.7 | 3.2
Hungary | 4.6 | (0.5) | 3.0 | 4.0
Central Europe | 4.0 | 0.1 | 2.7 | 3.4
Albania | 4.9 | 3.5 | 3.5 | 3.8
Bosnia and Herzegovina | 4.2 | 1.8 | 3.0 | 3.5
Croatia | 6.3 | 2.1 | 2.5 | 2.6
Kosovo | 5.2 | 3.2 | 3.9 | 4.0
Romania | 4.1 | 1.5 | 2.8 | 3.5
Serbia | 2.4 | 2.5 | 3.0 | 4.0
Southeastern Europe | 4.3 | 1.8 | 2.8 | 3.5
Belarus | (4.7) | 3.9 | 2.0 | 2.0
Russia | (2.1) | 2.5 | 1.5 | 0.9
Ukraine | (29.1) | 5.7 | 4.9 | 6.5
Eastern Europe | (3.9) | 2.8 | 1.8 | 1.4
Austria | 4.8 | (0.7) | 0.2 | 1.4
Euro area | 3.4 | 0.5 | 0.5 | 1.5
Source: Raiffeisen Research, as of beginning of February 2024, (e: estimate, f: forecast); subsequent revisions are possible for years already completed

Banking sector in Austria
The Austrian banking sector carried on the good performance from 2022 and improved on it in 2023. The operating business
was supported by increasing net interest income and stable performance in the commission business. Nevertheless, operating
costs increased as well. Risk costs in 2023 were lower than in the previous year, however. The funding environment for the
Austrian banking sector was challenging in 2023. Nevertheless, Austrian banks held their own in the primary market once again
and placed significantly larger volumes than in the years before 2022, especially in the covered bond segment. Growth rates of
the loan volumes granted in both the household and corporate loan segments show a significant year-on-year slowdown. This
is primarily due to the different interest rate environment and, to a lesser extent, to the changed regulatory framework for
lending guidelines. The household segment showed negative year-on-year growth of minus 1.9 per cent as of November 2023.
Loan growth in this segment became negative as of the middle of the year. The corporate segment reported annual growth of
2.9 per cent (November 2023 vs. November 2022) compared to growth of 11.3 per cent at the same time in the previous year.
The banking sector’s capitalization increased further compared to the start of 2023, reaching 16.6 per cent (common equity tier
1 ratio) as of June 2023. The Austrian Financial Market Stability Board concluded in its September 2022 meeting that Austrian
banks are less capitalized than their European peers and therefore recommended raising macroprudential buffer requirements
for selected banks another 0.5 percentage points and gradually phasing in this increase over two years. Accordingly, these
requirements rose 0.25 percentage points for selected institutions at the turn of the year.
Group management report 7
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Development of the banking sector in CEE
As key interest rates remained high for most of 2023 (and euro markets caught up), CE/SEE banks were able to further improve
their profitability thanks to wider net interest margins while risk costs remained rather limited as the number of loan defaults
remained low. The average return on equity in the region was over 15 per cent, which is consistent with the most successful
years before the global financial crisis. The turbulence in the US banking sector had no major impacts. All in all, core banking
income proved to be strong enough to compensate for the additional bank taxes levied in certain countries, inflationary
pressure on operating costs and the switch to a more expensive refinancing mix (rising percentage of time deposits, expensive
MREL funding). At the same time, stricter financial conditions and the weaker economic environment slowed down lending
significantly, which particularly affected investment loans to companies and the market for residential construction loans. The
Eastern European markets experienced a strong turnaround as banks returned to profitability in Russia (normalized monetary
conditions, politically supported lending) and Ukraine (high interest rates, macroeconomic improvements).
Regulatory environment
Supervisory priorities and interaction with the ECB
· Reinforcing the management competence of the governing bodies to enable banks to effectively address the
digitalization process: As a supervisory authority, the ECB wants to ensure that RBI has sound strategies and
appropriate regulations in place to meet the challenges that digitalization presents. Effective digital transformation
strategies and governance regulations can help RBI make its business models more resilient and sustainable.
· Strengthening the banks’ resilience to direct macrofinancial and geopolitical shocks: In the current uncertain
environment, it is essential for all banks that are under Single Supervisory Mechanism (SSM) supervision to remain
resilient to external shocks. This means that they can withstand unexpected events, such as economic downturns or
geopolitical crises, without jeopardizing their business operations. For this reason, the ECB wants to ensure that the
European banks remedy weak points in their credit risk management frameworks, in order to strengthen their
resilience against a possible asset quality deterioration, and quickly identify and mitigate risks. Sound planning and
diversified funding sources can help ensure the European financial market maintains reliable access to funding.
· Intensified efforts to combat climate change: The risks associated with climate change are changing rapidly with
far-reaching economic consequences, among other things. The ECB believes that European banks need to take
measures to mitigate these risks and have a role to play in funding the transition to a more sustainable economy. It
also considers that banks can only mitigate their risk exposure by taking appropriate consideration of climate and
environmental factors in their strategies, risk management practices and decision-making processes.
New regulation in 2023
Finalization of Basel III (CRR III/CRD VI)
In June 2023, agreement was reached on the cornerstones in the trilogue negotiations held between the European Council, the
European Parliament, and the European Commission. In the second half of 2023, the legislative bodies concentrated on
reaching agreement in the technical trilogues, followed by the approval in the EU Parliament and the EU Council plenary
session. The published consolidated texts of the political agreement reached on CRR III and CRD VI are expected to be voted on
in the plenary session of the European Parliament by the end of the first quarter of 2024. Despite efforts made by the
European Banking Industry Committee (EBIC) to postpone the Basel III implementation date in the EU, due to the comprehensive
changes brought about by the Capital Requirements Regulation (CRR III), the effective date of 1 January 2025, remains
unchanged.
RBI AG as a universal bank is affected by the proposed changes in various respects and makes substantial efforts to analyze
and evaluate the new and updated requirements and their resulting impact. Through its intensive efforts at national and EU-
level, RBI has clearly communicated its position on topics of particular interest. Among others, minority interest deductions, the
treatment of equity holdings made pursuant to Legislative Programmes to promote specified sectors of the economy,
retaining a 100 per cent risk-weighting for equity exposures that have been held for six years and applying a preferential
treatment for intragroup exposures were addressed. RBI regularly analyzes the updated requirements and corresponding
impact assessments for the standardized approach (STA) and the internal ratings-based approach (IRB). This allows it to
prepare adequately for the implementation of the new requirements and assess the various changes affecting RWA
calculations. This is to ensure a smooth transition to the new provisions and allows RBI to update its systems and adapt to the
new calculation and reporting requirements.
8 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Payment Services Directive and framework for financial data access
The European Commission is working on creating an efficient and integrated market for payment services in the EU. As a
result, two packages of measures were proposed:
The first involves a revision of the Payment Services Directive. This proposal aims to extend and modernize the current
Payment Services Directive (PSD2), which will become PSD3, and also to introduce a Payment Services Regulation (PSR). The
proposed regulation determines standardized requirements for the provision of payment services and e-money services within
the EU, with the objective of combating and curbing fraud in payment services, strengthening consumer rights, further aligning
the competitive conditions between banks and non-banks, and improving the operation of open banking services.
Second, the Commission is putting forward a legislative proposal for a framework for financial data access. This framework
will establish clear rights and obligations for exchanging customer data in the financial sector beyond payment accounts. In
practice, this will lead to more innovative financial products and services for users and stimulate competition in the financial
sector. By contributing actively in this regulation, RBI could be remunerated accordingly for introducing application
programming interfaces (APIs) that were developed as part of the program for financial data exchanges.
Finally, the legislators agreed in the Commission’s proposal to make instant payments in euro available for all citizens and
companies in the EU. This regulation aims to ensure that instant payments in euro are made affordable and secure, and can be
easily processed in the entire EU. Instant payments in euro allow money to be transferred at all times within seconds. As a
result of the new regulations, they will become the new normal for transfers. They should make life simpler for EU citizens,
improve businesses' cash flows and bring savings for retailers. This will encourage new innovation opportunities for banks.
Retail investment strategy
On 24 May 2023, the European Commission put forward the retail investment strategy, which aims to promote greater retail
investor participation on the capital markets. The European Commission suggested changes to current legislation (e.g. making
product information more comparable or easier to understand) to reach the objective of deepening the capital markets union.
Digital Operational Resilience Act (DORA)
DORA entered into force on 16 January 2023 and will apply from 17 January 2025. The aim is to improve the digital operational
stability of financial corporations throughout the EU and further harmonize the requirements for this. This regulatory
framework covers core areas, such as risk management, incident management and reporting, reviewing the digital operational
stability and the management of information and communication technology (ICT) third-party risks. DORA mandates the
European Supervisory Authorities to jointly develop 13 policy instruments, presented in two batches. The first batch of technical
standards was introduced in June 2023. The objective of the technical standards is to create consistent and detailed
requirements in ICT risk management, reporting of major ICT-related incidents and ICT risk management for third parties. RBI is
directly impacted by DORA and its technical standards, and is working intensively on implementing all the applicable
requirements.
Markets in Crypto Assets Regulation (MiCA)
MiCA entered into force in June 2023. It lays down standard market rules for crypto assets in the EU and is therefore the first
comprehensive framework for regulating the crypto currency market. The regulation covers crypto assets that are currently
not governed by existing EU financial services legislation (MiFiD II). The objective of the MiCA regulation is to protect investors,
prevent crypto asset misuse, ensure financial stability, create regulatory clarity and protect against market abuse and
manipulation. The regulation comprises a significant number of technical standards and guidelines that have to be developed
before the new regulation comes into force (within a period of 12 to 18 months depending on the mandate). The European
Supervisory Authorities (ESAs) are working as a matter of high priority on providing three batches of technical standards to
further break down the requirements. RBI is closely observing and analyzing all the related developments, and working on
potential applications.
Group management report 9
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Minimum requirements for own funds and eligible liabilities (MREL)
The Single Resolution Mechanism Regulation II (SRMR II) introduced the concept of the Maximum Distributable Amount related
to MREL (M-MDA), which has been applicable since 1 January 2022. M-MDA allows the Single Resolution Board (SRB) to set
restrictions on distributions for banks. While M-MDA has many similarities to the classic MDA regime of Article 141 CRD, it is
subject to the discretionary decision of the resolution authority.
Regulation (EU) 2022/2036 (CRR Quick Fix) was formally adopted on 19 October 2022. It introduced changes to the CRR and Bank
Recovery and Resolution Directive (BRRD) applying to the calibration of the MREL requirements for banking groups with a
multiple point of entry (MPE) resolution strategy and a methodology for indirect subscription of MREL instruments. The SRB
published the updated MREL on 15 May 2023.
In line with RBI’s MPE resolution strategy, it must be possible to process each resolution unit separately, without impairing the
resolution capability of other resolution groups. To achieve this objective, each resolution group aims to maintain the
necessary MREL capacity and be separable, in order to ensure that the MPE approach is feasible and credible.
The MREL planning is an integral part of the budgeting process for RBI and its subsidiaries in the EU. The individual MREL
capacities in the resolution groups are closely monitored. RBI and its subsidiaries in the EU conducted issues in order to fulfill
their respective MREL requirements. Binding and final MREL requirements will apply within the Banking Union from 1 January
2024.
RBI was able to cover a significant portion of its MREL requirements by issuing green and sustainable bonds.
Crisis management and deposit insurance (CMDI) framework
The EU Commission proposed an extensive review of the CMDI framework for banks. This review covers various directives and
regulations, including the Deposit Guarantee Schemes Directive (DGSD), the Bank Recovery and Resolution Directive (BRRD), the
Single Resolution Mechanism Regulation (SRMR) and the Daisy Chain Regulation. These proposals will focus mainly on extending
the resolution system to SME banks and facilitate the use of national deposit insurance funds for resolution purposes,
especially for smaller banks. It is currently envisaged that the EU Parliament and the EU Council will reach a joint decision on
the Commission proposal in May 2024.
Regulatory environment for ESG disclosures in the EU
The European Green Deal was at the very top of the political agenda and the European Commission’s initiatives for 2023. This
reaffirms the EU’s commitment to be at the forefront of sustainability efforts with ambitious environmental laws and the goal
of being climate neutral by 2050. The funding of this transition will be crucially important in the coming years. The EU
taxonomy and the Green Bond Standard are the most relevant sustainable financial instruments. In June 2023, the EU
Commission adopted further EU taxonomy criteria for economic activities that make a significant contribution to biodiversity,
environmental pollution and the circular economy. The inclusion of more economic activities and sectors will increase the
usability and potential of the EU taxonomy in scaling up sustainable investment in the EU. RBI will disclose its first taxonomy
alignment ratios from January 2024 onwards.
The legislator will use the EU Corporate Sustainability Reporting Directive (CSRD), which was completed at the end of 2022, to
rank the importance of ESG information equally with that of a company’s financial data. This will be substantiated by the
European Sustainability Reporting Standards (ESRS) that were developed by the European Financial Reporting Advisory Group
(EFRAG). The standards serve to limit the burden on reporting companies, while at the same time enabling them to verify the
efforts they are making to meet the green deal agenda, and accordingly get access to sustainable finance. The new CSRD
follows a double materiality concept. This means that companies must consider how sustainability aspects impact a
company’s economic situation on the one hand and how a company’s operations impact sustainability aspects on the other.
10 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Significant events in the
reporting period
RBI has decided to acquire shares in STRABAG SE
In December 2023 RBI has taken a decision to acquire 28,500,000 shares in STRABAG SE, representing 27.78 per cent of
outstanding shares, via its Russian subsidiary AO Raiffeisenbank from Russian based MKAO Rasperia Trading Limited for a cash
consideration of € 1,510 million (including dividend entitlements for 2021 and 2022). Closing of the acquisition is subject to
various conditions precedent including satisfactory completion of the sanctions compliance due diligence by RBI, regulatory
approvals, and merger clearance.
Upon the successful closing of the acquisition, AO Raiffeisenbank intends to transfer the shares in STRABAG SE to RBI by issuing
a dividend in kind. The approval of the dividend in kind by the competent Russian authorities is also a condition precedent for
the acquisition of the shares in STRABAG SE by AO Raiffeisenbank.
The impact on RBI consolidated CET1 ratio (16.5 per cent proforma including profits as of 31 December 2023) is expected to be c.
minus 10 basis points at closing, while the CET1 ratio of RBI Group excluding Russia will increase by around 125 basis points
(Price/Book zero deconsolidation scenario: 14.4 per cent proforma including profits as of 31 December 2023).
The acquisition of the shares in STRABAG SE and distribution of the dividend in kind, subject to regulatory approvals and
satisfaction of other conditions precedent, are expected to close in the first quarter of 2024. After closing, RBI will retain the
shares in STRABAG SE as a long-term equity participation which will be contributed to and managed by its fully consolidated
subsidiary GABARTS Beteiligungs GmbH & Co KG.
With this transaction, RBI further reduces its exposure to Russia.
Russia and Belarus
In 2023, RBI continued to work on a spin-off or sale of AO Raiffeisenbank. Both alternatives require numerous approvals from
various Russian and European authorities, and from the respective central banks. In the meantime, business activities in Russia
will be further reduced. After the war broke out, the loan business has been scaled back significantly, and the loan volume has
since fallen 43 per cent. In addition, the clearing, settlement and payment services business has been considerably reduced.
This is reflected in the decline in net fee and commission income, which fell 43 per cent year-on-year.
RBI continues to assess strategic options for the future of Priorbank in Belarus.
Dividend
On 21 November 2023, the Extraordinary General Meeting resolved to distribute a dividend of € 0.80 for each share that was
entitled to a dividend for the 2022 financial year.
The Board of Management will propose the distribution of a dividend of € 1.25 per share to the Annual General Meeting on
4 April 2024. Based on the shares issued, this would result in a maximum amount of € 411 million.
Group management report 11
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Earnings and financial
performance
Due to the positive interest rate environment, RBI can look back on a successful business development in 2023. On the other
hand, the financial year continued to be characterized by high inflationary pressure, a weak economy, low growth and, in some
cases, tense labor markets. Nevertheless, RBI generated consolidated profit of € 2,386 million in this environment. If the
earnings contributions from Russia and Belarus are excluded, this would result in a consolidated profit of € 997 million and thus
an increase of 1 per cent compared to 2022 (excluding the proceeds of € 453 million realized at the time from the disposals of
the Bulgarian Group units).
The ECB continued its cycle of interest rate hikes of 200 basis points in 2023 into the summer. Key interest rates in the countries
of Central and Eastern Europe also remained at a high level for most of the year, resulting in a significant increase in
profitability thanks to higher interest margins. Net interest income increased € 631 million to € 5,683 million. The interest
margin reached 2.87 per cent in the reporting period, versus 2.59 per cent in the comparable period. Net fee and commission
income stabilized at a high level; the decline of € 837 million was entirely attributable to Russia (down € 856 million), both due
to active restrictions on activities and the currency devaluation. RBI’s core revenues (net interest income and net fee and
commission income) were down € 206 million or 2 per cent to € 8,725 million; excluding Russia and Belarus, however, there
would have been an increase of € 868 million.
High core revenues compensated for additional bank taxation in certain countries, rising operating costs due to inflation and,
in some cases, higher refinancing costs from an increasing proportion of time deposits and more expensive MREL funding.
General administrative expenses rose € 355 million year-on-year to € 3,908 million, primarily as a result of increases at head
office and in Hungary, Romania and Russia. This was primarily due to the persistently high inflation rate, but also additional
investments in many areas. The increased cost burden contributed to the deterioration of the cost/income ratio by 6.5
percentage points to 43.1 per cent.
The devaluations of the average exchange rates of the Russian ruble by 21 per cent and the Ukrainian hryvnia by 14 per cent
also had a negative effect on the consolidated profit.
Risk costs of € 393 million, which were well below the previous year’s figure (€ 949 million), were mainly recorded in the Eastern
Europe region (€ 191 million, with Russia and Ukraine accounting for € 95 million and € 94 million respectively) and at head
office (€ 138 million). A negative factor was the € 368 million increase to € 873 million in expenses for credit-linked litigation and
annulments of loan agreements in Poland. The consolidated profit should also be appreciated in view of this burden.
Total assets fell approximately € 9 billion or 4.3 per cent to € 198 billion since the start of the year. Currency effects were
responsible for a 2.6 per cent fall. On a currency-adjusted basis, customer business was stable overall; the decline of € 4 billion
is primarily attributable to Russia. Lending volumes in Russia have been actively reduced since the start of the Russian war of
aggression against Ukraine. The decline since the beginning of 2023 - exacerbated by the devaluation of the Russian ruble -
amounted to € 3 billion.
12 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Comparison of results with the previous year

in € million | 2023 | 2022 | Change
Net interest income | 5,683 | 5,053 | 631 | 12.5%
Dividend income | 35 | 64 | (29) | (44.8)%
Current income from investments in associates | 85 | 64 | 21 | 32.5%
Net fee and commission income | 3,042 | 3,878 | (837) | (21.6)%
Net trading income and fair value result | 186 | 663 | (477) | (71.9)%
Net gains/losses from hedge accounting | (28) | (41) | 13 | (32.3)%
Sundry operating income | 62 | 29 | 33 | 115.1%
Operating income | 9,065 | 9,710 | (645) | (6.6)%
Staff expenses | (2,209) | (2,010) | (199) | 9.9%
Other administrative expenses | (1,224) | (1,081) | (143) | 13.2%
Depreciation | (475) | (461) | (14) | 3.0%
General administrative expenses | (3,908) | (3,552) | (355) | 10.0%
Operating result | 5,158 | 6,158 | (1,000) | (16.2)%
Other result | (906) | (667) | (238) | 35.7%
Governmental measures and compulsory contributions | (284) | (337) | 54 | (16.0)%
Impairment losses on financial assets | (393) | (949) | 557 | (58.6)%
Profit/loss before tax | 3,576 | 4,203 | (628) | (14.9)%
Income taxes | (997) | (859) | (138) | 16.1%
Profit/loss after tax from continuing operations | 2,578 | 3,344 | (766) | (22.9)%
Gains/losses from discontinued operations | 0 | 453 | (453) | –
Profit/loss after tax | 2,578 | 3,797 | (1,219) | (32.1)%
Profit attributable to non-controlling interests | (192) | (170) | (22) | 12.9%
Consolidated profit/loss | 2,386 | 3,627 | (1,241) | (34.2)%

Operating income
The € 631 million increase in net interest income to € 5,683
million was largely driven by interest rates. Due to the liquidity
position in the reporting period, rising market interest rates in
numerous Group countries led to a sharper increase in interest
income than in interest expense. The increases amounted to
€ 169 million in Hungary, € 90 million in Romania, € 83 million in
Slovakia, € 64 million in Croatia and € 42 million in Albania.
Raiffeisen Bausparkasse Österreich Gesellschaft m.b.H
reported an increase of € 42 million due to upward repricing of
variable-rate loans and increased interest income from
derivatives. In Serbia, net interest income rose € 124 million as a
result of higher interest income from loans for non-financial
corporations and households and also partly due to the
integration of Crédit Agricole Srbija AD (on 1 April 2022).
Volume-related higher interest income from government
certificates of deposit, from money market transactions and
from government bonds led to an increase of € 43 million in
net interest income in Ukraine. Net interest income in Russia, on
the other hand, fell € 116 million, due to a partially currency-
related 34 per cent decline in loan volume. In Belarus, net
interest income fell € 36 million due to falling market interest
rates and the resulting lower margins. Net interest income also fell € 10 million in the Czech Republic, as increasing interest
expenses for customer deposits from households and for newly issued MREL-eligible debt securities significantly exceeded the
increase in interest income from repo business and customer loans.
The group’s average interest-bearing assets increased 2 per cent year-on-year. The net interest margin improved 28 basis
points to 2.87 per cent, with the largest increases of 192 basis points in Serbia, 144 basis points in Albania and 109 basis points
in Hungary.
Overall, net fee and commission income fell € 837 million to € 3,042 million. Net fee and commission income decreased due to
the currency devaluations in Eastern Europe and continued to be influenced by the geopolitical situation. Russia reported the
strongest decline of € 856 million, while the other countries of the Group remained stable. The result from foreign exchange
business was down € 627 million, primarily in spot foreign exchange business in Russia and at head office. In Russia, this
development was influenced by decreased volumes caused by the introduction of internal transaction limits as well as lower
margins in corporate customer and retail business, at head office the fall in business was likewise margin-related. Due to lower
fees, net income from the securities business also fell € 93 million, mainly in Russia. Net income from clearing, settlement and
Group management report 13
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
payment services decreased € 77 million as a result of lower volumes, primarily in Russia. Net income from loan and guarantee
business also fell € 32 million, most notably in Russia and at head office.
Net trading income and fair value result declined € 477 million to € 186 million. The year-on-year decline was mainly due to a
decrease of € 234 million in net trading income in Russia. Russian restrictions imposed on foreign currency transactions in 2022
led to a massive increase in foreign currency business in the previous year’s period. The introduction of internal transaction
limits in the reporting period led to a fall in transactions and a corresponding reduction in the trader margin. In certificates
business at head office, the sharp increase in the Group’s own credit spread resulted in the previous year in large valuation
gains on certificate issues measured at fair value. Conversely, the Group’s own credit spread narrowed by around 35 basis
points in the reporting year, resulting in a € 108 million year-on-year reduction in the valuation result. Higher currency-related
valuation losses of minus € 95 million were mainly recorded in Hungary, Ukraine and Belarus.
Other net operating income increased € 33 million to € 62 million. In the reporting period, net income from debt securities
showed a € 31 million smaller loss of € 25 million. The loss in the reporting period was mainly attributable to Hungary, whereas
in the previous year it mainly related to Russia. The derecognition of intangible assets at head office resulted in a loss of € 29
million in the previous year. An amount of € 48 million was allocated to other provisions in the reporting period for pending
litigation in Russia and Austria, whereas in the previous year there were reversals of € 14 million, mainly in Romania and at head
office. Charges for non-banking activities and operating leases on property resulted in higher income in the reporting period.
General administrative expenses
General administrative expenses were up 10 per cent or
€ 355 million year-on year to € 3,908 million. Staff expenses
rose € 199 million to € 2,209 million, mainly at head office (up
€ 57 million) and in Russia (up € 48 million). The increase at
head office was primarily attributable to salary adjustments
under collective agreements and to an increase in the
headcount. In Russia, the increase resulted from higher
salaries and social security costs, provisions for one-off
payments and an increase in the headcount, notably in IT.
Staff expenses also increased in Hungary (up € 23 million),
Slovakia (up € 20 million) and Romania (up € 15 million). The
main drivers of the € 143 million rise in other administrative
expenses were higher legal, advisory and consulting
expenses (up € 44 million) and increased IT expenses (up
€ 37 million) at head office. There were further increases in
other administrative expenses in Hungary (up € 27 million),
Poland (up € 17 million) and Romania (up € 13 million).
Depreciation and amortization of tangible and intangible
fixed assets increased 3 per cent or € 14 million to € 475
million. The cost/income ratio increased year-on-year from
36.6 per cent to 43.1 per cent, primarily due to the decline in
profit in Russia and to increased general administrative
expenses.
The number of business outlets fell 145 year-on-year to 1,519. The largest decline resulted from the war in Ukraine (down 65),
followed by Serbia due to consolidations following the merger (down 46), and Belarus (down 13). The average headcount
increased 245 full-time equivalents year-on-year to 44,439, mainly in Russia (up 522) and at head office (up 195). There was a
significant decrease in Ukraine (down 891).
14 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other result
The other result amounted to minus € 906 million in the reporting period, compared to minus € 667 million in the comparable
period. Expenses for credit-linked, portfolio-based litigation and annulments had a negative effect of € 878 million (previous
year’s period: € 510 million). These mainly related to mortgage loans in Poland denominated in or linked to a foreign currency.
The increase in Poland of € 368 million primarily resulted from a decision by the European Court of Justice in June, leading to
significantly increased actual and expected legal cases, higher loss rates, and losses due to cancellations of credit agreements.
In contrast, valuation of investments in subsidiaries and associates led to a gain of € 21 million in the reporting period, mainly
relating to the investments in LEIPNIK-LUNDENBURGER INVEST Beteiligungs AG and Oesterreichische Kontrollbank AG. In the
previous year’s period, impairment losses of € 37 million were recognized on investments in associates and € 30 million on
investments in subsidiaries.
Governmental measures and compulsory contributions
Governmental measures and compulsory contributions decreased € 54 million to € 284 million. Contributions to the bank
resolution fund fell € 15 million, mostly at head office. The € 21 million decrease in deposit insurance fees mainly related to
Russia, Hungary, Slovakia and Romania. No other compulsory contributions were incurred in the reporting period, whereas this
item in the previous year included € 26 million in contributions to the state support fund for distressed borrowers in Poland. In
contrast, bank levies increased € 8 million, mainly in Hungary (up € 31 million). The bank levy at head office was down € 21
million.
Impairment losses on financial assets
At € 393 million, impairment losses on financial assets were significantly lower in the reporting period than the figure of € 949
million in the comparable period. Risk provisions in Eastern Europe accounted for the largest share at € 191 million (previous
year’s period: € 743 million) due to the ongoing Russian war of aggression in Ukraine and related risk factors. Of this, € 95
million (previous year’s period: € 471 million) related to Russia and € 94 million (previous year’s period: € 253 million) to Ukraine.
Risk provisions at head office reached € 138 million (previous year’s period: € 149 million), primarily for non-financial
corporations in connection with real estate loans.
For defaulted loans (Stage 3), net impairments of € 389 million were recognized in the reporting period (previous year’s period:
net € 382 million), of which € 191 million related to non-financial corporations and € 135 million to households. At country level,
the Stage 3 impairment losses were primarily incurred by head office (€ 230 million) and Russia (€ 53 million). In Stage 1 and
Stage 2, net impairment losses of € 4 million were recognized in the reporting period (previous year’s period: € 567 million, of
which € 298 million in Russia and € 87 million in Ukraine).
The NPE ratio rose 0.3 percentage points to 1.9 per cent due to loan defaults at head office. The NPE coverage ratio was 51.7
per cent at the reporting date, compared to 59.0 per cent in the previous year.
Income taxes
The € 138 million increase in income taxes to € 997 million was primarily due to Ukraine, which accounted for €108 million. This
mainly relates to a windfall tax and a significant increase in profit. Significant increases in profit led to higher tax expense in
most countries, for example with increases of € 31 million in Romania, € 19 million each in Serbia and Slovakia, € 17 million in
Croatia, and € 11 million in Hungary. In the Czech Republic, on the other hand, profit was down, and the higher tax expense of
€ 9 million was due to a windfall tax in the amount of € 26 million. In Russia, income taxes of € 464 million were € 95 million
lower than in the comparable period. This was due to the sharp fall in profit of € 811 million and the resulting lower tax burden,
which was partly offset by a windfall tax in the amount of € 47 million.
RBI’s effective tax rate rose 7.5 percentage points year-on-year to 27.9 per cent, mainly due to the non-tax-deductible
expenses for credit-linked litigation and for annulments of loan agreements in Poland in the amount of € 873 million (previous
year’s period: € 505 million) and to the newly introduced windfall taxes in Russia, the Czech Republic and Ukraine.
Gains/losses from discontinued operations
The gains/losses from discontinued operations in the previous year’s period included the deconsolidation of the Bulgarian
Group units.
Group management report 15
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Comparison of results with the previous quarter
Quarterly results

in € million | Q4/2022 | Q1/2023 | Q2/2023 | Q3/2023 | Q4/2023 | Change
Net interest income | 1,462 | 1,385 | 1,364 | 1,441 | 1,494 | 52 | 3.6%
Dividend income | 24 | 11 | 7 | 10 | 8 | (2) | (17.9)%
Current income from investments in associates | 8 | 30 | 21 | 21 | 13 | (7) | (36.2)%
Net fee and commission income | 1,196 | 966 | 732 | 667 | 677 | 10 | 1.6%
Net trading income and fair value result | 192 | 86 | 30 | 89 | (19) | (108) | –
Net gains/losses from hedge accounting | (20) | (10) | (7) | 5 | (16) | (21) | –
Other net operating income | (1) | (9) | 51 | 15 | 5 | (10) | (66.8)%
Operating income | 2,861 | 2,459 | 2,197 | 2,247 | 2,162 | (86) | (3.8)%
Staff expenses | (578) | (562) | (606) | (491) | (548) | (57) | 11.6%
Other administrative expenses | (278) | (277) | (323) | (271) | (354) | (83) | 30.4%
Depreciation | (123) | (111) | (116) | (116) | (132) | (17) | 14.3%
General administrative expenses | (978) | (950) | (1,045) | (878) | (1,034) | (156) | 17.8%
Operating result | 1,882 | 1,509 | 1,152 | 1,369 | 1,128 | (242) | (17.6)%
Other result | (442) | (96) | (354) | (138) | (317) | (178) | 128.8%
Governmental measures and compulsory contributions | (52) | (236) | (2) | (22) | (24) | (2) | 9.8%
Impairment losses on financial assets | (228) | (301) | 42 | 8 | (142) | (150) | –
Profit/loss before tax | 1,160 | 877 | 838 | 1,216 | 645 | (572) | (47.0)%
Income taxes | (270) | (176) | (211) | (269) | (341) | (72) | 26.7%
Profit/loss after tax from continuing operations | 890 | 700 | 627 | 947 | 304 | (644) | (67.9)%
Gains/losses from discontinued operations | 0 | 0 | 0 | 0 | 0 | 0 | –
Profit/loss after tax | 890 | 700 | 627 | 947 | 304 | (644) | (67.9)%
Profit attributable to non-controlling interests | (64) | (43) | (49) | (68) | (32) | 37 | (53.7)%
Consolidated profit/loss | 826 | 657 | 578 | 879 | 272 | (607) | (69.0)%

Development of the fourth quarter of 2023 compared to the third quarter of
2023
Net interest income rose € 52 million to € 1,494 million. Russia reported the largest increase of € 52 million, mainly due to a
partly currency-related rise in interest income from loans to banks. In Slovakia, net interest income rose € 8 million due to
higher market interest rates for loans to non-financial corporations and households. In the Czech Republic, higher interest
income from government bonds and lower interest expenses for derivatives led to an increase in net interest income of € 7
million. In Hungary, net interest income increased € 6 million, mainly due to higher net income from derivatives and interest rate
swaps. The net interest margin increased 10 basis points to 3.06 per cent, which was primarily due to Russia
Net fee and commission income increased 2 per cent, or € 10 million, to € 677 million. Net income from clearing, settlement and
payment services improved € 5 million, primarily in Romania and the Czech Republic. Net income from customer resources
distributed but not managed also increased € 5 million due to higher income and transactions, particularly in the Czech
Republic and Romania.
Net trading income and fair value result decreased € 108 million to minus € 19 million. A significant portion of the decrease
occurred at head office, which posted a decline of € 67 million that was concentrated in interest rate derivatives and foreign
currency positions. In addition, Russia also recorded a decline of € 33 million, primarily due to volatility in the Russian ruble.
Raiffeisen Bausparkasse Gesellschaft m.b.H. also posted a lower valuation result of € 21 million. This was mainly driven by
negative valuation effects among interest rate derivatives.
Other net operating income came in at € 5 million in the second quarter, below the third-quarter level of € 15 million. Net
income from insurance contracts was € 15 million lower in the fourth quarter, mainly in connection with the change to IFRS 17 in
Croatia.
General administrative expenses were up € 156 million quarter-on-quarter to € 1,034 million. Staff expenses increased € 57
million to € 548 million; other administrative expenses rose € 83 million to € 354 million; and depreciation increased € 17 million
to € 132 million. The main drivers of the increase in the fourth quarter were higher staff expenses in Russia (increase: € 20
million), higher other administrative expenses in Romania (increase: € 20 million) and Russia (increase: € 18 million) and higher IT
expenses at head office (increase: € 13 million).
16 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The other result decreased € 178 million to minus € 317 million. This was mostly driven by expenses for credit-linked, portfolio-
based litigation and annulments, which totaled € 273 million in the fourth quarter of 2023 after reaching € 176 million in the
third quarter of 2023. They mainly related to the mortgage loan portfolio in Poland. The valuation of investments in associates
resulted in reversals of impairment losses of € 16 million in the fourth quarter that were mainly related to Oesterreichische
Kontrollbank AG. This was set against an impairment loss of € 19 million on shares in subsidiaries.
Impairment losses on financial assets amounted to € 142 million in the fourth quarter after booking net releases of € 8 million
in the third quarter. In the fourth quarter, net provisioning for impairment losses at head office of € 132 million (due to defaults
at non-financial corporations) was offset by net releases of € 52 million in Russia. In the third quarter, the releases of loan loss
provisions mainly affected Russia, with this effect being primarily due to the reduction of the customer portfolio that is subject
to sanctions.
The € 72 million increase in income taxes is mainly due to windfall tax in Ukraine and the Czech Republic.
Statement of financial position
Total assets have decreased by around € 9 billion or 4.3 per cent since the beginning of the year, with currency effects being
responsible for a decline of 2.6 per cent. The devaluation of the Russian ruble (down 22 per cent), the Belarusian ruble (down 18
per cent) and the US dollar (down 3 per cent) was set against the appreciation of the Hungarian forint (up 5 per cent) and the
Swiss franc (up 6 per cent).
Assets

in € million | 31/12/2022 | 31/3/2023 | 30/6/2023 | 30/9/2023 | 31/12/2023 | Change year-to- date | Change previous quarter
Loans to banks | 15,716 | 17,442 | 17,358 | 15,716 | 14,714 | (1,003) | (6.4)% | (1,003) | (6.4)%
Loans to customers | 103,230 | 105,336 | 101,806 | 101,931 | 99,434 | (3,796) | (3.7)% | (2,498) | (2.5)%
hereof non-financial corporations | 48,829 | 48,939 | 48,296 | 47,713 | 47,049 | (1,780) | (3.6)% | (664) | (1.4)%
hereof households | 40,867 | 40,806 | 40,525 | 39,848 | 39,674 | (1,193) | (2.9)% | (174) | (0.4)%
Securities | 23,711 | 26,281 | 28,236 | 30,803 | 31,108 | 7,397 | 31.2% | 305 | 1.0%
Cash and other assets | 64,401 | 61,919 | 58,723 | 55,724 | 52,986 | (11,415) | (17.7)% | (2,738) | (4.9)%
Total | 207,057 | 210,977 | 206,123 | 204,175 | 198,241 | (8,817) | (4.3)% | (5,934) | (2.9)%

Loans to banks decreased € 935 million due to loan repayments mainly at head office and € 455 million in the Czech Republic
due to a decline in repo transactions, while an increase of € 431 million was recorded in Serbia due to repo transactions.
Loans to customer decreased by a total of € 3,796 million. The loan volume in Russia has been scaled back significantly since
the beginning of the Russian war of aggression in Ukraine. It declined another € 3,014 million in total to € 5,973 million during
the financial year, with the decline concentrated in unsecured loans, mortgage loans to households, working capital finance
and fixed-term loans to non-financial corporations. However, the decline was mainly driven by the depreciation of the Russian
ruble. Head office recorded a net decrease of € 1,411 million to € 26,382 million, half of which was attributable to repayments of
loans to other financial corporations of € 809 million. In addition, both regular repayments and early repayments led to a € 764
million decrease in loans to non-financial corporations. In Slovakia, receivables increased € 371 million, mainly due to loans to
households and non-financial corporations. In Romania, growth amounted to € 349 million, or 4 per cent, for non-financial
corporations and other financial corporations, while growth in Croatia was € 293 million, or 9 per cent, mainly driven by loans to
households and non-financial corporations. In the Czech Republic, an increase of € 257 million, or 1 per cent, was achieved
mainly through project finance loans to non-financial corporations and consumer loans to households.
The increase in securities was primarily attributable to investments – especially in government bonds – at head office (up
€ 2,619 million, including trading securities), in the Czech Republic (up € 2,210 million), Hungary (up € 993 million), Ukraine (up:
€ 636 million) and Slovakia (up € 558 million).
The decline in cash balances of € 10,449 million was primarily due to a reduction at head office of € 9,797 million, mainly due to
a reduction in central bank balances, while the increase in repo transactions partially offset this decline. Russia recorded a
€ 2,471 million fall in cash balances, primarily in overnight interbank placements. Slovakia posted a decline of € 456 million, with
surplus cash being used for customer loans and investment loans. The market values of derivatives reported under other
assets, primarily interest rate derivatives, declined € 1,831 million at head office.
Group management report 17
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Equity and liabilities

in € million | 31/12/2022 | 31/3/2023 | 30/6/2023 | 30/9/2023 | 31/12/2023 | Change year-to- date | Change previous quarter
Deposits from banks | 33,641 | 35,005 | 33,681 | 29,298 | 26,144 | (7,496) | (22.3)% | (3,154) | (10.8)%
Deposits from customers | 125,099 | 124,776 | 120,553 | 121,233 | 119,353 | (5,746) | (4.6)% | (1,880) | (1.6)%
hereof non-financial corporations | 50,042 | 49,850 | 45,827 | 45,813 | 45,084 | (4,958) | (9.9)% | (729) | (1.6)%
hereof households | 58,876 | 59,234 | 58,427 | 57,520 | 58,453 | (423) | (0.7)% | 932 | 1.6%
Debt securities issued and other liabilities | 29,554 | 31,971 | 32,561 | 33,792 | 32,894 | 3,340 | 11.3% | (898) | (2.7)%
Equity | 18,764 | 19,225 | 19,329 | 19,851 | 19,849 | 1,085 | 5.8% | (2) | —%
Total | 207,057 | 210,977 | 206,123 | 204,175 | 198,241 | (8,817) | (4.3)% | (5,934) | (2.9)%

The € 7,496 million or 22 per cent decrease in deposits from banks was mainly due to the redemption of TLTRO instruments
and lower short-term deposits at head office (€ 8,394 million) as well as the redemption of TLTRO instruments in Slovakia
(€ 775 million), which were offset by an increase in the Czech Republic (€ 529 million) due to repo transactions.
The € 5,746 million reduction in deposits from customers compared to the end of the year was largely due to a reduction in
short-term deposits from households and non-financial corporations in Russia, which were down € 5,537 million, largely as a
result of currency effects. The decline in local currency was much smaller (8 per cent). The decrease in deposits of € 3,276
million at head office was mainly due to lower time deposits, in particular from Austrian and German non-financial
corporations (total: € 3,160 million). In contrast, the Czech Republic recorded an increase of € 1,197 million, or 5 per cent,
attributable to the rise in repo transactions with governments and short-term deposits mainly from households.
Debt securities issued rose € 4,377 million. In the reporting period, a € 1.0 billion senior preferred bond, two mortgage-backed
bonds, each with a nominal value of € 500 million, and a € 500 million senior non-preferred benchmark bond were issued at
head office. MREL-eligible bonds were issued in the Czech Republic (€ 300 million), in Romania (€ 300 million) and in Slovakia
(€ 500 million), including covered bonds in the latter case. The negative market values of derivatives reported under other
liabilities, primarily interest rate derivatives at head office, declined € 1,308 million.
For information relating to funding, please refer to note (44) Liquidity management in the risk report section of the
consolidated financial statements.
Liquidity and funding
With its solid liquidity position and established processes for managing liquidity risk, RBI demonstrates its high adaptability
even in times of crisis. In addition, separate monitoring of RBI's liquidity risk position excluding Russian subsidiaries was
introduced in 2023. This shows that RBI's liquidity risk position remains within the target values even without the Russian
business. The liquidity coverage ratio was 189 per cent as at 31 December 2023 (31 December 2022: 202 per cent) compared to a
regulatory limit of 100 per cent, while the net stable funding ratio (NSFR) was 141 per cent (31 December 2022: 135 per cent).
Group funding is derived from a strong base of customer deposits – primarily retail business in Central and Southeastern
Europe – and is supplemented by wholesale funding, mainly through RBI AG and the subsidiary banks. In addition to funding
from the regional Raiffeisen banks, financing loans from third parties and interbank loans with third-party banks are also used.
The loan/deposit ratio amounted to 83.8 per cent as at 31 December 2023 (31 December 2022: 82.4 per cent).
18 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Equity on the statement of financial position
Equity including non-controlling interests rose € 1,085 million from the start of the year to € 19,849 million.
Total comprehensive income of € 1,518 million comprised profit after tax of € 2,578 million and other comprehensive income of
minus € 1,060 million. The currency movements in particular had a negative impact of minus € 1,168 million on other
comprehensive income.
The 22 per cent devaluation of the Russian ruble contributed negatively with € 989 million, while the 18 per cent devaluation of
the Belarusian ruble contributed € 95 million and the 2 per cent devaluation of the Czech koruna contributed € 71 million to the
negative currency impact.
On the other hand, there were positive effects from fair value changes of equity instruments and financial assets amounting
to € 71 million, as well as from hedging of net investments, primarily in the Russian ruble (€ 21 million) and the Czech koruna
(€ 17 million), which resulted in a positive valuation result of € 37 million.
Total capital pursuant to the CRR/Austrian Banking
Act (BWG)
Common equity tier 1 (CET1) after deductions amounted to € 16,203 million, representing an increase of € 560 million compared
to the 2022 year-end figure. The main driver of the increase was the net profit for the current financial year.
Tier 1 capital after deductions increased € 562 million to € 17,881 million. The increase was primarily attributable to effects in
CET1. Tier 2 capital decreased € 96 million to € 2,287 million due to the regulatory maturing of outstanding instruments. Total
capital amounted to € 20,168 million, which represents an increase of € 466 million year-on-year.
Total risk-weighted assets (RWA) decreased by a total of € 4,016 million to € 93,664 million compared to the 2022 year-end
figure. The main drivers for the reduction in credit risk were foreign currency effects from the Russian ruble and a decrease in
the corporate and retail portfolio of € 3,684 million and € 1,437 million, respectively. The reduction was set against an increase
of € 1,392 million in credit risk for governments and central banks, primarily due to higher risk weightings. Inorganic effects,
which were primarily due to the implementation of the IRB approach at the Austrian savings and loan institution, resulted in a
decrease of € 2,370 million. The RWAs for market risk increased due to the RWA backing of investments in foreign currencies,
particularly those of the Russian subsidiary bank.
This resulted in a (transitional) CET1 ratio of 17.3 per cent, a (transitional) tier 1 ratio of 19.1 per cent and a (transitional) total
capital ratio of 21.5 per cent.
Group management report 19
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Research and development
Digitalization
A central theme for banks in the advancement of digitalization is the growing relevance of mobile banking. Penetration (the
rate of active mobile banking use) reached 60 per cent in retail (though this figure varies between markets) and is above that
of local peers. The sale of E2E digital loans at group level reached 52 per cent in 2023.
With its product range for retail customers and small businesses, RBI places a strong focus on the full end-to-end digitalization
of core products (accounts, payments/cards and loans). RBI expects to achieve cost savings and additional income through this
as well as the branch network optimization.
In addition, RBI is continuing its efforts to develop more products and individual product components centrally and make them
available to all of the Group’s banks. Aside from the cost benefit, this should lead to a substantial reduction in the time
required for the full digitalization of the five most important products across the entire Group (current accounts, credit cards,
consumer loans as well as current accounts and loans for SMEs).
With the Easy Digital Investing (EDI) platform, Raiffeisenbank Czech Republic was the first large bank in the Czech Republic to
introduce a mobile investment application for retail clients at the end of 2022. At the end of 2023, around 18,000 customers
were already using the platform's services. Half of the EDI users are new-to-invest customers (i.e. customers, who have never
had an investment product with Raiffeisenbank Czech Republic), which positively confirms RBI’s ability to attract new
customers, and overall increases the penetration of investment products. EDI was developed as a standardized group solution,
hence a timely rollout in other countries is currently being planned.
Digitalization is also a key issue for corporate and institutional customers. The main challenge is to enable process streamlining
and a reduction of paper-based procedures in the interface with customers. Since the end of 2019, RBI has digitized a series of
products and services on the myRaiffeisen platform. This includes a digital KYC process (eKYC) for companies and institutional
customers, digital account opening (Group eAccount Opening), digital export finance (eSpeedtrack) as well as further services
such as eFinance, eGateway, eArchive, and the digital payment questionnaire for correspondent banking clients (ePIC). In 2022,
eTradeOn, a tool to manage guarantees online, was added to the myRaiffeisen product range.
RBI is one of the first banks in the CEE region to offer a group-wide account opening feature for international customers,
addressing one of the core needs of thesegment for region-wide services. Further products and solutions are planned to follow
in the coming years with a similar setup. Since 2019, RBI has successfully rolled out features to the network banks, achieving
more than 4,000 digitally initiated KYC cases group-wide, supported by more than 1,600 digital account opening requests and a
digitally requested lending volume of € 1.3 billion. Digital penetration of KYC processes in RBI head office is on a stable level of
>70 per cent and the majority of first account openings are requested digitally.
In response to customer needs in the FX business, RBI launched a single-bank FX platform (R-Flex) in Romania and Croatia in
2022 and in Hungary in 2023. R-Flex enables FX transactions in digital form, including real-time information and fast
settlement, both in the online and mobile versions. Compared to the previous year, the number of platform users has increased
from 4,500 to 37,000. It is planned to roll out the product to further countries in 2024.
20 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Innovation Areas
The topics of artificial intelligence (AI) and blockchain technology have been identified as strategically important fields for
further monitoring and research for the RBI in 2023.
In 2023, there was a notable surge in the adoption and utilization of AI technology, leading to the democratization of AI. To
maintain competitiveness and consistently provide top-notch solutions to clients, RBI introduced a strategic AI initiative. This
initiative aims to assess the impact of AI on RBI and explore its potential in customer-facing products. It will be implemented in
stages, encompassing employee education, awareness, and the development of innovative products and services.
Blockchain technology is another strategic field of interest for RBI due to its potential to revolutionize the financial industry.
Potential applications include fast and secure payments and transactions, improving internal processes, and enabling
tokenization of clients’ assets. A dedicated team for this topic was formed several years ago to monitor market developments
and the technology’s potential for client-facing products. In 2023, two internal projects explored the potential of asset
tokenization and institutional-grade digital asset custody, both of which will continue in 2024.
IT
In 2023, RBI adopted its 2024-2025 Strategy Outlook, which outlines its commitment to being a data-centric company,
emphasizing data accessibility, quality, and business value. The bank streamlined operations and automated processes to
cater to the growing need for real-time services, and RBI’s operating model shifted towards client-centricity, stability, and
digitalization.
RBI’s commitment to agility was emphasized by consistently developing maturity in this area, achieving enterprise agility, and
securing a leading position in the CEE region.
IT security was bolstered through a risk-based alert system that enables a rapid response and the migration of more than
14,000 repositories to GitHub to ensure greater efficiency in source code management.
RBI attaches great importance to the introduction of cloud technology. By reaching the milestone of 50 per cent in Ukraine,
Kosovo and Albania, RBI demonstrated a leading role among banks in these regions. The transition of applications to the cloud
reached 44 per cent at head office level and 40 per cent at network banks level in 2023.
In a bid to solidify its standing as a top-tier IT employer, RBI inaugurated Raiffeisen Tech centers in Poland, Romania, and
Kosovo, creating job opportunities for global IT professionals and promoting employee development.
Group management report 21
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Internal control and risk
management system in
relation to the Group
accounting process
Balanced and comprehensive financial reporting is a priority for RBI and its governing bodies. Compliance with all relevant
statutory requirements is therefore a basic prerequisite. The Management Board is responsible for establishing and defining a
suitable internal control and risk management system that encompasses the entire accounting process while adhering to
company requirements. This is embedded in the company-wide framework for the internal control system (ICS).
The ICS should ensure effective and continuously improving internal controls for accounting. The control system is designed to
comply with all relevant guidelines and regulations and to optimize conditions for specific control measures in order to prevent
any unintentional misstatements.
Control environment
The Group has an internal control system pertaining to financial reporting, which includes directives and instructions on key
issues as a central element. This includes:
· The hierarchical decision-making process for approving Group and company directives, as well as departmental and
divisional instructions,
· process descriptions for the preparation, quality control, approval, publication, implementation and monitoring of
directives, and instructions including related controls, as well as
· regulations for the revision and repeal of directives and instructions.
The senior management of each Group unit is responsible for implementing the Group-wide instructions. Compliance with
Group rules is monitored by the department Group Consolidation as well as through audits by Group and local auditors.
The consolidated financial statements are prepared by the department Group Consolidation (division Group Accounting &
Financial Methodologies), which belongs to the CFO area under the CEO. The associated responsibilities are defined for the
Group within the frame-work of a dedicated Group function.
Risk assessment
Significant risks relating to the Group accounting process are evaluated and monitored by the Management Board. Complex
accounting standards can increase the risk of errors, as can the use of differing valuation standards, particularly in relation to
the Group’s principal financial instruments. A difficult business environment can also increase the risk of significant financial
reporting errors. For the purpose of preparing the consolidated financial statements, estimates have to be made for asset and
liability items for which no market value can be reliably determined. This essentially applies to risk provisions in the lending
business, fair value and impairment of financial instruments, deferred taxes, provisions for pensions and pension-like
obligations as well as provisions for legal cases.
22 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Control measures
The preparation of financial information on an individual Group unit level is decentralized and carried out by the respective
Group unit in accordance with RBI guidelines; the calculation of parts of the impairment charges under IFRS 9 is, however,
carried out centrally. The Group unit employees and the managers responsible for accounting are required to provide a full
presentation and accurate valuation of all transactions. The local management is responsible for ensuring implementation of
mandatory internal control measures, such as the separation of functions and the principle of dual control. The reconciliation
and validation controls are embedded in the aggregation, calculation, and accounting valuation activities for all financial
reporting processes. Particular focus is placed on the controls for the core processes that play a fundamental role in the
preparation of the financial statements. This primarily relates to processes which are relevant for valuations, the results of
which have a significant impact on the financial statements (e.g. valuation of credit risk provisions, derivatives, equity
participations, provisions for personnel expenses and market risk).
Consolidation
The financial statement data are predominantly automatically transferred to the IBM Cognos Controller consolidation system.
The IT system is kept secure by limiting access rights.
The plausibility of each Group unit’s financial information is initially checked by the responsible key account manager in the
department Group Consolidation. Group-level control activities comprise the analysis and, where necessary, modification of
the financial statements submitted by Group units. In this process, the results of internal meetings as well as comments from
the Group units and comments from external reviews are taken into account. Both the plausibility of the reporting package as
well as critical matters pertaining to the Group unit are acknowledged.
The subsequent consolidation steps are performed using the consolidation system, including capital consolidation, expense
and income consolidation, and debt consolidation. Finally, intra-Group gains are eliminated where applicable. At the end of the
consolidation process, the notes to the financial statements are prepared in accordance with IFRS and the BWG/UGB.
All control measures constitute part of the day-to-day business processes and are used to prevent, detect and correct any
potential errors or inconsistencies in the financial reporting. Control measures range from process controls of the consolidation
steps, to account reconciliation, to the managerial review of the results for the period.
The consolidated financial statements and management report are reviewed by the Audit Committee of the Supervisory Board
and are also presented to the full Supervisory Board for its information.
Information and communication
The consolidated financial statements are prepared using Group-wide standardized data requirements. The accounting and
valuation standards are defined and explained in the RBI Group Accounts Manual and must be applied when preparing the
financial statements. Detailed instructions for the Group units on measuring credit risk and similar issues are provided in the
Group directives. The relevant units are kept abreast of any changes to the instructions and standards through regular training
courses.
Each year the Annual Report contains the consolidated results in the form of a complete set of consolidated financial
statements. In addition, the Group management report contains comments on the consolidated results in accordance with the
statutory requirements.
Throughout the year, consolidated monthly reports are produced for the RBI Management Board. The published statutory
interim reports conform to the provisions of IAS 34 and are produced on a quarterly basis. Before publication, the consolidated
financial statements are presented to senior managers and Management Board members for final approval and then
submitted to the Supervisory Board’s Audit Committee. Analyses pertaining to the consolidated financial statements are also
provided for management, as are forecast Group figures at regular intervals. The financial and capital planning process,
undertaken by the department Group Planning, Reporting & Analysis, includes a three-year Group budget.
Group management report 23
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Monitoring
Financial reporting is a primary focus of the ICS framework, whereby financial reporting processes are subject to risk-based
prioritization and control examinations with results regularly reported to the Management Board and the Supervisory Board for
evaluation. Additionally, the Audit Committee is required to monitor the financial reporting process. The Management Board is
responsible for ongoing company-wide monitoring. The internal control system is based on three lines of defense.
The first line of defense consists of individual departments, whereby department heads are responsible for monitoring their
business areas and ensuring that an appropriate control environment is established. The departments conduct plausibility
checks and control activities on a regular basis, in accordance with the documented processes.
The second line of defense is made up of specialist areas focused on specific topics. These include, for example, Compliance,
Data Quality Governance, Operational Risk Controlling, and Security & Business Continuity Management. Their primary aim is to
support specialist areas with their control processes, to review the carrying out of controls, and to introduce leading practices
within the organization.
Internal audits are the third line of defense in the monitoring process. Responsibility for auditing lies with Group Internal Audit
and the respective internal audit departments of the Group units. All internal auditing activities are subject to the Group Audit
Standards, which are based on the Austrian Financial Market Authority’s minimum internal auditing requirements and
international best practices. Group Internal Audit’s internal rules also apply (notably the Audit Charter). Group Audit regularly
and independently verifies compliance with the internal rules within the RBI Group units. The head of Group Internal Audit
reports directly to the Management Board, with additional reporting obligations to the Chairman of the Supervisory Board and
members of the Audit Committee of the Supervisory Board.
24 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Capital, share, voting, and
control rights
The following disclosures satisfy the provisions of § 243a (1) of the Austrian Commercial Code (UGB):
(1) As at 31 December 2023, the company’s share capital amounted to € 1,003,265,844.05 and was divided into 328,939,621
voting common bearer shares. As at 31 December 2023, 573,938 (31 December 2022: 510,450) of those were own shares, and
consequently 328,365,683 shares were outstanding at the reporting date.
Please see note (29) Equity and non-controlling interests for further disclosures.
(2) The Articles of Association contain no restrictions concerning voting rights or the transfer of shares. The regional Raiffeisen
banks and direct and indirect subsidiaries of the regional Raiffeisen banks are parties to a syndicate contract (syndicate
agreement) regarding RBI AG. The terms of this syndicate agreement include not only a block voting agreement and
preemption rights, but also a prohibition on sales of the RBI shares held by the regional Raiffeisen banks (with few exceptions) ,
if the sale would reduce the regional Raiffeisen banks’ aggregate shareholding in RBI AG (direct and/or indirect) to less than 40
per cent of the share capital plus one share.
(3) Raiffeisenlandesbank Niederösterreich-Wien AG holds directly and indirectly total around 24.83 per cent of the share capital
of the company. By virtue of the syndicate agreement regarding RBI AG, the regional Raiffeisen banks and their direct and
indirect subsidiaries as parties acting in concert as defined in § 1 (6) of the Austrian Takeover Act (ÜbG). The regional Raiffeisen
banks hold a total of around 61.00 per cent of the voting rights. The remaining shares of RBI AG are held in free float, with no
other direct or indirect shareholdings amounting to 10 per cent or more known to the Management Board.
(4) The Articles of Association do not contain any special rights of control associated with holding shares. According to the
syndicate agreement for RBI AG, the regional Raiffeisen banks can nominate nine members of the RBI AG Supervisory Board. In
addition to the members nominated by the regional Raiffeisen banks, the RBI AG Supervisory Board should also include three
independent representatives of free-float shareholders who are not attributable to the Austrian Raiffeisen Banking Group.
(5) There is no control of voting rights arising from interests held by employees in the share capital.
(6) Pursuant to the Articles of Association, a person who is aged 68 years or older may not be appointed as a member of the
Management Board or be reappointed for another term in office. The rule for the Supervisory Board is that a person who is
aged 75 years or older may not be elected as a member of the Supervisory Board or be re-elected for another term in office.
Moreover, no person who already holds eight supervisory board mandates in publicly traded companies may be a member of
the Supervisory Board. Holding a position as chairman of the supervisory board of a publicly traded company would count
twice for this purpose. The Annual General Meeting may choose to waive this restriction through a simple majority of votes if
permitted by law. Any candidate who has more mandates for, or chairman positions on, supervisory boards in publicly traded
companies must disclose this to the Annual General Meeting. There are no further regulations regarding the appointment or
dismissal of members of the Management Board and the Supervisory Board beyond the provisions of the relevant laws. The
Articles of Association stipulate that the resolutions of the Annual General Meeting are, provided that there are no mandatory
statutory provisions to the contrary, adopted by a simple majority of the votes cast. Where the law requires a capital majority
in addition to the voting majority, resolutions are adopted by a simple majority of the share capital represented in the votes. As
a result of this provision, members of the Supervisory Board may be dis-missed prematurely by a simple majority. The
Supervisory Board is authorized to adopt amendments to the Articles of Association that only affect the respective wording.
This right may be delegated to committees. Furthermore, there are no regulations regarding amendments to the company
Articles of Association beyond the provisions of the relevant laws.
(7) Pursuant to § 169 of the Austrian Stock Corporation Act (AktG), the Management Board has been authorized since the
Annual General Meeting of 13 June 2019 to increase the share capital with the approval of the Supervisory Board – in one or
more tranches – by up to € 501,632,920.50 through the issuance of up to 164,469,810 new voting common bearer shares in
exchange for contributions in cash and/or in kind (including by way of the right of indirect subscription by a bank pursuant to §
153 (6) of the AktG) by 2 August 2024 at the latest and to fix the offering price and terms of the issue with the approval of the
Supervisory Board. The Management Board is further authorized to exclude shareholders’ subscription rights with the approval
of the Supervisory Board (i) if the capital increase is carried out in exchange for contributions in kind, or (ii) if the capital
increase is carried out in exchange for contributions in cash and the shares issued under the exclusion of subscription rights do
not exceed 10 per cent of the company’s share capital (exclusion of subscription rights). The (i) utilization of authorized capital
with exclusion of the statutory subscription right in the event of a capital increase in return for a contribution in cash, and the
(ii) implementation of the conditional capital resolved upon in the Annual General Meeting on 20 October 2020 in order to grant
conversion or subscription rights to convertible bond creditors may not exceed 10 per cent in total of the share capital of the
Group management report 25
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
company. The utilization of the authorized capital in the form of a capital increase in return for a contribution in kind is not
covered by this restriction. No use has been made to date of the authority granted in June 2019 to utilize the authorized
capital.
The share capital is conditionally increased (conditional capital) pursuant to § 159 (2) 1 of the AktG by up to € 100,326,584 by
issuing of up to 32,893,962 ordinary bearer shares. The conditional capital increase will only be implemented to the extent that
use is made of an irrevocable right of conversion into or subscription to shares which the company grants to the creditors
holding convertible bonds issued on the basis of the resolution passed at the Annual General Meeting on 20 October 2020, or in
the event of having to fulfil a conversion obligation set out in the convertible bonds’ terms of issuance. In both cases, the
Management Board does not decide to allocate own shares. The issue price and the conversion ratio are to be calculated in
accordance with recognized quantitative financial methodologies and the price of the company’s shares in a recognized
pricing procedure (calculation basis of the issuance price); the issue price may not be below the proportionate amount of the
share capital. The newly issued shares from the conditional capital increase are entitled to a dividend equivalent to that of the
shares traded on the stock exchange at the time of issuance. The Management Board is authorized, with the approval of the
Supervisory Board, to determine the further details of the implementation of the conditional capital increase.
The Management Board was further authorized pursuant to § 174 (2) of the AktG by the Annual General Meeting on 20 October
2020, within 5 years from the date of the resolution, i.e. until 19 October 2025, with the consent of the Supervisory Board, to
issue also in several tranches, convertible bonds with rights to convert into or subscribe to shares of the company or
convertible bonds with conversion obligations (contingent convertible bonds pursuant to § 26 of the Banking Act), including
convertible bonds that meet the requirements for Additional Tier 1 capital instruments pursuant to Regulation (EU) No.
575/2013 of the European Parliament and the Council of 26 June 2013 on supervisory requirements for credit institutions and
investment firms, as amended, with full exclusion of shareholders’ subscription rights. The authorization includes the issuance
of convertible bonds in a total nominal amount of up to € 1,000,000,000 with rights to convert into or subscribe to up to
32,893,962 ordinary bearer shares of the company with a proportionate amount of the share capital up to € 100,326,584. The
issue price and the conversion ratio are to be calculated in accordance with recognized quantitative financial methodologies
and the price of the company shares in a recognized pricing procedure (calculation basis of the issuance price); the issue price
of the convertible bonds may not be below the proportionate amount of the share capital. In this respect, the Management
Board is authorized to determine all further issuance and structural features as well as the issuance terms and conditions of
the convertible bonds, in particular the interest rate, issue price, term of validity and denomination, provisions protecting
against dilution, conversion period, conversion rights and obligations, conversion ratio and conversion price. The convertible
bonds may also be issued – observing the limit of the corresponding equivalent value in euros – in the currency of the United
States of America and in the currency of any other Organization for Economic Cooperation and Development (OECD) member
state. The convertible bonds may also be issued by a company which Raiffeisen Bank International AG owns 100 per cent of,
directly or indirectly. For this event, the Management Board is authorized to provide, with the consent of the Supervisory Board,
a guarantee for the convertible bonds on behalf of the company and to grant the holders of the convertible bonds conversion
rights into ordinary bearer shares of Raiffeisen Bank International AG and, if a conversion obligation is stipulated in the
convertible bonds’ issuance terms, to enable the obligation of conversion into ordinary bearer shares of Raiffeisen Bank
International AG to be fulfilled; with the exclusion of the rights of shareholders to subscribe to the convertible bonds.There
have been no convertible bonds issued to date.
The Annual General Meeting held on 31 March 2022 authorized the Management Board pursuant to § 65 (1) 8, § 65 (1a) and § 65
(1b) of the AktG to purchase own shares and to retire them if appropriate without requiring any further prior resolutions to be
passed by the Annual General Meeting, though with the approval of the purchase by the Supervisory Board can also be
effected off-exchange under the exclusion of the shareholders’ pro rata tender right. Own shares, whether already purchased
or to be purchased, may not collectively exceed 10 per cent of the company’s share capital. The authorization to purchase own
shares expires 30 months after the date of the Annual General Meeting resolution, i.e. until 30 September 2024. The acquisition
price for repurchasing the shares may be no lower than € 3.05 per share and no higher than 10 per cent above the average
unweighted closing price over the 10 trading days prior to exercising this authorization. The authorization may be exercised in
full or in part or also in several partial amounts, for one or more purposes – with the exception of securities trading – by the
company, by a subsidiary (§ 189a (7) of the UGB) or by third parties for the account of the company or a subsidiary.
26 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The Management Board was further authorized, pursuant to § 65 (1b) of the AktG, to decide, with the approval of the
Supervisory Board, on the sale of own shares by means other than the stock exchange or a public tender, to the full or partial
exclusion of shareholders’ subscription rights, and to stipulate the terms of sale. Shareholders’ subscription rights may only be
excluded if the own shares are used to pay for a contribution in kind, to acquire enterprises, businesses, operations or stakes in
one or several companies in Austria or abroad. Furthermore, shareholders’ subscription rights may be excluded in the event
that convertible bonds are issued in future, in order that (own) shares may be issued to such convertible bond creditors that
have exercised their right of conversion into or subscription to shares in the company, and also in the event of a conversion
obligation stipulated in the convertible bonds’ issuance conditions in order to fulfil this conversion obligation. This authorization
may be exercised in whole, in part or in several partial amounts for one or more purposes by the company, a subsidiary (§ 189a
7 UGB) or by third parties for the account of the company or a subsidiary and remains in force for five years from the date of
this resolution, i.e. until 31 March 2027. Since that time, there were no own shares purchased based on this authorization from
March 2022.
The Annual General Meeting of 31 March 2022 also authorized the Management Board, under the provisions of § 65 (1) 7 of the
AktG, to purchase own shares for the purpose of securities trading, which may also be conducted off-market, during a period
of 30 months from the date of the resolution (i.e. until 30 September 2024), provided that the trading portfolio of shares
purchased for this purpose does not at the end of any given day exceed 5 per cent of the company's respective share capital.
The consideration for each share to be acquired must not be less than half the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition and must not exceed twice the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition. This authorization may be exercised in full or in part or also in several partial
amounts by the company, by a subsidiary (§ 189a (7) UGB) or by third parties acting for the account of the company or a
subsidiary.
(8) The following material agreements exist, to which the company is a party, and which take effect, change, or come to an
end upon a change of control in the company as a result of a takeover bid:
· RBI AG is insured under a Group-wide D&O policy. In the event of a merger with another legal entity, the insurance
policy would automatically cease at the end of the insurance period in which the merger took effect. In such cases,
insurance cover only exists for claims for damages arising from breaches of obligations that occurred before the
merger, which are reported to the insurer prior to the termination of RBI AG’s Group-wide D&O insurance cover.
· RBI AG is a member of the Professional Association of Raiffeisen Banks. Upon a change in control of RBI AG which
results in the attainment of control by shareholders outside of the Raiffeisen Banking Group Austria, membership of
the Professional Association of Raiffeisen Banks, as well as that of the Raiffeisen-IPS pursuant to Art. 113 (7) of the
CRR, the Österreichische Raiffeisen-Sicherungseinrichtung eGen and of the Raiffeisen Customer Guarantee Scheme
Austria may be terminated. RBI AG also serves as the central institution of the Raiffeisen Banking Group at a national
level. Upon a change in control of RBI AG, related contracts (central institution of the liquidity group pursuant to § 27a
of the BWG may end or change.
· The company’s refinancing agreements and agreements concerning third-party financing for subsidiaries, which are
guaranteed by the company, stipulate in some cases that the lenders can demand early repayment of the financing
in the event of a change in control.
(9) There are no indemnification agreements between the company and its Management Board and Supervisory Board
members or employees that would take effect in the event of a public takeover bid.
Group management report 27
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Risk management
For information on risk management, please refer to the risk report in the consolidated financial statements.
· Corporate Governance
Further information can be found in the Corporate Governance Report chapter of the Annual Report, as well as on the RBI
website (www.rbinternational.com → Investors → Corporate Governance & Remuneration).
· Consolidated non-financial
report
Pursuant to the Sustainability and Diversity Improvement Act (NaDiVeG), the consolidated non-financial statement, which has
to be prepared in accordance with § 267a of the Austrian Commercial Code (UGB), is issued as an independent non-financial
report (Sustainability Report). The report containing detailed information on sustainability management developments, will be
published online at www.rbinternational.com → Sustainability & ESG → Sustainability Reports and also contains the disclosure
for the parent company in accordance with § 243a of the UGB.
· Human Resources
The Group People & Organisational Innovation division (P&OI) combines the areas of Human Resources and Organisational
Development & Innovation. Combining these areas into a single division enables the group to forge an integrated approach to
employee aspects, leadership, culture and organizational development. This makes P&OI a key partner in the implementation
of RBI’s strategy and goals. The division prioritizes the efficient execution of personnel processes, encompassing tasks such as
data administration, contract preparation or recruitment. In addition, the division is responsible for personnel development,
career management, leadership development as well as professional education and training. In the area of organizational
development, the division extends support for restructurings and transformations within the group by leveraging its expertise
in specialized fields, such as change management and organizational design, while spearheading targeted initiatives in the
area of operational innovation.
Current labor market trends show increased turnover rates worldwide and a greater willingness to change jobs since the
COVID-19 pandemic. On the other hand, the challenges stemming from the number of retirees leaving the workforce, evolving
work preferences of Generations Y and Z, along with ongoing technological and regulatory changes, require existing employees
to constantly adapt to new conditions. Furthermore, the number of retirees exiting the workforce, coupled with the evolving
expectations and demands of Generations Y and Z, exert a significant influence on companies and the extent to which they
are viewed as employers of choice. In 2023, RBI was honored multiple times as an employer of choice, including being named in
the LinkedIn Top Employers 2023 and the We Are Developers top tech companies to work for. To maintain this position in the
future, we must understand the expectations and demands of both current employees and applicants and strategically
position the company accordingly.
28 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In cooperation with the Vienna University of Economics and Business, the Career Dimensions @ RBI project was conducted in
2023 to comprehensively explore the career expectations of RBI employees and assess how well their expectations align with
their actual experiences at RBI. The findings reveal that factors such as financial security, a healthy work-life balance,
opportunities for continuous training and development as well as positive work relationships play a pivotal role in shaping the
level of satisfaction employees experience in the course of their careers, while also influencing their level of motivation and
commitment to their jobs. Drawing on these insights, RBI has initiated several programs to fulfill our key objectives:
Remote work within the EU: Due in part to the international nature of RBI’s workforce, the desire to work abroad is growing. In
July 2023, RBI became the first bank in Austria to enable its employees to work remotely in other EU countries on a temporary
basis.
Learning organization: As learning and continuous development contribute significantly to career satisfaction, RBI aims for the
seamless integration of lifelong learning and collaborative knowledge-sharing into the company culture and practices, with a
focus on:
· Promoting a culture of learning, thereby repositioning learning as a priority within the company culture
· Developing a competency in and a flexible approach to leaning
· Achieving a higher level of automation and simplification through the use of new technologies
· Producing a portfolio of relevant learning content
· Devising uniform standards and quality criteria for learning formats and content (in terms of their approach to
didactics, learning psychology and technology)
Team development: The retention of employees is influenced by various factors, including the quality of work relationships, the
level of job and career satisfaction, and personal performance. To enhance retention, teams receive development support
through a series of workshops, with a special focus on fostering mutual trust, open communication, and effective collaboration
methods.
Management development: Managers receive support to optimize their role and guide their teams through periods of
uncertainty and change, while giving due consideration to the individual needs and expectations of their team members. The
training concentrated on bolstering individual resilience, fostering a common understanding of managerial expectations, and
incorporating peer coaching and communication techniques.
Transformation support: An internal team specializing in change management and change communication was formed to
provide optimal support for a wide array of transformations, ranging from minor reorganizations to significant overhauls. The
goal is to properly equip managers and employees for the transformation process, guide them through the process, garner
their commitment to the change, and provide support to individuals and teams throughout the change journey.
AI – opportunities for the future: Artificial Intelligence (AI) holds the potential to revolutionize the way people work and enhance
overall efficiency. Employees are encouraged to explore AI and consider how it could be used at RBI. Since October 2023,
employees of RBI AG have been able to access a version of ChatGPT tailored specifically to RBI. Diverse learning formats,
including eLearning, are offered to deepen employees’ comprehension of AI and machine learning and discover the possibilities
of this new technology while gaining insights into its limitations and potential challenges.
Personnel development
As at 31 December 2023, RBI had 44,887 employees (full-time
equivalents), which was 473 more than at the end of 2022. The
largest increases were recorded in Russia (plus 405), in head
office (plus 148) and in Hungary (plus 91). The largest decrease
occurred in Serbia (minus 236).
Group management report 29
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Outlook
Economic outlook
After a year of stagnating economic growth, the economy is expected to return to a moderate growth trajectory in 2024.
However, the economic upturn will probably only be moderate given the continuing high interest rates. The economy is
expected to be supported by private consumption, which is benefiting from rebounding real wages. The industrial sector
should exit its recessionary environment in the course of 2024. Significant increases in the price of fossil fuels due to military
developments are a risk factor but not expected. A quick end to the war in Ukraine currently seems improbable. However,
absent a further substantial military escalation, the war seems unlikely to have any additional negative implications for the
economy in the euro area or the CE/SEE countries. Inflation will continue to fall in 2024 but not at the same pace as in 2023. The
US Federal Reserve and the ECB are nevertheless likely to embark on a series of interest rate cuts over the course of the year,
although they will proceed cautiously. Interest rates will therefore be significantly higher in 2024 than in previous years. One
potential risk is that individual sectors of the financial system will struggle to cope with persistently higher interest rates.
Central Europe
Real wages in Central Europe (CE) are expected to rise as inflation continues to fall in 2024 despite a temporary increase in
inflation due to the expiration of inflation-dampening measures. This should in turn help revive consumer demand, which
should receive additional support from falling interest rates. Economic growth in the region is thus expected to be significantly
higher in 2024 as a whole (2.7 per cent) than in the previous year (0.1 per cent). The top growth drivers are forecast to be
Hungary (3.0 per cent), not least due to investments in the automotive and battery industry and the creation of new production
capacity, and Poland (3.1 per cent). Poland is likely to receive a boost from NGEU funds as a result of the election and should
receive economic tailwinds from the recovery of Germany’s industrial sector.
Southeastern Europe
Alongside resurgent consumer demand across Europe, Southeastern Europe (SEE), especially the Western Balkans, will benefit
from the EU’s recently unveiled growth plan for the Western Balkans. GDP growth is expected to accelerate to 2.8 per cent in
2024 in this environment. Together with existing cash inflows from NGEU funds and the financial framework as well as the
effects of nearshoring/friendshoring, the region should be able to benefit from its locational advantages (low labor costs and
geographic location). The Western Balkan countries of Albania (3.5 per cent) and Kosovo (3.9 per cent) are predicted to have the
highest economic growth in 2024.
Eastern Europe
In Eastern Europe, growth will once again be the strongest in Ukraine, where GDP is forecast to increase 4.9 per cent in 2024,
driven by strong growth in private consumption and investment. Rising exports and inflows of external funds should support
the economy as well. The Russian economy should record positive GDP growth in 2024 (1.5 per cent) despite the sanctions,
military mobilization, unfavorable investment environment and economic isolation. However, its monetary policy has
temporarily tightened in response to increasing inflationary pressure, some of which was prompted by the depreciation of the
Russian ruble. In Belarus, limited domestic resources, growing competition from Chinese companies in the Russian market,
ongoing EU/US sanctions and base effects will slow GDP growth in 2024 (2.0 per cent).
Austria
Following the 2023 recession, the Austrian economy is likely to return to a moderate growth trajectory in the first half of 2024.
Real wage growth is expected to be clearly positive in 2024, which should support private consumption. Industrial companies
should be finished with reducing their overflowing inventories by the spring, which should have a positive impact on new orders
and ultimately on industrial production. However, the upturn is expected to be only moderate, with GDP growth of just 0.2 per
cent expected for 2024 as a whole. Inflation will continue to drop in 2024, albeit at a much slower pace. Still, the inflation
differential to the euro area is likely to be noticeably lower in 2024 than in 2023.
30 Group management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Banking sector in Austria
2023 was affected by regulatory decisions made in 2022 on mortgage lending standards for households and by the dramatic
change in interest rates precipitated by the shift in the ECB’s interest rate stance. Following the change in the ECB’s interest
rates, lending to both private households and companies is expected to remain significantly subdued in 2024. This is mirrored in
the growth forecasts for the entire Austrian economy, which assume only a moderate upturn. Given the interest rate structure
of outstanding retail and corporate loans, which contain a significant proportion of variable-rate-only loans, risks costs are
expected to increase moderately in 2024 since higher interest rates will likely adversely affect both private households and
companies. The steep increases in net interest income that the banking sector posted in 2022 and 2023 should begin to
normalize in 2024. This is attributable to a progressive tightening of deposit conditions in the sector, especially for demand
deposits, thereby exerting greater pressure on interest margins. Capital market refinancing costs also remain higher due to the
changed interest rate environment across all bond classes. Nevertheless, the Austrian banking sector feels fundamentally well
positioned to master the challenges ahead.
CEE banking sector
The upcoming monetary easing in CE/SEE core markets that fall outside the euro area will weigh on earnings for banks in the
region. In contrast, the relative delay in the ECB cycle should continue to support interest margins for economies that are
located in the euro area and tied to the euro. The weak economy could ultimately raise the risks to asset quality and
moderately increase loan loss provisions, which the core earnings capacity should still be able to accommodate. On the cost
side, special taxation and selected policy support programs for borrowers will likely remain in place (albeit probably in a
weakened form), while EU-based banks will have to start refinancing MREL bonds. Regarding lending, the ongoing economic
uncertainty may continue to discourage lending to the corporate sector while the retail market could bounce back faster.
However, this will require an easing of financial conditions and a further recovery in real wages. On the regulatory front, ESG
will remain high on the agenda and will see further implementation in the regulatory framework, with EU regulators setting the
tone for the entire CEE region.
Outlook for RBI - Guidance 2024
The following guidance refers to RBI excluding Russia and Belarus, whereas the corresponding figures in brackets refer to the
existing footprint. RBI will continue to progress potential transactions which would result in the sale or spin-off of
Raiffeisenbank Russia and deconsolidation of Raiffeisenbank Russia from RBI.
In 2024, net interest income is expected around € 4.0 billion (around € 5.1 billion) and net fee and commission income around
€ 1.8 billion (around € 2.7 billion).
We expect customer loan growth to increase by around 6 per cent (around 5 per cent).
We expect general administrative expenses around € 3.3 billion (around € 4.0 billion), resulting in a cost/income ratio of around
52 per cent (around 47 per cent).
The provisioning ratio – before use of overlays – is expected to be around 50 basis points (around 60 basis points).
The consolidated return on equity is expected to be around 11 per cent (around 12 per cent) in 2024.
At year-end 2024 we expect a CET1 ratio of around 14.6 per cent* (around 17.8 per cent).
Any decision on dividends will be based on the capital position of the Group excluding Russia.
Medium term return on equity and payout ratio targets are suspended due to current uncertainties in Eastern Europe.
*In a ‘P/B Zero‘ Russia deconsolidation scenario, before benefit from STRABAG dividend-in-kind.
Group management report 31
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Segment and country
analysis
32
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Segment reporting at RBI is based on the current organizational structure pursuant to IFRS 8. A cash generating unit within the
Group is a country. For further information on segmentation, please refer to the chapter segment reporting in the consolidated
financial statements as well as the RBI website (www.rbinternational.com → Investors → Results & Reports).
Central Europe

in € million | 2023 | 2022 | Change | Q4/2023 | Q3/2023 | Change
Net interest income | 1,590 | 1,341 | 18.6% | 428 | 409 | 4.4%
Dividend income | 12 | 3 | 383.9% | 4 | 2 | 96.9%
Current income from investments in associates | 5 | 4 | 29.0% | 1 | 1 | (6.3)%
Net fee and commission income | 578 | 565 | 2.3% | 152 | 138 | 9.6%
Net trading income and fair value result | (16) | 0 | >500.0% | 2 | 5 | (57.2)%
Net gains/losses from hedge accounting | (8) | (5) | 72.2% | (8) | 3 | –
Other net operating income | 30 | 39 | (23.8)% | 10 | 2 | 460.4%
Operating income | 2,191 | 1,947 | 12.6% | 589 | 561 | 5.0%
General administrative expenses | (1,009) | (909) | 11.0% | (271) | (252) | 7.7%
Operating result | 1,182 | 1,037 | 14.0% | 318 | 309 | 2.8%
Other result | (887) | (512) | 73.2% | (279) | (175) | 59.2%
Governmental measures and compulsory contributions | (132) | (137) | (3.8)% | (2) | (3) | (39.3)%
Impairment losses on financial assets | (27) | (12) | 122.6% | (6) | 16 | –
Profit/loss before tax | 135 | 375 | (64.0)% | 32 | 148 | (78.4)%
Income taxes | (192) | (153) | 25.6% | (66) | (48) | 37.2%
Profit/loss after tax | (57) | 222 | – | (34) | 99 | –
Return on equity before tax | 3.1% | 9.7% | (6.7) PP | 2.9% | 13.3% | (10.4) PP
Return on equity after tax | – | 5.8% | – | – | 9.0% | –
Net interest margin (average interest-bearing assets) | 2.49% | 2.29% | 0.20 PP | 2.69% | 2.57% | 0.13 PP
Cost/income ratio | 46.1% | 46.7% | (0.7) PP | 46.0% | 44.9% | 1.1 PP

The year-on-year decrease in profit after tax mainly reflected an increase of € 368 million in expenses for credit-linked
litigation and for annulments of loan agreements in Poland. This development resulted from a significant increase in litigation,
higher loss ratios and losses from annulments of loan agreements resulting from a decision of the European Court of Justice in
June. The increase of € 244 million in operating income was primarily attributable to the positive trend in net interest income
as a result of higher market interest rates in Hungary (up € 169 million) and Slovakia (up: € 83 million). The Czech Republic
reported a decrease of € 10 million, as rising interest expenses for customer deposits from households and for newly issued
MREL-eligible debt securities clearly exceeded the increase in interest income from repo business and customer loans. General
administrative expenses increased € 100 million, in Hungary (up € 56 million) as a result of higher staff expenses and
transaction taxes, in Slovakia (up € 29 million) also as a result of higher staff expenses, and in Poland (up € 25 million) mainly
due to increased legal and consulting expenses. Risk costs increased € 15 million as a result of higher allocations in the Czech
Republic (up € 47 million), while improved general conditions in Hungary and Slovakia led to lower risk costs. The increase in
income taxes was attributable to the improved result in Slovakia and the introduction of a windfall tax in the Czech Republic
(€ 26 million).
Segment and country analysis 33
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| Poland | Slovakia
in € million | 2023 | 2022 | 2023 | 2022
Net interest income | 19 | 12 | 404 | 322
Dividend income | 0 | 0 | 0 | 0
Current income from investments in associates | 0 | 0 | 5 | 4
Net fee and commission income | 0 | 1 | 193 | 185
Net trading income and fair value result | 2 | 2 | 14 | 11
Net gains/losses from hedge accounting | 0 | 0 | 0 | 0
Other net operating income | 14 | (1) | (1) | 13
Operating income | 36 | 15 | 615 | 534
General administrative expenses | (67) | (43) | (271) | (242)
Operating result | (32) | (28) | 344 | 291
Other result | (873) | (505) | (1) | 0
Governmental measures and compulsory contributions | (4) | (31) | (7) | (11)
Impairment losses on financial assets | 41 | 46 | (30) | (44)
Profit/loss before tax | (868) | (518) | 305 | 235
Income taxes | 0 | 0 | (64) | (45)
Profit/loss after tax | (868) | (518) | 242 | 191

| Czech Republic | Hungary
in € million | 2023 | 2022 | 2023 | 2022
Net interest income | 642 | 652 | 525 | 356
Dividend income | 8 | 0 | 4 | 2
Net fee and commission income | 183 | 197 | 202 | 183
Net trading income and fair value result | 2 | (10) | (34) | (3)
Net gains/losses from hedge accounting | (4) | (4) | (4) | 0
Other net operating income | 25 | 26 | (8) | 1
Operating income | 857 | 860 | 684 | 539
General administrative expenses | (391) | (400) | (280) | (224)
Operating result | 466 | 460 | 404 | 315
Other result | 0 | 9 | (13) | (16)
Governmental measures and compulsory contributions | (23) | (22) | (97) | (73)
Impairment losses on financial assets | (41) | 6 | 2 | (20)
Profit/loss before tax | 401 | 452 | 297 | 205
Income taxes | (96) | (86) | (33) | (22)
Profit/loss after tax | 306 | 366 | 264 | 183

34 Segment and country analysis
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Southeastern Europe

in € million | 2023 | 2022 | Change | Q4/2023 | Q3/2023 | Change
Net interest income | 1,296 | 943 | 37.4% | 343 | 336 | 2.3%
Dividend income | 4 | 8 | (48.8)% | 0 | 3 | (87.3)%
Net fee and commission income | 456 | 449 | 1.5% | 124 | 118 | 5.3%
Net trading income and fair value result | 31 | (1) | – | 22 | 3 | >500.0%
Net gains/losses from hedge accounting | 0 | 0 | 51.4% | 0 | 0 | (57.6)%
Other net operating income | 1 | 10 | (85.9)% | (11) | 8 | –
Operating income | 1,789 | 1,409 | 27.0% | 479 | 467 | 2.6%
General administrative expenses | (752) | (699) | 7.7% | (226) | (175) | 28.9%
Operating result | 1,037 | 711 | 45.9% | 253 | 292 | (13.1)%
Other result | (31) | (13) | 144.7% | (24) | 0 | >500.0%
Governmental measures and compulsory contributions | (39) | (42) | (7.1)% | (8) | (6) | 30.0%
Impairment losses on financial assets | (6) | (70) | (91.1)% | (25) | (21) | 17.2%
Profit/loss before tax | 961 | 586 | 63.9% | 196 | 264 | (25.7)%
Income taxes | (155) | (83) | 85.9% | (33) | (39) | (14.1)%
Profit/loss after tax from continuing operations | 806 | 503 | 60.3% | 162 | 225 | (27.7)%
Gains/losses from discontinued operations | 0 | 46 | – | 0 | 0 | –
Profit/loss after tax | 806 | 548 | 47.0% | 162 | 225 | (27.7)%
Return on equity before tax | 30.8% | 18.9% | 12.0 PP | 25.2% | 33.6% | (8.4) PP
Return on equity after tax | 25.9% | 17.6% | 8.2 PP | 20.9% | 28.6% | (7.8) PP
Net interest margin (average interest-bearing assets) | 4.26% | 3.46% | 0.80 PP | 4.34% | 4.35% | (0.01) PP
Cost/income ratio | 42.1% | 49.6% | (7.5) PP | 47.1% | 37.5% | 9.6 PP

In the previous year’s period, the profit for the period of the Bulgarian group units held for sale was disclosed under gains/
losses from discontinued operations. The result of deconsolidation of € 398 million was allocated to the Corporate Center
segment.
The increase in profit after tax from continuing operations was mainly attributable to significantly higher net interest income.
The main drivers of the growth in net interest income were higher interest rates and higher loan volumes. Net interest income
rose € 353 million or 37 per cent. Serbia accounted for € 124 million, primarily as a result of higher interest income due to the
increase in the reference rate and from the acquisition of Crédit Agricole Srbija AD in April 2022. Strong growth in net interest
income was also reported in Romania (€ 90 million or 18 per cent) and in Croatia (€ 64 million or 55 per cent). Net trading
income and fair value result turned from minus € 1 million in the previous year’s period to plus € 31 million. This was attributable
above all to Romania (up € 17 million) due to gains, or lower losses, on loans and debt securities measured at fair value and a
positive result from the revaluation of foreign currency positions. These effects also led to an increase of € 11 million in Croatia.
General administrative expenses were up € 54 million. The biggest increases were reported in staff expenses (€ 30 million),
mainly driven by inflation-related salary rises. Other administrative expenses increased € 12 million largely as a result of higher
IT and office space expenses. Other result was down € 18 million, most of which related to Serbia. This was caused by
modification losses in credit business, which was affected by the national central bank’s decision to impose a temporary
limitation of the nominal interest rate for mortgage loans with variable rates and an amount disbursed of up to € 200
thousand. Risk costs improved markedly with an allocation of € 6 million in the reporting period compared to allocations of
€ 70 million in the previous year’s period. This positive trend was evident in nearly all of the segment’s countries. Romania and
Croatia reported the biggest declines in risk costs – above all for loans to households. Income taxes were up € 72 million to
€ 155 million, which mostly reflected higher earnings.
Segment and country analysis 35
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| Albania | Bosnia and Herzegovina | Kosovo
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Net interest income | 114 | 72 | 86 | 64 | 66 | 55
Dividend income | 0 | 1 | 0 | 6 | 0 | 0
Net fee and commission income | 20 | 19 | 54 | 56 | 17 | 17
Net trading income and fair value result | (2) | 0 | 2 | 3 | 1 | 0
Other net operating income | (1) | 0 | (3) | 1 | 6 | 5
Operating income | 131 | 92 | 139 | 130 | 91 | 77
General administrative expenses | (53) | (45) | (66) | (63) | (41) | (37)
Operating result | 78 | 47 | 74 | 67 | 50 | 40
Other result | (2) | (2) | 0 | (1) | 0 | 0
Governmental measures and compulsory contributions | (7) | (6) | (6) | (5) | (2) | (2)
Impairment losses on financial assets | 2 | (2) | (2) | (6) | (13) | (5)
Profit/loss before tax | 71 | 38 | 66 | 56 | 36 | 33
Income taxes | (11) | (6) | (3) | (3) | (4) | (4)
Profit/loss after tax | 60 | 32 | 63 | 52 | 31 | 29

| Croatia | Romania | Serbia
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Net interest income | 181 | 116 | 579 | 489 | 270 | 147
Dividend income | 0 | 0 | 3 | 0 | 0 | 0
Net fee and commission income | 73 | 87 | 184 | 180 | 108 | 91
Net trading income and fair value result | 6 | (5) | 9 | (8) | 14 | 8
Other net operating income | (5) | (1) | 1 | (1) | 3 | 6
Operating income | 256 | 197 | 778 | 661 | 395 | 252
General administrative expenses | (125) | (127) | (346) | (310) | (122) | (117)
Operating result | 131 | 71 | 432 | 350 | 273 | 135
Other result | (12) | (6) | (5) | (5) | (13) | 1
Governmental measures and compulsory contributions | (2) | (4) | (10) | (14) | (12) | (10)
Impairment losses on financial assets | 12 | (9) | 6 | (30) | (12) | (19)
Profit/loss before tax | 130 | 52 | 423 | 301 | 236 | 107
Income taxes | (25) | (9) | (77) | (47) | (34) | (15)
Profit/loss after tax | 105 | 43 | 346 | 254 | 202 | 92

36 Segment and country analysis
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Eastern Europe

in € million | 2023 | 2022 | Change | Q4/2023 | Q3/2023 | Change
Net interest income | 1,915 | 2,025 | (5.4)% | 509 | 462 | 10.1%
Dividend income | 0 | 0 | 25.6% | 0 | 0 | –
Current income from investments in associates | 3 | 6 | (54.7)% | 0 | 1 | (76.1)%
Net fee and commission income | 1,364 | 2,207 | (38.2)% | 239 | 253 | (5.5)%
Net trading income and fair value result | 192 | 471 | (59.1)% | 14 | 53 | (73.8)%
Net gains/losses from hedge accounting | (2) | (29) | (92.7)% | 0 | (1) | –
Other net operating income | (32) | (56) | (42.7)% | 1 | (2) | –
Operating income | 3,441 | 4,624 | (25.6)% | 763 | 767 | (0.5)%
General administrative expenses | (983) | (954) | 3.0% | (234) | (183) | 27.7%
Operating result | 2,458 | 3,670 | (33.0)% | 529 | 584 | (9.4)%
Other result | (10) | (6) | 71.8% | (4) | (2) | 131.5%
Governmental measures and compulsory contributions | (55) | (66) | (17.6)% | (12) | (13) | (4.0)%
Impairment losses on financial assets | (191) | (743) | (74.3)% | 34 | 48 | (29.1)%
Profit/loss before tax | 2,203 | 2,855 | (22.8)% | 547 | 618 | (11.4)%
Income taxes | (628) | (619) | 1.4% | (238) | (173) | 37.8%
Profit/loss after tax | 1,575 | 2,236 | (29.6)% | 309 | 445 | (30.5)%
|  |  |  | 0 | 0 |
Return on equity before tax | 57.0% | 88.1% | (31.2) PP | 56.6% | 64.0% | (7.4) PP
Return on equity after tax | 40.7% | 69.0% | (28.3) PP | 32.0% | 46.1% | (14.1) PP
Net interest margin (average interest-bearing assets) | 6.84% | 6.37% | 0.47 PP | 7.99% | 6.99% | 1.00 PP
Cost/income ratio | 28.6% | 20.6% | 7.9 PP | 30.7% | 23.9% | 6.8 PP

Net interest income was down € 110 million to € 1,915 million. In Russia, net interest income fell € 116 million, caused by a
partially currency-related decline in loan volumes of 34 per cent. In Belarus, net interest income decreased € 36 million due to
falling market interest rates and the related lower margins, while in Ukraine higher interest income from sovereign certificates
of deposit, money market business and sovereign bonds led to a volume-driven rise of € 43 million in net interest income. Net
fee and commission income declined as a result of currency devaluations and continued to be influenced by the geopolitical
situation. The decrease was especially seen in Russia and reflected lower volumes following the introduction of internal
transaction limits and lower margins in foreign currency business, which led to a fall of € 576 million. Net fee and commission
income from clearing, settlement and payment services was also down € 184 million due to lower volumes, while net income
from securities business declined € 99 million as a result of lower fees. Net trading income and fair value result decreased € 278
million primarily in Russia, above all due to a lower volume of customer transactions with foreign currencies and the related
decline in the trader margin. Risk costs in the reporting period amounted to € 191 million (previous year’s period: € 743 million),
of which € 95 million was recognized in Russia and € 94 million in Ukraine. The allocations for Stage 1 and Stage 2 totaled € 42
million in Russia (primarily non-financial corporations) and € 70 million in Ukraine (mainly governments and non-financial
corporations). The year-on-year increase in income taxes was mainly attributable to the positive earnings development in
Ukraine and the introduction of a new windfall tax. In Russia, the decline in profit resulted in a lower tax expense, which was
partly offset by the introduction of a new windfall tax (€ 47 million).
Segment and country analysis 37
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| Belarus | Russia | Ukraine
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Net interest income | 86 | 123 | 1,411 | 1,527 | 418 | 375
Dividend income | 0 | 0 | 0 | 0 | 0 | 0
Current income from investments in associates | 0 | 0 | 3 | 6 | 0 | 0
Net fee and commission income | 128 | 112 | 1,152 | 2,008 | 84 | 87
Net trading income and fair value result | 25 | 37 | 135 | 369 | 33 | 65
Net gains/losses from hedge accounting | 0 | 0 | (2) | (29) | 0 | 0
Other net operating income | (10) | (15) | (19) | (37) | (2) | (3)
Operating income | 229 | 257 | 2,679 | 3,844 | 532 | 524
General administrative expenses | (74) | (76) | (729) | (696) | (180) | (182)
Operating result | 155 | 181 | 1,950 | 3,148 | 353 | 341
Other result | (1) | (2) | (8) | (7) | (1) | 4
Governmental measures and compulsory contributions | (2) | (3) | (42) | (54) | (11) | (10)
Impairment losses on financial assets | (2) | (20) | (95) | (471) | (94) | (253)
Profit/loss before tax | 151 | 156 | 1,805 | 2,616 | 247 | 82
Income taxes | (39) | (43) | (464) | (559) | (125) | (17)
Profit/loss after tax | 112 | 113 | 1,341 | 2,058 | 121 | 65

38 Segment and country analysis
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Group Corporates & Markets

in € million | 2023 | 2022 | Change | Q4/2023 | Q3/2023 | Change
Net interest income | 967 | 733 | 32.0% | 256 | 248 | 3.2%
Dividend income | 5 | 12 | (61.9)% | 0 | 2 | (81.6)%
Current income from investments in associates | 14 | 6 | 134.4% | 4 | 4 | (7.9)%
Net fee and commission income | 578 | 617 | (6.2)% | 150 | 142 | 6.1%
Net trading income and fair value result | 163 | 141 | 15.3% | 21 | 48 | (55.1)%
Net gains/losses from hedge accounting | (5) | (17) | (67.7)% | 1 | 1 | 10.0%
Other net operating income | 108 | 110 | (1.6)% | 26 | 19 | 36.7%
Operating income | 1,831 | 1,602 | 14.3% | 458 | 462 | (1.0)%
General administrative expenses | (882) | (765) | 15.3% | (262) | (203) | 29.1%
Operating result | 948 | 837 | 13.3% | 196 | 259 | (24.5)%
Other result | 6 | 3 | 116.7% | (2) | 7 | –
Governmental measures and compulsory contributions | (44) | (54) | (17.4)% | (10) | (8) | 24.3%
Impairment losses on financial assets | (177) | (122) | 45.3% | (151) | (35) | 331.9%
Profit/loss before tax | 733 | 664 | 10.4% | 33 | 223 | (85.3)%
Income taxes | (172) | (148) | 16.5% | (15) | (48) | (68.7)%
Profit/loss after tax | 561 | 517 | 8.6% | 18 | 175 | (89.8)%
Return on equity before tax | 19.0% | 17.2% | 1.8 PP | 3.4% | 23.2% | (19.8) PP
Return on equity after tax | 14.5% | 13.4% | 1.1 PP | 1.8% | 18.2% | (16.4) PP
Net interest margin (average interest-bearing assets) | 1.53% | 1.19% | 0.34 PP | 1.64% | 1.55% | 0.09 PP
Cost/income ratio | 48.2% | 47.8% | 0.4 PP | 57.2% | 43.9% | 13.3 PP

The year-on-year increase in profit after tax was driven mainly by the rise of € 235 million in net interest income. The rise in net
interest income was mostly due to higher interest margins from customer deposits (cash management, money market
deposits, building society business). In contrast, net fee and commission income fell markedly in foreign currency business with
corporate customers after income was especially strong in the previous year. Income from trade finance, lending as well as
clearing, settlement and payment services was also down. General administrative expenses increased € 117 million, primarily as
a result of a rise in other administrative expenses, especially IT and communications expenses, and higher staff expenses
(largely due to regular salaries and a higher headcount) at head office. In the reporting year, impairment losses on financial
assets of € 177 million were considerably higher than in the previous year’s period (€ 122 million). Allocations in Stage 3 for real
estate loans increased at head office, while net releases were recognized in Stage 1 and Stage 2.
Segment and country analysis 39
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Corporate Center

in € million | 2023 | 2022 | Change | Q4/2023 | Q3/2023 | Change
Net interest income | (96) | (52) | 84.6% | (45) | (17) | 169.4%
Dividend income | 758 | 387 | 96.1% | 288 | 43 | >500.0%
Current income from investments in associates | 63 | 48 | 31.1% | 8 | 14 | (44.0)%
Net fee and commission income | 71 | 51 | 40.8% | 15 | 19 | (21.3)%
Net trading income and fair value result | (202) | 9 | – | (91) | (18) | 393.6%
Net gains/losses from hedge accounting | (6) | 2 | – | (6) | 2 | –
Other net operating income | 159 | 103 | 54.2% | 60 | 31 | 94.5%
Operating income | 748 | 547 | 36.6% | 230 | 74 | 210.5%
General administrative expenses | (483) | (395) | 22.2% | (122) | (106) | 14.3%
Operating result | 265 | 152 | 73.8% | 109 | (32) | –
Other result | 19 | (139) | – | (2) | 32 | –
Governmental measures and compulsory contributions | (13) | (38) | (65.0)% | 8 | 8 | 2.6%
Impairment losses on financial assets | 13 | (19) | – | 2 | 1 | 114.9%
Profit/loss before tax | 283 | (43) | – | 117 | 8 | >500.0%
Income taxes | 155 | 144 | 7.7% | 12 | 39 | (68.3)%
Profit/loss after tax from continuing operations | 438 | 101 | 334.4% | 130 | 47 | 174.9%
Gains/losses from discontinued operations | 0 | 398 | – | 0 | 0 | –
Profit/loss after tax | 438 | 498 | (12.1)% | 130 | 47 | 174.9%

Dividend income – largely higher intra-group dividends – resulted in an increase of € 372 million. In the previous-year reporting
period, a loss was reported in the other result due to the derecognition of intangible assets of € 29 million at head office. The
expense for governmental measures and compulsory contributions fell € 25 million to € 13 million mainly as a result of lower
contributions to the bank resolution funds and lower bank levies at head office. Net releases of € 13 million were recognized for
impairment losses on financial assets at head office in the reporting period (previous year period: net allocation of € 19 million).
The other result amounted to € 19 million (previous year’s period: minus € 139 million). The measurement of investments in
associates led to reversals of impairment of € 38 million in the reporting period. In contrast, in the comparable period of the
previous year, impairment losses of € 37 million on investments in associates and € 30 million on investments in subsidiaries
were recognized. In the previous year, € 68 million related to impairments of goodwill at a Czech (€ 60 million) and Serbian (€ 8
million) group unit.
In contrast to these positive effects, net trading income and fair value result was down € 210 million. The certificate business
at head office generated high valuation gains above all due to the steep rise in own credit spreads from certificate issues
measured at fair value in the previous year. However, credit spreads declined some 35 basis points in the current year. As a
result, the risk-related valuation result decreased year-on-year to minus € 49 million. In addition, the Treasury result fell € 43
million as a result of valuation effects. The increase of € 88 million in general administrative expenses reflected higher staff
expenses mainly due to higher regular salaries and a rise in the headcount as well as higher IT and consulting expenses at head
office. Net interest income was down € 44 million largely as a result of higher refinancing costs at head office.
In the previous year’s period, gains/losses from discontinued operations included the deconsolidation result of the Bulgarian
group units.
40 Segment and country analysis
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Consolidated financial
statements
41
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Company
Raiffeisen Bank International AG (RBI AG) is registered in the commercial register of the Commercial Court of Vienna under FN
122119m. Its address is Am Stadtpark 9, 1030 Vienna.
RBI regards Austria, where it is a leading corporate and investment bank, as well as Central and Eastern Europe (CEE) as its
home market. Subsidiary banks cover 12 markets in the region. In addition, the Group includes numerous other financial service
providers active in areas such as leasing, asset management, factoring and M&A. RBI not only offers Austrian and international
companies a broad range of products in corporate and investment banking, but also a comprehensive coverage in CEE.
Through an extensive branch network, local companies of all sizes as well as private customers are supplied with high quality
financial products. RBI maintains representative offices and service branches in selected Asian and Western European locations
to support its business activities. I n total, around 45,000 RBI employees serve 18.6 million customers from more than 1,500
business outlets, the vast majority of which are in CEE.
Since the company’s shares are traded on a regulated market as defined in § 1 (2) of the Austrian Stock Market Act (BörseG)
(prime market of the Vienna Stock Exchange) and numerous RBI AG issues are listed on a regulated market in the EU, RBI AG is
required by § 59a of the Austrian Banking Act (BWG) to prepare consolidated financial statements in accordance with the
International Financial Reporting Standards (IFRSs). RBI has no majority shareholder. The eight regional Raiffeisen banks are
core shareholders that collectively hold approximat ely 60.6 per cent of the shares, w ith the remaining shares in free float.
As a credit institution within the meaning of § 1 of the Austrian Banking Act, RBI AG is subject to regulatory supervision by the
Financial Market Authority located at Otto-Wagner-Platz 5, A-1090 Vienna (www.fma.gv.at) and the European Central Bank
located at Sonnemannstraße 22, D-60314 Frankfurt am Main (www.bankingsupervision.europa.eu).
The consolidated financial statements are lodged with the Companies Register in accordance with Austrian disclosure
regu lations and published through the electronic disclosure and information platform (EVI). They were signed by the
Management Board on 12 February 2024 and subse quently submitted for the notice of the Supervisory Board. As part of the
annual financial report as defined in § 124 of the Austrian Stock Market Act (BörseG), the consolidated financial report is also
prepared and published in the unified electronic reporting format (ESEF format).
The disclosures required under Article 434 of EU Regulation No 575/2013 on prudential requirements for credit institutions
(Capital Requirements Regulation, CRR) are published on the internet on RBI’s website at www.rbinternational.com → Investors
→ Results & Reports.

ESEF Information |
Name of ultimate parent of group | Raiffeisen Bank International AG
Name of reporting entity | Raiffeisen Bank International AG
Legal form of entity | AG
Principal place of business | 1030 Vienna
Address of entity's registered office | Am Stadtpark 9, 1030 Vienna
Domicile of entity | Austria
Country of incorporation | Austria
Description of nature of entity's operations and principal activities |
RBI regards Austria, where it is a leading corporate and investment bank, as well as Central and Eastern Europe (CEE) as its home market. 12 markets in the region are covered by subsidiary banks, the Group also comprises numerous other financial services providers, for instance in the field of leasing, asset management, factoring and M&A. RBI not only offers Austrian and international companies a broad range of products in corporate and investment banking, but also a comprehensive coverage in CEE. Through an extensive branch network, local companies of all sizes as well as private customers are supplied with high-quality financial products. RBI maintains representative offices and service branches in selected Asian and Western European locations to support its business activities.

42 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Statement of comprehensive
income
Income statement

in € million | Notes | 2023 | 2022
Net interest income | [1] | 5,683 | 5,053
Interest income according to effective interest method |  | 8,293 | 6,681
Interest income other |  | 2,313 | 577
Interest expenses |  | (4,923) | (2,205)
Dividend income | [2] | 35 | 64
Current income from investments in associates | [3] | 85 | 64
Net fee and commission income | [4] | 3,042 | 3,878
Fee and commission income |  | 4,066 | 4,835
Fee and commission expenses |  | (1,025) | (957)
Net trading income and fair value result | [5] | 186 | 663
Net gains/losses from hedge accounting | [5] | (28) | (41)
Other net operating income | [6] | 62 | 29
Operating income |  | 9,065 | 9,710
Staff expenses |  | (2,209) | (2,010)
Other administrative expenses |  | (1,224) | (1,081)
Depreciation |  | (475) | (461)
General administrative expenses | [7] | (3,908) | (3,552)
Operating result |  | 5,158 | 6,158
Other result | [8] | (906) | (667)
Governmental measures and compulsory contributions | [9] | (284) | (337)
Impairment losses on financial assets | [10] | (393) | (949)
Profit/loss before tax |  | 3,576 | 4,203
Income taxes | [11] | (997) | (859)
Profit/loss after tax from continuing operations |  | 2,578 | 3,344
Gains/losses from discontinued operations |  | 0 | 453
Profit/loss after tax |  | 2,578 | 3,797
Profit attributable to non-controlling interests | [29] | (192) | (170)
Consolidated profit/loss |  | 2,386 | 3,627

Consolidated financial statements 43
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other comprehensive income and total
comprehensive income

in € million | Notes | 2023 | 2022
Profit/loss after tax |  | 2,578 | 3,797
Items which are not reclassified to profit or loss |  | 0 | 53
Remeasurements of defined benefit plans | [27] | (2) | 34
Fair value changes of equity instruments | [17] | (1) | (59)
Fair value changes due to changes in credit risk of financial liabilities | [19] | 6 | 61
Share of other comprehensive income from companies valued at equity | [24] | (2) | 25
Deferred taxes on items which are not reclassified to profit or loss | [11] | (1) | (7)
Items that may be reclassified subsequently to profit or loss |  | (1,060) | (409)
Exchange differences |  | (1,168) | (45)
Hedge of net investments in foreign operations | [22] | 37 | (39)
Adaptations to the cash flow hedge reserve | [22] | 5 | (45)
Fair value changes of financial assets | [17] | 72 | (110)
Share of other comprehensive income from companies valued at equity | [24] | 6 | (202)
Deferred taxes on items which may be reclassified to profit or loss | [11] | (11) | 33
Other comprehensive income |  | (1,060) | (356)
Total comprehensive income |  | 1,518 | 3,441
Profit attributable to non-controlling interests | [29] | (161) | (147)
hereof income statement | [29] | (192) | (170)
hereof other comprehensive income |  | 31 | 24
Profit/loss attributable to owners of the parent |  | 1,357 | 3,295

Earnings per share

in € million | 2023 | 2022
Consolidated profit/loss | 2,386 | 3,627
Dividend claim on additional tier 1 | (109) | (92)
Profit/loss attributable to ordinary shares | 2,277 | 3,534
Average number of ordinary shares outstanding in million | 328 | 329
Earnings per share in € | 6.93 | 10.76

As no conversion rights or options were outstanding, no dilution of earnings per share occurred. The dividend on additional
tier 1 capital is calculated; the effective payment is based on the decision of the Management Board at the respective payment
date.
44 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Statement of financial
position
Assets

in € million | Notes | 2023 | 2022
Cash, balances at central banks and other demand deposits | [12] | 43,234 | 53,683
Financial assets - amortized cost | [13] | 139,302 | 137,431
Financial assets - fair value through other comprehensive income | [17, 23] | 2,992 | 3,203
Non-trading financial assets - mandatorily fair value through profit/loss | [18, 23] | 949 | 757
Financial assets - designated fair value through profit/loss | [19, 23] | 185 | 84
Financial assets - held for trading | [20, 23] | 5,783 | 6,411
Hedge accounting | [22] | 1,160 | 1,608
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | [22] | (365) | (947)
Investments in subsidiaries and associates | [24] | 820 | 713
Tangible fixed assets | [25] | 1,672 | 1,684
Intangible fixed assets | [25] | 970 | 903
Current tax assets | [11] | 69 | 100
Deferred tax assets | [11] | 218 | 269
Other assets | [26] | 1,253 | 1,159
Total |  | 198,241 | 207,057

Equity and liabilities

in € million | Notes | 2023 | 2022
Financial liabilities - amortized cost | [15] | 164,711 | 175,142
Financial liabilities - designated fair value through profit/loss | [19, 23] | 1,088 | 950
Financial liabilities - held for trading | [21, 23] | 8,463 | 8,453
Hedge accounting | [22] | 1,466 | 2,054
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | [22] | (514) | (1,217)
Provisions for liabilities and charges | [27] | 1,644 | 1,479
Current tax liabilities | [11] | 242 | 181
Deferred tax liabilities | [11] | 43 | 36
Other liabilities | [28] | 1,248 | 1,215
Equity | [29] | 19,849 | 18,764
Consolidated equity |  | 17,009 | 16,027
Non-controlling interests |  | 1,231 | 1,127
Additional tier 1 |  | 1,610 | 1,610
Total |  | 198,241 | 207,057

Consolidated financial statements 45
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Statement of changes in
equity

in € million | Subscribed capital | Capital reserves | Retained earnings | Cumulative other comprehensive income | Consolidated equity | Non- controlling interests | Additional tier 1 | Total
Equity as at 1/1/2022 | 1,002 | 4,992 | 10,121 | (3,272) | 12,843 | 1,010 | 1,622 | 15,475
Capital increases/ decreases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
Allocation dividend - AT1 | 0 | 0 | (92) | 0 | (92) | 0 | 92 | 0
Dividend payments | 0 | 0 | 0 | 0 | 0 | (26) | (92) | (119)
Own shares | (1) | (2) | 0 | 0 | (3) | 0 | (12) | (14)
Other changes | 0 | 0 | (19) | 4 | (15) | (4) | 0 | (19)
Total comprehensive income | 0 | 0 | 3,627 | (332) | 3,295 | 147 | 0 | 3,441
Equity as at 31/12/2022 | 1,002 | 4,990 | 13,637 | (3,601) | 16,027 | 1,127 | 1,610 | 18,764
Impact of adopting IFRS 17 | 0 | 0 | (47) | 50 | 3 | 0 | 0 | 2
Equity as at 1/1/2023 | 1,002 | 4,990 | 13,590 | (3,551) | 16,030 | 1,126 | 1,610 | 18,767
Capital increases/ decreases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
Allocation dividend - AT1 | 0 | 0 | (109) | 0 | (109) | 0 | 109 | 0
Dividend payments | 0 | 0 | (263) | 0 | (263) | (57) | (109) | (428)
Own shares | 0 | (1) | 0 | 0 | (1) | 0 | (1) | (2)
Other changes | 0 | 0 | (5) | 0 | (5) | 0 | 0 | (5)
Total comprehensive income | 0 | 0 | 2,386 | (1,029) | 1,357 | 161 | 0 | 1,518
Equity as at 31/12/2023 | 1,002 | 4,988 | 15,600 | (4,580) | 17,009 | 1,231 | 1,610 | 19,849

46 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Statement of cash flows

in € million | Notes | 2023 | 2022
Cash, balances at central banks and other demand deposits as at 1/1 | [12] | 53,683 | 38,557
Operating activities: |  |  |
Profit/loss before tax |  | 3,576 | 4,203
Adjustments for the reconciliation of profit/loss after tax to the cash flow from operating activities: |  |  |
Depreciation, amortization, impairment and reversal of impairment on non-financial assets | [7, 8] | 500 | 549
Net provisioning for liabilities and charges and impairment losses on financial assets | [6, 10, 27] | 1,281 | 1,446
Gains/losses from the measurement and derecognition of assets and liabilities | [5, 8] | 110 | (430)
Current income from investments in associates | [3] | (85) | (64)
Other adjustments (net)¹ |  | (5,516) | (3,899)
Subtotal |  | (134) | 1,806
Changes in assets and liabilities arising from operating activities after corrections for non-cash positions: |  |  |
Financial assets - amortized cost | [13] | (101) | (124)
Financial assets - fair value through other comprehensive income | [17, 23] | 343 | 1,217
Non-trading financial assets - mandatorily fair value through profit/loss | [18, 23] | (9) | 185
Financial assets - designated fair value through profit/loss | [19, 23] | (101) | 184
Financial assets - held for trading | [20, 23] | (1,452) | 853
Other assets | [26] | (32) | 102
Financial liabilities - amortized cost | [15] | (6,224) | 13,118
Financial liabilities - designated fair value through profit/loss | [19, 23] | 181 | (110)
Financial liabilities - held for trading | [21, 23] | 1,303 | 9
Provisions for liabilities and charges | [27] | (475) | (210)
Other liabilities | [28] | (173) | 33
Interest received | [1] | 9,762 | 6,770
Interest paid | [1] | (4,086) | (2,049)
Dividends received | [2] | 64 | 82
Income taxes paid | [11] | (834) | (896)
Net cash from operating activities |  | (1,967) | 20,969
Investing activities: |  |  |
Cash and cash equivalents from changes in scope of consolidation due to materiality |  | (6) | (9)
Payments for purchase of: |  |  |
Investment securities and shares | [13, 16, 18, 24] | (9,171) | (6,692)
Tangible and intangible fixed assets | [25] | (592) | (484)
Subsidiaries |  | 0 | 79
Proceeds from sale of: |  |  |
Investment securities and shares | [13, 16, 18, 24] | 2,971 | 2,451
Tangible and intangible fixed assets | [25] | 176 | 155
Subsidiaries | [8] | 0 | 31
Net cash from investing activities |  | (6,622) | (4,469)
Financing activities: |  |  |
Capital decreases |  | (2) | (14)
Inflows subordinated financial liabilities | [15, 19] | 0 | 520
Outflows subordinated financial liabilities | [15, 19] | (582) | (749)
Dividend payments |  | (429) | (119)
Cash flows for leases |  | (105) | (68)
Inflows from changes in non-controlling interests |  | 0 | 0
Net cash from financing activities |  | (1,118) | (429)
Effect of exchange rate changes |  | (741) | (945)
Cash, balances at central banks and other demand deposits as at 30/9 | [12] | 43,234 | 53,683
1 Other (net) adjustments mainly include the deduction of net interest income and dividend income; the corresponding cash flows are shown under the items interest received, interest paid and dividends received.

Consolidated financial statements 47
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Cash flows from operating activities, investing activities, and financing activities are presented in the cash flow statement in a
manner that best reflects RBI’s business operations. Cash flows from operating activities represent cash flows from the
significant revenue-generating activities of the company. The determination of cash flows from operating activities is done
using the indirect method, where the profit before taxes from the income statement is adjusted for non-cash items and
expanded by the cash flow changes in assets and liabilities. Additionally, expense and income items attributable to the
investment or financing activities are deducted. As a financial institution, RBI classifies paid interest, received interest, and
dividends as cash flows from operating activities.
The cash inflows and outflows for investment securities shown in the cash flow from investing activities include securities held
for long-term investment purposes, while those for shares include unconsolidated subsidiaries and associated companies.
Further information regarding cash, balances at central banks and other demand deposits can be found in note (12) Cash,
balances at central banks and other demand deposits. Details regarding the changes in subordinated financial liabilities
presented in the cash flow from financing activities can be found under note (15) Financial liabilities - amortized cost.
For RBI as a credit institution group, the informativeness of the cash flow statement is considered to be low. The cash flow
statement is not a tool for liquidity or financial planning. Additionally, it is not used as a steering instrument by the senior
management.
48 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Segment reporting
Segment classification
Segmentation principles
As a rule, internal management reporting at RBI is based on the current organizational structure. This matrix structure means
that each member of the Management Board is responsible both for individual countries and for specific business activities. A
cash generating unit (CGU) within the Group is a country. The presentation of the countries includes the operating units of RBI
in the respective countries (in addition to subsidiary banks, e.g. also leasing companies). Accordingly, the RBI management
bodies – Management Board and Supervisory Board – make key decisions that determine the resources allocated to any given
segment based on its financial strength and profitability, which is why these reporting criteria are a material component in the
decision-making process. The segments are also presented accordingly in compliance with IFRS 8. When assigning countries to
the individual reportable segments, in addition to long-term economic similarities such as equity risk premiums, potential
market growth and net interest margins, the expected risk and return levels are also taken into account when allocating
resources. According to IFRS 8.12, it is also required that the following economic characteristics are taken into account when
composing the reportable segments. The countries are combined into a reportable segment if the products and services
offered are the same. In addition to the uniform production processes and sales channels, the target groups such as corporate
customers, private customers and institutional customers are also similar in the individual segments. Banking regulations in
each country are mainly monitored by central banks. In all countries, the central bank is responsible for formulating and
implementing monetary policy, maintaining financial stability, and regulating the banking sector.The reconciliation contains
mainly the amounts resulting from the elimination of intra-group results and consolidation between the segments.
In order to achieve the maximum possible transparency and in the interest of clearer lines of reporting, five segments were
defined in accordance with the IFRS 8 thresholds. IFRS 8 establishes a 10 per cent threshold for the key figures of operating
income, profit after tax and segment assets.
Central Europe
This segment encompasses the most advanced banking markets in Central and Eastern Europe, namely the EU members,
Czech Republic, Hungary, Poland and Slovakia. In Poland, RBI is present with a reduced portfolio of retail foreign currency
mortgage loans. In Slovakia, RBI is active in the corporate and retail customer business, leasing, asset management and
building society business. In retail business, Tatra banka is pursuing a multi-brand strategy. In the Czech Republic, RBI operates
not only the traditional banking business with corporate and retail customers, but also real estate leasing and building society
business. In Hungary, the Group provides services to retail and corporate customers. The focus is based on corporate
customers and affluent retail customers.
Southeastern Europe
The Southeastern Europe segment comprises Albania, Bosnia and Herzegovina, Croatia, Kosovo, Romania, and Serbia. In these
markets, RBI is represented by banks and leasing companies, as well as own capital management and asset management
companies and pension funds in some markets. In Albania, financial services are offered across all business areas. In Kosovo,
RBI also offers a comprehensive product range. In Bosnia and Herzegovina, the emphasis is on small and medium-sized
enterprises, while also including a wide range of products for retail customers. In Croatia, the focus is on large and medium-
sized corporate customers and on retail customers (including pension funds business). In Romania, a broad range of financial
services is offered via a tightly knit branch network. In Serbia, the market is serviced by a universal bank and leasing
companies.
Consolidated financial statements 49
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Eastern Europe
This segment comprises Belarus, Russia, and Ukraine. In Belarus, RBI is represented by a bank, a leasing company and an
insurance company. Raiffeisenbank Russia services both corporate and retail customers. Furthermore, RBI is active in Russia in
the issuance and in the leasing business. In Ukraine, RBI is represented by a bank and provides a full range of financial services
via a tightly knit local branch network.
Group Corporates & Markets
The Group Corporates & Markets segment covers operating business booked in Austria. This primarily comprises financing
business with Austrian and international corporate customers serviced from Vienna, Financial Institutions & Sovereigns, the
trading of equity instruments and capital market financing, and business with the institutions of the Raiffeisen Banking Group
(RBG). This segment also covers the capital market-based customer and proprietary business in Austria. Besides RBI AG, this
also includes financial services outsourced to subsidiaries, such as Vienna-based entities like Raiffeisen Digital Bank AG (digital
retail banking activities), Kathrein Privatbank Aktiengesellschaft, Raiffeisen Leasing Group, Raiffeisen Factor Bank AG,
Raiffeisen Bausparkasse Gesellschaft m.b.H., Valida Group (pension fund business) and Raiffeisen Kapitalanlage-Gesellschaft
mit beschränkter Haftung. In addition, companies valued at equity that are active in the financial services sector are allocated
to this segment: card complete Service Bank AG, Vienna, NOTARTREUHANDBANK AG, Vienna, Oesterreichische Kontrollbank AG,
Vienna, EMCOM Beteiligungs GmbH, Vienna, Posojilnica Bank eGen, Klagenfurt.
Corporate Center
The Corporate Center segment encompasses services in various areas provided by head office and joint service providers that
serve to implement the Group’s overall strategy and that are allocated to this segment to ensure comparability. Therefore, this
segment includes the following areas: Liquidity management and balance sheet structure management, equity participation
management, the banking operations carried out by head office for financing Group units, the Austrian and international
transaction and services business for financial services providers, as well as other companies outside the financial service
provider business that are not directly assigned to another segment e.g. real estate projects. Companies valued at equity that
are not active in the financial services sector are also assigned to this segment such as UNIQA Insurance Group AG, Vienna,
Raiffeisen Informatik GmbH & Co KG, Vienna, and LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft, Vienna
(holding company with participations in the flour, mill, and vending segments).
Assessment of segment profit/loss
The segment reporting according to IFRS 8 shows the segment performance based on internal management reporting,
supplemented with the reconciliation of the segment results to the consolidated financial statements. In principle, RBI’s
management reporting is based on IFRS. Therefore, no differences occur in the recognition and measurement principles
between segment reporting and consolidated financial statements.
The governance of each segment is based on key indicators relating to profitability, efficiency, constraint and business mix
parameters. The target values of these key indicators are determined according to the specific market environment and
adapted when necessary.
Profitability
Profitability is measured by the return on equity (ROE) and return on risk-adjusted capital (RORAC) based on the internal
management systems. The return on equity shows the profitability of a CGU and is calculated as the ratio of profit/loss after
deduction of non-controlling interests to average consolidated equity employed. The return on equity reflects the yield of the
capital employed of each segment. The calculation of the RORAC incorporates risk-adjusted capital, which reflects the capital
necessary in case of possible unexpected losses. In RBI, this capital requirement is calculated within the economic capital model
for credit, market, and operational risk. This ratio shows the yield on the risk-adjusted equity (economic capital), but it is not an
indicator pursuant to IFRS. Within the different countries and business lines the actual RORAC generated is compared with the
respective predetermined minimal value (RORAC hurdle), which reflects appropriate market yield expectations.
Efficiency
The cost/income ratio represents the cost efficiency of the segment. The cost/income ratio shows general administrative
expenses in relation to operating income, which is the sum of net interest income, dividend income, current income from
investments in associates, net fee and commission income, net trading income and fair value result, net gains/losses from
hedge accounting and other net operating income.
50 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Constraints
In accordance with the Basel III framework, specific legal regulations are to be considered. The proportion of common equity
tier 1 capital to total risk-weighted assets (common equity tier 1 ratio) is for example an important indicator of whether the
underlying capital is adequate for the business volume. Industry sector specifics lead to different risk weights within the
calculation of risk-weighted assets according to CRR. These factors are crucial for the calculation of the regulatory minimum
total capital requirements. As part of the annual Supervisory Review and Evaluation Process (SREP), the ECB stipulates in a
notification that additional CET1 capital must be held in order to cover those risks which are not considered or are insufficiently
considered in Pillar I. Moreover, the efficient use of the available capital is calculated internally, whereby the actual usage is
compared to the theoretically available risk coverage capital. The long-term liquidity ratios are also restrictive and are defined
in accordance with the regulatory requirements. The minimum requirements for total capital and eligible liabilities (MREL)
result in restrictions on bank distributions (maximum distributable amount).
Business mix
The following key performance indicators are relevant in ensuring a reasonable and sustainable business structure, whereby
the composition of the result and the underlying portfolio parameters are of significance. The structure of the primary funding
basis for loans and advances to customers is measured by using the loan/deposit ratio. The net interest margin is calculated
based on average interest-bearing assets.
The presentation of segment performance is based on the income statement and geared to the reporting structure internally
used. Income and expenses are attributed primarily to the country and secondary to business area in which they are
generated. The segment reporting is thus shown by country and region, respectively. The segment result is shown up to the
profit/loss after deduction of non-controlling interests.
The segment assets are represented by the total assets and the risk-weighted assets. The reconciliation includes mainly the
amounts resulting from the elimination of intra-group results and consolidation between the segments. The income statement
is supplemented with financial ratios conventionally used within the industry to evaluate performance. The values shown in the
segment reporting are for the most part taken from the IFRS individual financial statements, which are also used for the
compilation of the consolidated financial statements. At head office, profit center results are taken from the internal
management income statement.
Consolidated financial statements 51
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Segment reporting

2023 | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets
in € million
Net interest income | 1,590 | 1,296 | 1,915 | 967
Dividend income | 12 | 4 | 0 | 5
Current income from investments in associates | 5 | 0 | 3 | 14
Net fee and commission income | 578 | 456 | 1,364 | 578
Net trading income and fair value result | (16) | 31 | 192 | 163
Net gains/losses from hedge accounting | (8) | 0 | (2) | (5)
Other net operating income | 30 | 1 | (32) | 108
Operating income | 2,191 | 1,789 | 3,441 | 1,831
General administrative expenses | (1,009) | (752) | (983) | (882)
Operating result | 1,182 | 1,037 | 2,458 | 948
Other result | (887) | (31) | (10) | 6
Governmental measures and compulsory contributions | (132) | (39) | (55) | (44)
Impairment losses on financial assets | (27) | (6) | (191) | (177)
Profit/loss before tax | 135 | 961 | 2,203 | 733
Income taxes | (192) | (155) | (628) | (172)
Profit/loss after tax from continuing operations | (57) | 806 | 1,575 | 561
Gains/losses from discontinued operations | 0 | 0 | 0 | 0
Profit/loss after tax | (57) | 806 | 1,575 | 561
Profit attributable to non-controlling interests | (128) | 0 | (52) | (13)
Profit/loss after deduction of non-controlling interests | (185) | 805 | 1,522 | 549
Return on equity before tax | 3.1 % | 30.8 % | 57.0 % | 19.0 %
Return on equity after tax | – | 25.9 % | 40.7 % | 14.5 %
Net interest margin (average interest-bearing assets) | 2.49 % | 4.26 % | 6.84 % | 1.53 %
Cost/income ratio | 46.06 % | 42.1 % | 28.6 % | 48.2 %
Loan/deposit ratio | 82.33 % | 68.0 % | 40.8 % | 172.0 %
Provisioning ratio (average loans to customers) | 0.06 % | 0.03 % | 1.57 % | 0.47 %
NPE ratio | 1.2 % | 1.8 % | 2.1 % | 3.0 %
NPE coverage ratio | 58.4 % | 66.6 % | 73.6 % | 35.6 %
Assets | 65,006 | 34,035 | 27,611 | 60,131
Total risk-weighted assets (RWA) | 24,631 | 16,379 | 20,481 | 25,938
Equity | 4,321 | 3,819 | 5,464 | 4,509
Loans to customers | 37,596 | 18,594 | 7,967 | 35,958
Deposits from customers | 47,702 | 26,680 | 20,159 | 28,836
Business outlets | 339 | 667 | 490 | 23
Employees as at reporting date (full-time equivalents) | 9,778 | 12,535 | 16,885 | 3,536
Customers in million | 4.0 | 5.0 | 7.1 | 2.5

52 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2023 | Corporate Center | Reconciliation | Total
in € million
Net interest income | (96) | 10 | 5,683
Dividend income | 758 | (744) | 35
Current income from investments in associates | 63 | 0 | 85
Net fee and commission income | 71 | (7) | 3,042
Net trading income and fair value result | (202) | 18 | 186
Net gains/losses from hedge accounting | (6) | (6) | (28)
Other net operating income | 159 | (205) | 62
Operating income | 748 | (934) | 9,065
General administrative expenses | (483) | 201 | (3,908)
Operating result | 265 | (732) | 5,158
Other result | 19 | (3) | (906)
Governmental measures and compulsory contributions | (13) | 0 | (284)
Impairment losses on financial assets | 13 | (4) | (393)
Profit/loss before tax | 283 | (739) | 3,576
Income taxes | 155 | (5) | (997)
Profit/loss after tax from continuing operations | 438 | (744) | 2,578
Gains/losses from discontinued operations | 0 | 0 | 0
Profit/loss after tax | 438 | (744) | 2,578
Profit attributable to non-controlling interests | 0 | 1 | (192)
Profit/loss after deduction of non-controlling interests | 438 | (743) | 2,386
Return on equity before tax | – | – | 19.8 %
Return on equity after tax | – | – | 14.3 %
Net interest margin (average interest-bearing assets) | – | – | 2.87 %
Cost/income ratio | – | – | 43.1 %
Loan/deposit ratio | – | – | 83.8 %
Provisioning ratio (average loans to customers) | – | – | 0.34 %
NPE ratio | – | – | 1.9 %
NPE coverage ratio | – | – | 51.7 %
Assets | 36,485 | (25,028) | 198,241
Total risk-weighted assets (RWA) | 17,578 | (11,344) | 93,664
Equity | 8,436 | (6,698) | 19,849
Loans to customers | 989 | (1,671) | 99,434
Deposits from customers | 766 | (4,790) | 119,353
Business outlets | – | – | 1,519
Employees as at reporting date (full-time equivalents) | 2,153 | – | 44,887
Customers in million | 0.0 | – | 18.6

Consolidated financial statements 53
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets
in € million
Net interest income | 1,341 | 943 | 2,025 | 733
Dividend income | 3 | 8 | 0 | 12
Current income from investments in associates | 4 | 0 | 6 | 6
Net fee and commission income | 565 | 449 | 2,207 | 617
Net trading income and fair value result | 0 | (1) | 471 | 141
Net gains/losses from hedge accounting | (5) | 0 | (29) | (17)
Other net operating income | 39 | 10 | (56) | 110
Operating income | 1,947 | 1,409 | 4,624 | 1,602
General administrative expenses | (909) | (699) | (954) | (765)
Operating result | 1,037 | 711 | 3,670 | 837
Other result | (512) | (13) | (6) | 3
Governmental measures and compulsory contributions | (137) | (42) | (66) | (54)
Impairment losses on financial assets | (12) | (70) | (743) | (122)
Profit/loss before tax | 375 | 586 | 2,855 | 664
Income taxes | (153) | (83) | (619) | (148)
Profit/loss after tax from continuing operations | 222 | 503 | 2,236 | 517
Gains/losses from discontinued operations | 0 | 46 | 0 | 0
Profit/loss after tax | 222 | 548 | 2,236 | 517
Profit attributable to non-controlling interests | (56) | 0 | (36) | (16)
Profit/loss after deduction of non-controlling interests | 166 | 548 | 2,200 | 501
Return on equity before tax | 9.7 % | 18.9 % | 88.1 % | 17.2 %
Return on equity after tax | 5.8 % | 17.6 % | 69.0 % | 13.4 %
Net interest margin (average interest-bearing assets) | 2.29 % | 3.46 % | 6.37 % | 1.19 %
Cost/income ratio | 46.7 % | 49.6 % | 20.6 % | 47.8 %
Loan/deposit ratio | 85.6 % | 70.4 % | 44.0 % | 146.2 %
Provisioning ratio (average loans to customers) | 0.02 % | 0.42 % | 3.90 % | 0.32 %
NPE ratio | 1.4 % | 2.0 % | 2.3 % | 1.8 %
NPE coverage ratio | 59.7 % | 70.2 % | 65.1 % | 47.1 %
Assets | 62,130 | 31,352 | 33,817 | 62,627
Total risk-weighted assets (RWA) | 25,448 | 16,397 | 23,282 | 26,902
Equity | 4,128 | 3,388 | 5,053 | 4,265
Loans to customers | 37,707 | 17,839 | 11,340 | 37,115
Deposits from customers | 45,700 | 25,253 | 25,847 | 31,631
Business outlets | 343 | 729 | 569 | 23
Employees as at reporting date (full-time equivalents) | 9,775 | 12,697 | 16,550 | 3,343
Customers in million 1 | 3.7 | 4.9 | 7.0 | 2.4
1 Adjustment of the previous year's figures due to the inclusion of customers from the credit card business

54 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Corporate Center | Reconciliation | Total
in € million
Net interest income | (52) | 62 | 5,053
Dividend income | 387 | (345) | 64
Current income from investments in associates | 48 | 0 | 64
Net fee and commission income | 51 | (11) | 3,878
Net trading income and fair value result | 9 | 44 | 663
Net gains/losses from hedge accounting | 2 | 7 | (41)
Other net operating income | 103 | (177) | 29
Operating income | 547 | (420) | 9,710
General administrative expenses | (395) | 170 | (3,552)
Operating result | 152 | (250) | 6,158
Other result | (139) | (1) | (667)
Governmental measures and compulsory contributions | (38) | 0 | (337)
Impairment losses on financial assets | (19) | 17 | (949)
Profit/loss before tax | (43) | (234) | 4,203
Income taxes | 144 | 0 | (859)
Profit/loss after tax from continuing operations | 101 | (234) | 3,344
Gains/losses from discontinued operations | 398 | 10 | 453
Profit/loss after tax | 498 | (224) | 3,797
Profit attributable to non-controlling interests | 0 | (62) | (170)
Profit/loss after deduction of non-controlling interests | 498 | (286) | 3,627
Return on equity before tax | – | – | 26.6 %
Return on equity after tax | – | – | 24.1 %
Net interest margin (average interest-bearing assets) | – | – | 2.59 %
Cost/income ratio | – | – | 36.6 %
Loan/deposit ratio | – | – | 82.4 %
Provisioning ratio (average loans to customers) | – | – | 0.73 %
NPE ratio | – | – | 1.6 %
NPE coverage ratio | – | – | 59.0 %
Assets | 44,774 | (27,642) | 207,057
Total risk-weighted assets (RWA) | 15,008 | (9,357) | 97,680
Equity | 8,542 | (6,612) | 18,764
Loans to customers | 1,016 | (1,788) | 103,230
Deposits from customers | 1,043 | (4,374) | 125,099
Business outlets | – | – | 1,664
Employees as at reporting date (full-time equivalents) | 2,049 | – | 44,414
Customers in million 1 | 0.0 | – | 18.1
1 Adjustment of the previous year's figures due to the inclusion of customers from the credit card business

Consolidated financial statements 55
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Notes
Principles underlying the consolidated financial
statements
Principles of preparation
The consolidated financial statements are prepared in accordance with the International Financial Reporting Standards (IFRS)
published by the International Accounting Standards Board (IASB) and the international accounting standards adopted by the
EU on the basis of IAS Regulation (EC) 1606/2002 including the applicable interpretations of the International Financial reporting
Interpretations Committee (IFRIC/SIC). Standards and interpretations not yet applicable that have been published and
endorsed by the EU are outlined in the section standards and interpretations not yet applicable (already endorsed by the EU).
The consolidated financial statements also meet the requirements of § 245a of the Austrian Commercial Code (UGB) and § 59a
of the Austrian Banking Act (BWG) regarding exempting consolidated financial statements that comply with internationally
accepted accounting principles.
A financial asset is recognized when it is probable that the future economic benefits will flow to the company and the
acquisition or production costs, or another value can be reliably measured. A financial liability is recognized when it is probable
that an outflow of resources embodying economic benefits will result from the settlement of the obligation and the amount at
which the settlement will take place can be measured reliably. An exception are certain financial instruments which are
recognized at fair value at the reporting date. Provided that the underlying contracts do not fall within the scope of IFRS 9 or
IFRS 16, revenue is recognized if the conditions of IFRS 15 are met and if it is probable that the economic benefits will flow to the
Group and the amount of revenue can be measured reliably. These consolidated financial statements have been prepared on a
going concern.
The consolidated financial statements are based on the reporting packages of all fully consolidated Group members, which are
prepared according to IFRS rules and uniform Group standards. All material subsidiaries prepare their annual financial
statements as at and for the year ended 31 December. Some IFRS disclosures made outside the notes form an integral part of
the consolidated financial statements. These are mainly explanations on net income from segments, which are included in the
notes on segment reporting. Detailed notes on IFRS 7 are included under note (42) Credit risk, note (43) Market risk and note (44)
Liquidity management. This information is presented in accordance with IFRS 8 Operating Segments and IFRS 7 Financial
Instruments Disclosures respectively.
Classification and measurement of financial assets and financial liabilities
A financial instrument is a contract that gives rise to a financial asset of one entity and a financial liability or equity instrument
of another entity. On initial recognition, financial instruments are to be measured at fair value, which generally corresponds to
the transaction price at the time of acquisition or issue. If the Group unit determines that the fair value on initial recognition
differs from the transaction price, but this fair value measurement is not evidenced by a valuation technique that uses only
data from observable markets, then the carrying amount of the financial asset or financial liability on initial recognition is
adjusted to defer the difference between the fair value measurement and the transaction price. The deferred difference is
subsequently recognized as a gain or loss only to the extent that it arises from change in a factor (including time) that market
participants would consider in setting the price. According to IFRS 13, the fair value is defined as the exit price. For subsequent
measurement, financial instruments are recognized in the statement of financial position according to the respective
measurement category pursuant to IFRS 9, either at (amortized) cost or at fair value.
The classification of financial assets under IFRS 9 is firstly based on the business model under which the assets are managed,
and secondly on the cash flow characteristics of the assets. For RBI, this results in five classification categories for financial
assets:
· Financial assets measured at amortized cost (AC)
· Financial assets measured at fair value through other comprehensive income (FVOCI)
· Financial assets mandatorily measured at fair value through profit or loss (FVTPL)
· Financial assets designated fair value through profit or loss (FVTPL)
· Financial assets held for trading (HFT).
56 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Financial liabilities are generally recognized according to IFRS 9 at (amortized) cost (financial liabilities – amortized cost)
applying the effective interest method unless they are measured at fair value. This includes financial liabilities that are held for
trading (financial liabilities – held for trading) and designated as FVTPL (financial liabilities – designated fair value through
profit/loss). Changes in the fair value of liabilities designated at fair value through profit or loss which are caused by changes in
RBI’s own default risk are to be shown in other comprehensive income.
In accordance with IFRS 9, embedded derivatives are not separated from the host contract of a financial asset. Instead,
financial assets are classified in accordance with the business model and their contractual characteristics as explained in the
section business model assessment and in the section analysis of contractual cash flow characteristics. When recognizing
financial liabilities, embedded derivatives are only separated from the host instrument and separately accounted for as
derivatives if their economic characteristics and risks are not closely related to the economic characteristics and risks of the
host contract, the embedded derivative meets the definition of a derivative and the hybrid financial instrument is not
associated with a financial liability item that is held for trading or designated at fair value through profit or loss.
Further details on the classification and measurement of financial assets and financial liabilities can be found in the notes of
the respective items of the income statement and the statement of financial position.
Reclassification of financial assets
Reclassification is only possible for financial assets, not for financial liabilities. In RBI, a change in the measurement category is
only possible if there is a change in the business model used to manage a financial asset. Such changes are expected to occur
very rarely, are determined by the management following external or internal changes and must not only be significant for the
entity’s operations but also be capable of being proven to external parties. If these conditions apply, then the reclassification is
mandatory. If such a reclassification is necessary, this must be changed prospectively from the date of reclassification and
approved by the RBI Management Board.
Business model assessment
RBI reviews the objective of the business model under which a financial asset is managed at a portfolio level because this best
reflects the way the business is managed, and information is provided to management. The following factors are considered
as evidence when assessing which business model is relevant:
· How the performance of the business model (and the financial assets held within that business model) is assessed
and reported to the entity’s key management personnel
· The risks that affect the performance of the business model (and the financial assets held within that business
model) and the way those risks are managed
· How managers of the business are compensated – e.g. whether the compensation is based on the fair value of the
assets managed or the contractual cash flows collected
· The frequency, value, and timing of sales in prior periods, the reasons for such sales, and expectations about future
sales activity
· Whether sales activity and the collection of contractual cash flows are each integral or incidental to the business
model (hold-to-collect versus hold-and-sell business model).
Financial assets that are held for trading and those that are managed and whose performance is evaluated on a fair value
basis will be measured at fair value through profit or loss (FVTPL).
A business model’s objective can be to hold financial assets to collect contractual cash flows even when some sales of financial
assets have occurred or are expected to occur. For RBI, the following sales may be consistent with the hold-to collect business
model:
· The sales are due to an increase in the credit risk of a financial asset.
· The sales are infrequent (even if significant) or are insignificant individually and in aggregate (even if frequent).
· The sales take place close to the maturity of the financial asset and the proceeds from the sales approximate the
collection of the remaining contractual cash flows.
The number of sales in RBI is small, and like the volume of the sales out of the hold-to-collect business model, monitored over
time to have a documentation basis that respective sales are consistent with the hold-to-collect business model. The
judgement is made under reference to the rules of IFRS 9 which foresee that those sales out of the hold-to-collect business
model may be permissive in cases where the occur infrequently (even if significant in value) or insignificant in value both
individually and in aggregate (even if frequent).
Consolidated financial statements 57
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Analysis of contractual cash flow characteristics
If RBI has decided that the business model of a specific portfolio is to hold the financial assets to collect the contractual cash
flows (or to both collect contractual cash flows and sell financial assets), it must assess whether the contractual terms of the
financial assets allocated to this portfolio result on specific dates in cash flows that are solely payments of principal and
interest on the principal amount outstanding. For this purpose, interest is defined as consideration for the time value of money
and for the credit risk associated with the principal amount outstanding during a particular period and for other basic lending
risks and costs, as well as a profit margin. This assessment will be carried out on an instrument-by-instrument basis on the
date of initial recognition of the financial asset.
In assessing whether the contractual cash flows are solely payments of principal and interest, RBI considers the contractual
terms of the instrument. This includes assessing whether the financial asset contains a contractual term that could change the
timing or amount of contractual cash flows in such a way that this condition is no longer met. RBI considers amongst other
things:
· Prepayment or extension terms
· Leverage agreements
· Claim is limited to specified assets or cash flows
· Contractually linked instruments.
IFRS 9 includes regulations for prepayment features with negative compensation. Negative compensation arises where the
contractual terms permit the borrower to prepay the instrument before its contractual maturity, but the prepayment amount
could be less than unpaid amounts of principal and interest. However, to qualify for amortized cost measurement, the negative
compensation must be a reasonable compensation for early termination of the contract.
Modification of the time value of money and the benchmark test
The time value of money is the element of interest that provides consideration for only the passage of time. It does not take
other risks (credit, liquidity etc.) or costs (administrative etc.) associated with holding a financial asset into account. In some
cases, the time value of money element is modified (referred to as imperfect). This would be the case, for example, if a
financial asset’s interest rate is periodically adjusted but the frequency of the interest rate adjustment does not match the
tenor of the interest rate. In this case units must assess the modification as to whether the contractual cash flows represent
solely payments of principal and interest, i.e. the modification term may not significantly alter the cash flows from a perfect
benchmark instrument.
RBI has developed a quantitative benchmark test to assess whether the cash flow condition has been met. This test
determines whether the undiscounted modified contractual cash flows differ significantly from the undiscounted cash flows of
a benchmark instrument. The benchmark instrument is equivalent to the tested asset in all respects except for the modified
interest components. At the time when the transaction is initially entered, the quantitative benchmark test is performed using
1,000 forward-looking simulations of future market interest rates over the life of the financial asset. The test assumes a
normal distribution of interest rates using the single-factor Hull-White model when simulating the scenarios. To pass the
quantitative benchmark test, the financial asset being tested must not exceed two significance thresholds. The significance
thresholds are established as the quotient of the simulated cash flows from the modified interest rate components and the
benchmark instrument. The quotient must not exceed 10 per cent over a reporting period (three months) or 5 per cent over the
entire life of the financial asset being tested. If one of these two significance thresholds is exceeded, the financial asset will
have failed the benchmark test and must be measured at fair value through profit or loss.
A benchmark test is applied for the following main contractual features that can potentially modify the time value of money:
· Reset rate frequency does not match interest tenor
· Lagging indicator
· Smoothing clause
· Grace period
· Secondary market yield reference (UDRB: Average government bond yields weighted by outstanding amounts).
58 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Relationships between items of the statement of financial position and
measurement criteria

| Measurement
Assets/liabilities | Fair value | Amortized cost
Asset classes |  |
Cash, balances at central banks and other demand deposits |  | x
Financial assets - amortized cost |  | x
hereof loans from finance lease |  | x
Financial assets - fair value through other comprehensive income | x |
Non-trading financial assets - mandatorily fair value through profit/loss | x |
Financial assets - designated fair value through profit/loss | x |
Financial assets - held for trading | x |
Hedge accounting | x |
Liability classes |  |
Financial liabilities - amortized cost |  | x
hereof liabilities from finance lease |  | x
Financial liabilities - designated fair value through profit/loss | x |
Financial liabilities - held for trading | x |
Hedge accounting | x |

Key sources of estimation uncertainty and critical accounting judgments
If estimates or assessments are necessary for accounting and measuring according to IAS/IFRS, they are made in accordance
with the respective standards. They are based on past experiences and other factors, such as planning and expectations or
forecasts of future events that appear likely, based on current judgement. The estimates and underlying assumptions are
reviewed on an ongoing basis. Alterations to estimates that affect only one period will be considered only in that period. If the
following reporting periods are also affected, the alterations will be taken into consideration in the current and following
periods. The assumptions, estimates and accounting judgment mainly related to expected credit losses, the fair value and
impairment calculation of financial instruments, deferred tax assets, provisions for pensions and similar obligations, provisions
for litigation as well as the goodwill impairment test and immaterial assets capitalized during initial consolidation. The actual
values can deviate from the estimated values.
Additionally, in the light of the geopolitical situation RBI is exposed to increased risks related to foreign currency translation.
Details can be found in the chapter exchange differences.
Impairment in the lending business
RBI ascertains on a forward-looking basis the expected credit losses (ECL) associated with its debt instrument assets carried at
amortized cost and fair value through other comprehensive income and with the exposure arising from loan commitments,
leasing receivables and financial guarantee contracts. The calculation of expected credit losses (ECL) requires the use of
estimates that may not necessarily match actual results. In order to determine the amount of the impairment, significant
credit risk parameters such as PD (Probability of Default), LGD (Loss Given Default) and EAD (Exposure at Default) as well as
forward-looking information (economic forecasts) are to be estimated by management. The expected credit losses are
adjusted at each reporting date. IFRS 9 requires the assessment if a significant increase in credit risk exists, without providing
detailed guidance. Consequently, specific rules for the assessment have been defined, which consist of both qualitative
information and quantitative thresholds. The methods for determining the amount of the impairment are explained in the
section impairment general (IFRS 9). Quantitative information and sensitivity analyses are presented in the notes under (31).
Judgement is required when calculating expected credit losses, especially when considering risks that are not adequately
reflected in the models, such as overlays and other risk factors for sanction and geopolitical risks.
Consolidated financial statements 59
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Fair value of financial instruments
Fair value is the price received for the sale of an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date. This applies regardless of whether the price can be directly observed or has been
estimated on the basis of a measurement method. In determining the fair value of an asset or liability, the Group considers
certain features of the asset or liability (e.g. condition and location of the asset, or restrictions in the sale and use of an asset)
if market participants would also consider such features in determining the price for the acquisition of the respective asset or
for the transfer of the liability at the measurement date. Where the market for a financial instrument is not active, fair value is
established using a valuation technique or pricing model. For valuation methods and models, estimates are generally used
depending on the complexity of the instrument and the availability of market-based data. The input parameters for these
models are derived from observable market data where possible, nevertheless non-observable market data are required in
many cases. Under certain circumstances, valuation adjustments are necessary to account for other factors such as model risk,
liquidity risk or credit risk. The valuation models are described in the notes in the section on classification and measurement of
financial assets and financial liabilities. In addition, the fair values of financial instruments are disclosed in the notes under (23)
Fair value of financial instruments.
Provisions for litigation
Provisions are recognized when the Group has a present obligation from a past event, where it is likely that it will be obliged to
settle, and an estimate of the amount is possible. The level of provisions is the best possible estimate of expected outflow of
economic benefits at the reporting date while considering the risks and uncertainties underlying the commitment to fulfill the
obligation. Risks and uncertainties are taken into consideration when making estimates. In some cases, lawsuits are filed by a
number of retail customers. The measurement of the provision in such cases is based on a statistical approach. These
approaches consider both static data, where relevant, and expert opinions, especially in connection with the lawsuits and
losses expected in the future. Additional details are available under (46) Pending legal issues.
Provision for pensions and similar obligations
The cost of the defined benefit pension plan is determined using an actuarial valuation. The actuarial valuation involves
making assumptions about future salary increases, mortality rates and future pension increases. Considerable accounting
judgement is to be exercised in this connection in determining the criteria. Mercer´s interest rate recommendation is used to
determine the discount rate from which expected returns are derived. The main criteria for the selection of such corporate
bonds are the issuance volumes of the bonds, the quality of the bonds and the identification of outliers, which are not
considered. Assumptions and estimates used for the long-term defined benefit obligation calculations are described in the
section on pension obligations and other termination benefits. Quantitative information on long-term employee provisions is
disclosed in the notes under (27) Provisions.
Deferred tax assets
Deferred tax assets are recognized only to the extent that it is probable that in the future sufficient taxable profit will be
available against which those tax loss carry forwards, tax credits or deductible temporary differences can be utilized. A
planning period of five years is used to this purpose. Such a period allows for a reliable estimate of the tax result based on
planning. This assessment requires significant judgments and assumptions to be made by management. In determining the
deferred tax assets, the management uses historical tax capacity and profitability information and, if relevant, forecasted
operating results based upon approved business plans, including a review of the eligible carry-forward period.
Analysis of contractual cash flow characteristics
In addition to the business model test, a test of a financial asset’s cash flows is also necessary to allocate it to the
measurement categories at amortized cost or at fair value through other comprehensive income. In order to pass the
contractual cash flow characteristics test, the asset’s contractual cash flows must consist solely of payments of principal and
interest on the principal amount outstanding. This analysis of whether contractual cash flows of financial assets consist solely
of interest and principal payments involves critical judgments. At RBI, these judgments are mainly applied to loans with
mismatched interest components, considering the individual contractual features of financial assets. In order to be able to
assess whether a financial asset passes the cash flow characteristics test, a benchmark test is necessary in some
circumstances to evaluate a changed element for the time value of money.
60 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Goodwill impairment test
All goodwill is tested each year with respect to its future economic benefits based on cash-generating units. An impairment
test is conducted as of the reporting date if indications of possible impairment arise during the financial year. In the course of
the impairment test, significant judgments, assumptions and estimates are required, in particular with regard to the timing
and amount of future expected cash flows and the discount rate. For additional information, see (8) Other result and (25)
Tangible fixed assets and intangible fixed assets.
Impairment testing of companies valued at equity
The carrying amounts of companies valued at equity must be tested for impairment if there are objective indications of
impairment. At the end of each reporting period, an assessment is made as to whether there is any indication that the carrying
amount of an investment exceeds its recoverable amount. IAS 36 contains a list of internal and external indicators that are
considered as indications of impairment. If an indication arises that an entity valued at equity may be impaired, the
recoverable amount of the asset is calculated. The significant judgments and estimates in connection with the impairment
test relate particularly to the discount rate, the planning assumptions, and the future expected cash flows. Details can be
found under (24) Investments in subsidiaries and associates.
Application of new and revised standards
Unless otherwise stated, the application of the following standards and interpretations is not currently expected to have any
material impact on RBI.
Amendments to IAS 1 (Disclosure of Accounting Policies; effective date: 1 January 2023)
Starting from 1 January 2023 only material accounting policies are to be disclosed in the notes. The amendments to this
standard consist majorly of changes in wording, which should lead to more clarity and unity in application.
Amendments to IAS 8 (Definition of Accounting Estimates; effective date: 1 January
2023)
The aim of this amendment is to clarify the distinction between changes in accounting policies (retrospective changes) and
changes in accounting estimates (prospective changes). An accounting estimation is always based on a valuation uncertainty
of financial balances in the financial statements. Changes in measurement techniques to calculate an estimate represent
changes in accounting estimates, if they do not result from the correction of prior period errors.
Amendments to IAS 12 (Deferred Tax arising from a Single Transaction; effective date:
1 January 2023)
The main change in deferred tax related to assets and liabilities arising from a single transaction is to narrow the scope of the
initial recognition exemption provided in IAS 12.15(b) and IAS 12.24. Accordingly, the initial recognition exemption does not apply
to transactions in which equal amounts of deductible and taxable temporary differences arise on initial recognition. This is also
explained in the newly inserted paragraph IAS 12.22A.
Amendment to IAS 12 (International Tax Reform - Pillar 2 Model Rules, effective date:
1 January 2023)
This amendment is intended to create a temporary exception for the recognition of deferred taxes if they arise from income
taxes in connection with the Pillar 2 model rules. It also introduces targeted disclosure requirements to help investors better
understand the impact of supplementary taxes on the company resulting from the reform, in particular before the country-
specific legislation implementing the minimum taxation comes into force. RBI has applied this exception for the first time
during the current financial year. For details please refer to note (11) Taxes.
IFRS 17 (Insurance Contracts; effective date: 1 January 2023)
IFRS 17 covers recognition and measurement, presentation and disclosure of insurance contracts. The aim of IFRS 17 consists of
provision of relevant information by the financial statement preparing companies and thus a credible presentation of
insurance contracts. This information should be the basis for users of financial statements to accurately evaluate the impact
of insurance contracts on the financial position, financial performance and cash flows of companies. On adopting of IFRS 17,
RBI’s equity increased by € 2 million as at 1 January 2023.
Consolidated financial statements 61
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Standards and interpretations not yet applicable (already endorsed by the
EU)
The following new or amended standards and interpretations, which have been adopted, but are not yet mandatory, have not
been applied early. Unless otherwise stated, the application of the following standards and interpretations is currently not
expected to have any material impact on RBI.
Amendment to IAS 1 (Classification of liabilities as current or non-current; effective
date: 1 January 2024)
The amendments to IAS 1 are intended to clarify the criteria for classifying liabilities as current or non-current. In future, only
rights that exist at the end of the reporting period are to be decisive for the classification of a liability. In addition,
supplementary guidelines for the interpretation of the criteria of the right to defer settlement of the liability by at least twelve
months as well as explanatory notes on the fulfillment criteria were added.
Amendment to IAS 1 (Non-current liabilities with covenants; effective date: 1 January
2024)
The amendments to IAS 1 clarify with regard to the classification of liabilities as current or non-current that only covenants
that an entity must fulfil on or before the reporting date affect this classification. However, an entity must disclose
information in the notes that enables users of financial statements to understand the risk that non-current liabilities with
covenants could become repayable within twelve months.
Amendment to IFRS 16 (Lease Liability in a Sale and Leaseback Transaction; effective
date: 1 January 2024)
The amendment contains requirements for the subsequent measurement of leases in the context of a sale and leaseback (SLB)
for seller-lessees. This is primarily intended to standardize the subsequent measurement of lease liabilities to prevent
inappropriate profit realization. In principle, the amendment means that the payments expected at the beginning of the term
are to be considered in the subsequent measurement of lease liabilities as part of an SLB. In each period, the lease liability is
reduced by the expected payments and the difference to the actual payments is recognized in profit or loss statement.
Standards and interpretations not yet applicable (not yet endorsed by the
EU)
Amendment to IAS 7 and IFRS 7 (Supplier Finance Arrangements; effective date:
1 January 2024)
The amendment aims to improve transparency with regard to the effects of supplier financing arrangements on an entity's
liabilities, cash flows and liquidity risk. For this purpose, existing disclosure requirements are supplemented by additional and
mandatory qualitative and quantitative disclosures.
Amendment to IAS 21 (Non-exchangeability of foreign currencies; effective date:
1 January 2025)
The amendment clarifies how an entity should assess whether a currency is exchangeable into another currency. Additionally,
the amendment clarifies the determination of the exchange rate to be used and the required disclosures in the notes if the
previous assessment has determined that the exchangeability of a currency is not given.
62 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Exchange differences
The consolidated financial statements of RBI were prepared in euro which is the functional currency of RBI AG. The functional
currency is the currency of the principal economic environment in which the company operates. Each entity within the Group
determines its own functional currency taking all factors listed in IAS 21 into account. All financial statements of fully
consolidated companies prepared in a functional currency other than euro were translated into the reporting currency euro
employing the modified closing rate method in accordance with IAS 21. Equity was translated at its historical exchange rates
while all other assets, liabilities and the notes were translated at the prevailing foreign exchange rates as at the reporting
date. Differences arising from the translation of equity (historical exchange rates) are offset against retained earnings.
The income statement items were translated at the average exchange rates during the year calculated on the basis of
monthend rates. Differences arising between the exchange rate as at the reporting date and the average exchange rate
applied in the income statement were offset against equity (cumulative other comprehensive income).
Accumulated exchange differences are reclassified from the item exchange differences shown in other comprehensive income
to the income statement under net income from deconsolidation, in the event of a disposal of a foreign business operation
which leads to loss of control, joint management or significant influence over this business operation. In the case of one
subsidiary headquartered in the euro area, the Russian ruble is the reporting currency for measurement purposes given the
economic substance of the underlying transactions.

| 2023 | 2022
| As at | Average | As at | Average
Rates in units per € | 31/12 | 1/1-31/12 | 31/12 | 1/1-31/12
Albanian lek (ALL) | 103.880 | 108.872 | 114.230 | 118.870
Belarusian-ruble (BYN) | 3.536 | 3.242 | 2.916 | 2.755
Bosnian marka (BAM) | 1.956 | 1.956 | 1.956 | 1.956
Bulgarian lev (BGN) | 1.956 | 1.956 | 1.956 | 1.956
Croatian kuna (HRK) | — | — | 7.535 | 7.538
Polish zloty (PLN) | 4.340 | 4.535 | 4.681 | 4.680
Romanian leu (RON) | 4.976 | 4.951 | 4.950 | 4.935
Russian ruble (RUB) | 99.137 | 91.770 | 77.789 | 72.644
Serbian dinar (RSD) | 117.174 | 117.251 | 117.322 | 117.476
Czech koruna (CZK) | 24.724 | 23.982 | 24.116 | 24.562
Ukrainian hryvnia (UAH) | 42.208 | 39.706 | 38.951 | 34.146
Hungarian forint (HUF) | 382.800 | 382.135 | 400.870 | 391.271
US dollar (USD) | 1.105 | 1.082 | 1.067 | 1.056

In the context of the geopolitical situation, RBI is exposed to increased risks related to foreign currency translations. The ECB
stopped publishing an official EUR/RUB exchange rate in March 2022 and an actual and factually achievable exchange rate (e.g.
provided by Refinitiv or Electronic Broking Service (EBS): off-shore rate) established itself in addition to the theoretical, official
exchange rate (rate determined by the Russian central bank on the basis of data from the Moscow Stock Exchange: on-shore
rate).
RBI is exposed to these risks particularly in the translation of monetary items denominated in a foreign currency and in the
translation of fully consolidated foreign business operations. According to IAS 21, the respective closing rate is to be used when
translating monetary items into the functional currency. The closing rate is in turn defined as the exchange rate that would
apply if the transaction were executed immediately. In particular, it must be taken into account whether an officially quoted
price is available on the closing date and whether it is available for immediate settlement. If multiple exchange rates are
available, the exchange rate at which the future cash flows from the transaction could have been settled on the balance sheet
date is to be used in accordance with IAS 21.26. In summary, RBI has concluded that this rate would have been to the most part
the off-shore rate, which is therefore used in the currency translation as at 31 December 2023. RBI does not hold any material
positions in Belarusian ruble and Ukrainian hryvnia outside of these two countries.
RBI has subsidiaries that report in a functional currency other than the Group’s presentation currency. The translation of fully
consolidated foreign operations into the reporting currency of RBI must be carried out in accordance with IAS 21.39:
· At the closing rate at the reporting date (assets and liabilities)
· At the exchange rate at the time of the respective transactions or, for practical reasons, at an appropriate average
rate (income and expenses).
For this purpose, as with the translation of foreign currency transactions, the determination of suitable exchange rates is
necessary. Usually, the exchange rate used for this purpose is the one that would be applied when converting dividends from
the foreign business operation or for any capital repatriations. Due to the government restrictions introduced in Russia, RBI
assumes that cash inflows from foreign business operations in Russia could not be converted at the official exchange rate of
the Russian central bank or that of the Moscow Stock Exchange as at the balance sheet date, rather, the actual and factually
Consolidated financial statements 63
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
achievable rate would be applied. In transactions with international banks, the off-shore rate is usually used for this purpose;
accordingly, the foreign business operation in Russia was translated at this rate on the balance sheet date. As at 31 December
2023, the EUR/RUB exchange rate used by RBI (off-shore rate) was 99.14 and that of the Russian Central Bank (on-shore rate)
was 99.19. For the Belarusian ruble and the Ukrainian hryvnia, the rates published by the respective central bank continued to
be considered suitable rates by RBI. However, due to the small size of the foreign operations in these countries (see chapter risk
report), RBI is only exposed to a limited risk regarding foreign currency translation.
RBI addresses the challenging conditions in the geopolitical environment and the resulting changes in the currency markets
with ongoing monitoring of the estimates and assumptions presented here. In connection with similar circumstances, the IFRIC
explicitly pointed out in its meeting on September 2018 (IFRIC Update 09-18) that companies in such a market environment
must examine on an ongoing basis and on each balance sheet date whether the exchange rate used represents the correct
rate in accordance with IAS 21.
Consolidated group

| Fully consolidated
Number of units | 2023 | 2022
As at beginning of period | 192 | 204
Included for the first time in the financial period | 8 | 7
Merged in the financial period | (2) | (4)
Excluded in the financial period | (6) | (15)
As at end of period | 192 | 192
Domicile in Austria | 113 | 108
Domicile abroad | 79 | 84
Banks | 18 | 19
Financial institutions | 111 | 118
Companies rendering bank-related ancillary services | 11 | 10
Financial holding companies | 6 | 5
Other | 46 | 40

Included units

Company, domicile (country) | Share | Included as of | Reason
Companies rendering bank-related ancillary services |  |  |
RBI Retail Innovation GmbH, Vienna (AT) | 100.0% | 1/1 | Materiality
Limited Liability Company RB-Digital, Moscow (RU) | 100.0% | 13/7 | Foundation
Other companies |  |  |
Neu-Marx Holding Eins GmbH & Co KG, Vienna (AT) | 100.0% | 1/1 | Materiality
Neu-Marx Holding Zwei GmbH & Co KG, Vienna (AT) | 100.0% | 1/1 | Materiality
Neu-Marx Immobilien Eins GmbH & Co KG, Vienna (AT) | 100.0% | 1/1 | Materiality
Neu-Marx Immobilien Zwei GmbH & Co KG, Vienna (AT) | 100.0% | 1/1 | Materiality
INFRA MI 1 Immobilien Gesellschaft mbH, Vienna (AT) | 100.0% | 1/1 | Materiality
Raiffeisen WohnBau Zwei GmbH, Vienna (AT) | 100.0% | 1/1 | Materiality

Excluded units

Company, domicile (country) | Share | Excluded as of | Reason
Banks |  |  |
RBA Banka a.d., Novi Sad (former Crédit Agricole Srbija AD) (RS) | 100.0 % | 30/4 | Merger
Financial institutions |  |  |
DOROS Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 100.0 % | 1/10 | Sale
Equa Sales & Distribution s.r.o., Praha (CZ) | 75.0 % | 1/5 | Materiality
Health Resort RBI Immobilien-Leasing GmbH, Vienna (AT) | 75.0 % | 1/12 | Sale
Orestes Immobilienleasing GmbH & Co. Projekt Wiesbaden KG, Kriftel (DE) | 6.0 % | 1/2 | Materiality
Ostarrichi Immobilienleasing GmbH & Co. Projekt Langenbach KG, Kriftel (DE) | 100.0 % | 1/3 | Materiality
Raiffeisen consulting d.o.o., Zagreb (HR) | 100.0 % | 1/12 | Merger
Raiffeisen-Leasing Litauen UAB, Vilnius (LT) | 92.3 % | 1/7 | Sale

64 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Consequences and analysis of the armed conflict between Russia and
Ukraine
Going Concern
The RBI Board of Management has prepared the consolidated financial statements as at 31 December 2023 on a going concern
basis as they do not intend to liquidate RBI and based on current available information this is considered a realistic intention.
Planning continues to indicate that RBI has the required economic resources to be able to meet ongoing regulatory
requirements as well as being able to fund business and liquidity needs (liquidity and funding profile, including forecasts of
internal liquidity metrics and regulatory liquidity coverage ratios). The most recent internally generated stress testing scenarios
for liquidity and capital requirements have shown that RBI has adequate resources to withstand reasonably possible downside
scenarios. Additionally, RBI has robust systems in place to mitigate the operational disruption of doing business in a warzone
including the threat of cyberattacks.
The RBI Board of Management has concluded that there are no material uncertainties that could cast significant doubt over
their ability to continue as a going concern for at least a year from the date of approval, 12 February 2024, of the annual report
to be issued.
Control event
The economic and political environment due to the war may indicate changes in the ability of an investor to control
subsidiaries according to IFRS 10 in the affected areas. For RBI, especially Ukraine, Russia and Belarus can be counted among
the affected areas.
In assessing control, RBI`s examination includes if it is exposed, or has rights, to variable returns from its involvement with the
investee and has the ability to affect those returns through its power over the investee according to the requirements of IFRS
10. If voting rights are relevant, RBI has control over an entity in which it directly or indirectly holds more than 50 per cent of the
voting rights, except when there are indicators that another investee has the ability to determine unilaterally the relevant
activities of the entity. RBI assesses evidence of control in cases in which it does not hold the majority of voting rights but has
the ability to unilaterally govern the relevant activities of the entity. This ability may occur in cases in which RBI has the ability
to control the relevant activities due to the extent and distribution of voting rights of the investees. If facts and circumstances
indicate that there are changes to one or more elements of control, a reassessment whether control over the investee still
exists is done.
When examining the facts and circumstances RBI carefully considers whether there have been changes that may significantly
limit its ability to exercise the rights or governance provisions with respect to a subsidiary due to the war or the sanctions
imposed. RBI has concluded that no changes are necessary in the assessment of control and that control was not lost over the
subsidiaries in the affected areas.
Pro forma representation of the profit and loss statement and balance sheet
excluding Russia
The tables below show the pro-forma profit and loss as well as the balance sheet for RBI excluding Russian operations. Due to
the capital controls imposed by Russia the higher levels of regulatory capital in Russia can not be used for regulatory capital
purposes in the rest of the group. The pro-forma CET 1 ratio excluding Russian operations under the assumption that the
deconsolidation takes place with a price book value of zero would amount to 14.6 per cent compared to 17.3 per cent including
Russian operations.
Consolidated financial statements 65
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| RBI | Contribution Russia 1 | RBI excluding Russia
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Net interest income | 5,683 | 5,053 | 1,314 | 1,528 | 4,369 | 3,525
Dividend income | 35 | 64 | 0 | 0 | 35 | 64
Current income from investments in associates | 85 | 64 | 3 | 6 | 82 | 58
Net fee and commission income | 3,042 | 3,878 | 1,182 | 2,023 | 1,859 | 1,855
Net trading income and fair value result | 186 | 663 | 131 | 372 | 55 | 291
Net gains/losses from hedge accounting | (28) | (41) | (2) | (29) | (26) | (12)
Other net operating income | 62 | 29 | (25) | (37) | 87 | 66
Operating income | 9,065 | 9,710 | 2,603 | 3,863 | 6,462 | 5,847
Staff expenses | (2,209) | (2,010) | (580) | (533) | (1,629) | (1,477)
Other administrative expenses | (1,224) | (1,081) | (95) | (106) | (1,129) | (976)
Depreciation | (475) | (461) | (41) | (50) | (434) | (411)
General administrative expenses | (3,908) | (3,552) | (715) | (688) | (3,192) | (2,864)
Operating result | 5,158 | 6,158 | 1,888 | 3,175 | 3,270 | 2,983
Other result | (906) | (667) | (8) | (7) | (898) | (660)
Governmental measures and compulsory contributions | (284) | (337) | (42) | (54) | (242) | (284)
Impairment losses on financial assets | (393) | (949) | (95) | (471) | (298) | (479)
Profit/loss before tax | 3,576 | 4,203 | 1,743 | 2,643 | 1,832 | 1,560
Income taxes | (997) | (859) | (464) | (559) | (533) | (300)
Profit/loss after tax from continuing operations | 2,578 | 3,344 | 1,279 | 2,084 | 1,299 | 1,260
Gains/losses from discontinued operations | 0 | 453 | 0 | 0 | 0 | 453
Profit/loss after tax | 2,578 | 3,797 | 1,279 | 2,084 | 1,299 | 1,713
Profit attributable to non-controlling interests | (192) | (170) | 0 | 0 | (192) | (170)
Consolidated profit/loss | 2,386 | 3,627 | 1,279 | 2,084 | 1,107 | 1,542
1 The contribution of Russia is defined as contribution to the Group and therefore deviates from the country results presented in the country view.

| RBI | Contribution Russia | RBI excluding Russia
Assets in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Cash, balances at central banks and other demand deposits | 43,234 | 53,683 | 6,695 | 8,613 | 36,540 | 45,070
Financial assets - amortized cost | 139,302 | 137,431 | 10,305 | 12,980 | 128,998 | 124,451
Financial assets - fair value through other comprehensive income | 2,992 | 3,203 | 3 | 2 | 2,988 | 3,200
Non-trading financial assets - mandatorily fair value through profit/loss | 949 | 757 | 1 | 1 | 948 | 756
Financial assets - designated fair value through profit/loss | 185 | 84 | 0 | 0 | 185 | 84
Financial assets - held for trading | 5,783 | 6,411 | 48 | 54 | 5,735 | 6,357
Hedge accounting | 1,160 | 1,608 | 10 | 8 | 1,150 | 1,600
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (365) | (947) | (65) | (185) | (300) | (762)
Investments in subsidiaries and associates | 820 | 713 | 1 | 1 | 819 | 712
Tangible fixed assets | 1,672 | 1,684 | 185 | 154 | 1,486 | 1,530
Intangible fixed assets | 970 | 903 | 70 | 54 | 900 | 849
Current tax assets | 69 | 100 | 5 | 10 | 64 | 90
Deferred tax assets | 218 | 269 | 111 | 141 | 107 | 128
Other assets | 1,253 | 1,159 | 102 | 107 | 1,151 | 1,052
Total | 198,241 | 207,057 | 17,471 | 21,938 | 180,769 | 185,119

66 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| RBI | Contribution Russia | RBI excluding Russia
Equity and liabilities in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Financial liabilities - amortized cost | 164,711 | 175,142 | 12,656 | 17,425 | 152,054 | 157,717
Financial liabilities - designated fair value through profit/loss | 1,088 | 950 | 1 | 1 | 1,088 | 949
Financial liabilities - held for trading | 8,463 | 8,453 | 24 | (23) | 8,439 | 8,476
Hedge accounting | 1,466 | 2,054 | 39 | 0 | 1,426 | 2,054
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (514) | (1,217) | (45) | (63) | (469) | (1,154)
Provisions for liabilities and charges | 1,644 | 1,479 | 248 | 223 | 1,396 | 1,255
Current tax liabilities | 242 | 181 | 35 | 77 | 207 | 104
Deferred tax liabilities | 43 | 36 | 6 | 9 | 37 | 27
Other liabilities | 1,248 | 1,215 | 57 | 151 | 1,192 | 1,064
Equity | 19,849 | 18,764 | 4,450 | 4,138 | 15,400 | 14,626
Consolidated equity | 17,009 | 16,027 | 4,450 | 4,138 | 12,559 | 11,889
Non-controlling interests | 1,231 | 1,127 | 0 | 0 | 1,231 | 1,127
Additional tier 1 | 1,610 | 1,610 | 0 | 0 | 1,610 | 1,610
Total | 198,241 | 207,057 | 17,471 | 21,938 | 180,769 | 185,119

Concentration risk
Since the outbreak of war in Ukraine, RBI`s activities in Russia, Ukraine, and Belarus have been exposed to increased risk. The
heightened risk is driven by several factors such as the destruction of livelihoods and infrastructure in Ukraine as well as the
loss and blockading of ports, sanctions imposed on Russia, uncertainty about the length of the war and price instability and
economic contraction in Eastern Europe. The exposure to Russia, Ukraine and Belarus is presented in the tables below.
The first table shows the split of the net carrying amount of loans and advances and debt securities based on IFRS
measurement categories as well as the nominal of the off-balance exposure after impairments. The second table shows the
concentration risk on counterparty level, whereby derivatives of the trading book are shown separately. Both tables are based
on the country segmentation in accordance with IFRS 8.

| 2023 | 2022
in € million | Russia | Ukraine | Belarus | Total | Russia | Ukraine | Belarus | Total
Financial assets - amortized cost | 12,431 | 3,049 | 871 | 16,351 | 15,937 | 3,041 | 1,174 | 20,153
Financial assets - fair value through other comprehensive income | 3 | 400 | 1 | 404 | 2 | 119 | 131 | 253
Non-trading financial assets - mandatorily fair value through profit/loss | 3 | 0 | 0 | 3 | 2 | 0 | 0 | 2
Financial assets - designated fair value through profit/loss | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
Financial assets - held for trading | 70 | 178 | 0 | 249 | 304 | 164 | 5 | 473
On-balance | 12,508 | 3,628 | 872 | 17,008 | 16,245 | 3,325 | 1,310 | 20,880
Loan commitments, financial guarantees and other commitments | 2,587 | 807 | 391 | 3,785 | 3,294 | 770 | 369 | 4,433
Total | 15,095 | 4,435 | 1,263 | 20,793 | 19,539 | 4,095 | 1,679 | 25,313

| 2023 | 2022
in € million | Russia | Ukraine | Belarus | Total | Russia | Ukraine | Belarus | Total
Derivatives | 62 | 4 | 0 | 66 | 244 | 8 | 0 | 252
Central banks | 250 | 823 | 0 | 1,073 | 732 | 774 | 0 | 1,506
General governments | 188 | 1,229 | 133 | 1,550 | 212 | 655 | 262 | 1,130
Banks | 5,855 | 269 | 46 | 6,169 | 5,758 | 260 | 320 | 6,337
Other financial corporations | 210 | 56 | 10 | 275 | 642 | 52 | 1 | 694
Non-financial corporations | 3,380 | 1,121 | 466 | 4,968 | 4,799 | 1,433 | 467 | 6,699
Households | 2,564 | 126 | 216 | 2,906 | 3,859 | 142 | 260 | 4,261
On-balance | 12,508 | 3,628 | 872 | 17,008 | 16,245 | 3,325 | 1,310 | 20,880
Loan commitments, financial guarantees and other commitments | 2,587 | 807 | 391 | 3,785 | 3,294 | 770 | 369 | 4,433
Total | 15,095 | 4,435 | 1,263 | 20,793 | 19,539 | 4,095 | 1,679 | 25,313

Consolidated financial statements 67
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Valuation of collateral in Ukraine
In Ukraine, there were many difficulties in determining the market value of collateral since the beginning of the war. These are
on the one hand physical restrictions in some regions on the ability to conduct visual inspections and determine the potential
level of damage and on the other hand the uncertainty about market development and transactions. For these reasons in
occupied regions non-eligible status was applied and in regions with high risk of hostility or occupation significantly increased
discounts were applied. For other areas of Ukraine there are ongoing on-site-visits and the valuation of real estate was fully
restored. The Ukraine economy is adapting to military conditions.
Impairment test for tangible and intangible fixed assets
Due to the war between Russia and the Ukraine, tangible and intangible fixed assets in both countries were examined for
indicators that could lead to an impairment in accordance with IAS 36.
In Ukraine, the tangible fixed assets located in the occupied territories were written off to zero in previous year. All other
tangible fixed assets were assessed individually and adjusted if damage occurred. This resulted in impairments less than € 1
million in the reporting year 2023 (previous year’s period: € 6 million).
Due to changes in market prices, interest rates, rental prices and vacant properties, as a result of the geopolitical situation and
a more detailed appraisal the impairment test for tangible fixed assets in Russia resulted in impairment losses of around € 16
million (previous year’s period € 1 million). The impairment test for intangible fixed assets resulted in impairment losses lower
than € 1 million (previous year’s period: € 6 million).
For the effects on the models for calculating impairments in accordance with IFRS 9, please refer to note (31) Expected credit
losses.
68 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Notes to the income statement
(1) Net interest income
Interest and interest-like income mainly includes interest income on financial assets such as loans, fixed-interest securities, as
well as interest and interest-like income from the trading portfolio. Interest expenses and interest-like expenses mainly include
interest paid on deposits, debt securities issued and subordinated capital. Interest income and interest expenses are accrued in
the reporting period. Negative interest from asset items is shown in interest expenses; negative interest from liability items is
shown in interest income.

in € million | 2023 | 2022
Interest income according to effective interest method | 8,293 | 6,681
Financial assets - fair value through other comprehensive income | 135 | 109
Financial assets - amortized cost | 8,158 | 6,572
Interest income other | 2,313 | 577
Financial assets - held for trading | 311 | 182
Non-trading financial assets - mandatorily fair value through profit/loss | 33 | 28
Financial assets - designated fair value through profit/loss | 6 | 7
Derivatives – hedge accounting, interest rate risk | 449 | 85
Other assets | 1,512 | 156
Interest income on financial liabilities | 1 | 119
Interest expenses | (4,923) | (2,205)
Financial liabilities - amortized cost | (3,717) | (1,791)
Financial liabilities - held for trading | (325) | (9)
Financial liabilities - designated fair value through profit/loss | (39) | (32)
Derivatives – hedge accounting, interest rate risk | (815) | (302)
Other liabilities | (16) | (10)
Interest expenses on financial assets | (11) | (60)
Total | 5,683 | 5,053

in € million | 2023 | 2022
Net interest income | 5,683 | 5,053
Average interest-bearing assets | 198,044 | 194,789
Net interest margin | 2.87 % | 2.59 %

Net interest income includes interest income of € 486 million (previous year’s period: € 325 million) from marked-to-market
financial assets and interest expenses of € 364 million (previous year’s period: € 42 million) from marked-to-market financial
liabilities.
The € 631 million increase in net interest income to € 5,683 million was largely driven by interest rates. Due to the liquidity
position in the reporting period, rising market interest rates in numerous Group countries led to a sharper increase in interest
income than in interest expense. The increases amounted to € 169 million in Hungary, € 90 million in Romania, € 83 million in
Slovakia, € 64 million in Croatia and € 42 million in Albania. Raiffeisen Bausparkasse Österreich Gesellschaft m.b.H reported an
increase of € 42 million due to upward repricing of variable-rate loans and increased interest income from derivatives. In
Serbia, net interest income rose € 124 million as a result of higher interest income from loans for non-financial corporations
and households and also partly due to the integration of Crédit Agricole Srbija AD. Volume-related higher interest income from
government certificates of deposit, from money market transactions and from government bonds led to an increase of € 43
million in net interest income in Ukraine. Net interest income in Russia, on the other hand, fell € 116 million, due to a partially
currency-related 34 per cent decline in loan volume. In Belarus, net interest income fell € 36 million due to falling market
interest rates and the resulting lower margins. Net interest income also fell € 10 million in the Czech Republic, as increasing
interest expenses for customer deposits from households and for newly issued MREL-eligible debt securities significantly
exceeded the increase in interest income from repo business and customer loans. The net interest margin improved 28 basis
points to 2.87 per cent, with the largest increases of 192 basis points in Serbia, 144 basis points in Albania and 109 basis points
in Hungary.
Consolidated financial statements 69
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(2) Dividend income
Dividends from equities, subsidiaries not fully consolidated, strategic investments and associates not valued at equity are
recognized under dividend income. Dividends are recognized through profit/loss if RBI’s legal entitlement to payment has
materialized.

in € million | 2023 | 2022
Financial assets - held for trading | 1 | 1
Non-trading financial assets - mandatorily fair value through profit/loss | 2 | 9
Financial assets - fair value through other comprehensive income | 8 | 9
Investments in subsidiaries and associates | 24 | 45
Total | 35 | 64

(3) Current income from investments in associates

in € million | 2023 | 2022
Current income from investments in associates | 85 | 64

(4) Net fee and commission income
RBI applies the five-step revenue recognition model in IFRS 15 - Revenues from contracts with customers - for the recognition
of commission income when the contractual performance obligation to the customer has been satisfied. In cases where
contractual arrangements are part of a financial instrument under IFRS 9 the instruments are initially recognized at fair value
before applying IFRS 15. This is sometimes the case with loan commitments for which, depending on utilization, a portion of the
fee must be disclosed as part of the effective interest rate method in net interest income in accordance with IFRS 9 or in net
fee and commission income in accordance with IFRS 15 if not utilized .
In RBI, fee income is primarily generated from services provided at a fixed price over a certain period, such as card and current
account services or on a transactional basis at a point-in-time such as foreign exchange and payment services. In the case of
asset management fees income is normally variable and depends on factors such as the volume of assets under management
as well as performance of the underlying assets. Variable fees are recognized when all uncertainties, e.g., discounts or rebates,
are resolved and amounts are known.
If transactions are processed directly on behalf of the customer, the fees are reported on a gross basis. If, on the other hand,
RBI acts as an agent, the fees are shown net of payments to third parties.
Fees for foreign exchange and payment services are recognized in RBI at the time the service was rendered to the customer.
Fees that accrue over a certain period are recognized predominantly on a straight-line basis over the term of the contract.
In some cases, RBI offers a package of services (bundled services). These services may contain multiple performance
obligations which are usually distinguishable performance obligations, such as current account services, and the transaction
price is allocated to the individual performance obligation.
RBI has no financing agreements and no material assets or liabilities from long-term contracts in connection with IFRS 15. The
bank has not capitalized any expenses related to long-term contracts with customers which are covered by IFRS 15. Fee
expenses are expensed as the services are received.

in € million | 2023 | 2022
Clearing, settlement and payment services | 1,134 | 1,212
Loan and guarantee business | 221 | 253
Securities | 148 | 241
Asset management | 253 | 266
Custody and fiduciary business | 84 | 98
Customer resources distributed but not managed | 60 | 63
Foreign exchange business | 1,018 | 1,644
Other | 124 | 102
Total | 3,042 | 3,878

70 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Overall, net fee and commission income fell € 837 million to € 3,042 million. Net fee and commission income decreased due to
the currency devaluations in Eastern Europe and continued to be influenced by the geopolitical situation. Russia reported the
strongest decline of € 856 million, while the other countries of the Group remained stable. The result from foreign exchange
business was down € 627 million, primarily in spot foreign exchange business in Russia and at head office. In Russia, this
development was influenced by decreased volumes caused by the introduction of internal transaction limits as well as lower
margins in corporate customer and retail business, at head office the fall in business was likewise margin-related. Due to lower
fees, net income from the securities business also fell € 93 million, mainly in Russia. Net income from clearing, settlement and
payment services decreased € 77 million as a result of lower volumes, primarily in Russia. Net income from loan and guarantee
business also fell € 32 million, most notably in Russia and at head office.
Net fee and commission income includes income and expenses of € 1,969 million (previous year’s period: € 1,950 million) relating
to financial assets and financial liabilities that are not measured at fair value through profit or loss.

2023 | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets | Corporate Center | Reconciliation | Total
in € million
Fee and commission income | 801 | 653 | 1,723 | 893 | 135 | (139) | 4,066
Clearing, settlement and payment services | 371 | 397 | 698 | 218 | 94 | (100) | 1,679
Clearing and settlement | 43 | 45 | 450 | 0 | 26 | (17) | 547
Credit cards | 58 | 51 | 18 | 48 | 6 | 0 | 182
Debit cards and other card payments | 58 | 115 | 119 | 0 | 33 | (30) | 295
Other payment services | 211 | 186 | 111 | 170 | 29 | (53) | 654
Loan and guarantee business | 56 | 39 | 35 | 120 | 14 | (6) | 257
Securities | 42 | 6 | 86 | 103 | 13 | (19) | 232
Asset management | 22 | 27 | 18 | 335 | 0 | 0 | 402
Custody and fiduciary business | 14 | 6 | 50 | 32 | 4 | (4) | 101
Customer resources distributed but not managed | 40 | 29 | 33 | 0 | 0 | 0 | 102
Foreign exchange business | 230 | 137 | 653 | 70 | 9 | (5) | 1,094
Other | 26 | 12 | 149 | 16 | 1 | (3) | 200
Fee and commission expenses | (223) | (196) | (359) | (315) | (63) | 132 | (1,025)
Total | 578 | 456 | 1,364 | 578 | 71 | (7) | 3,042

2022 | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets | Corporate Center | Reconciliation | Total
in € million
Fee and commission income | 748 | 644 | 2,526 | 943 | 95 | (120) | 4,835
Clearing, settlement and payment services | 325 | 393 | 817 | 190 | 69 | (80) | 1,714
Clearing and settlement | 44 | 42 | 526 | 0 | 26 | (16) | 622
Credit cards | 45 | 46 | 23 | 44 | 3 | 0 | 161
Debit cards and other card payments | 48 | 102 | 163 | 0 | 26 | (24) | 316
Other payment services | 188 | 203 | 105 | 146 | 15 | (41) | 616
Loan and guarantee business | 57 | 37 | 48 | 136 | 8 | (8) | 278
Securities | 40 | 4 | 184 | 94 | 6 | (21) | 307
Asset management | 23 | 28 | 27 | 338 | 0 | 0 | 415
Custody and fiduciary business | 11 | 5 | 47 | 53 | 3 | (5) | 114
Customer resources distributed but not managed | 32 | 25 | 50 | 0 | 0 | 0 | 106
Foreign exchange business | 231 | 139 | 1,229 | 115 | 8 | (2) | 1,720
Other | 29 | 14 | 125 | 17 | 0 | (3) | 181
Fee and commission expenses | (183) | (195) | (319) | (326) | (44) | 110 | (957)
Total | 565 | 449 | 2,207 | 617 | 51 | (11) | 3,878

Consolidated financial statements 71
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(5) Net trading income, fair value result and net gains/losses from hedge
accounting
Net trading income comprises the trading margins resulting from the foreign exchange business, results due to foreign
exchange revaluations and all realized and unrealized gains and losses from financial assets and liabilities at fair value.

in € million | 2023 | 2022
Net gains/losses on financial assets and liabilities - held for trading | (143) | 536
Derivatives | 129 | 204
Equity instruments | 58 | (57)
Debt securities | 74 | (68)
Loans and advances | 39 | 41
Short positions | 1 | 5
Deposits | 14 | 361
Debt securities issued | (454) | 81
Other financial liabilities | (3) | (32)
Net gains/losses on non-trading financial assets - mandatorily fair value through profit or loss | 77 | (42)
Equity instruments | 0 | 0
Debt securities | 11 | (19)
Loans and advances | 66 | (23)
Net gains/losses on financial assets and liabilities - designated fair value through profit/loss | (20) | 90
Debt securities | 5 | (5)
Deposits | (3) | 9
Debt securities issued | (22) | 86
Exchange differences, net | 271 | 79
Total | 186 | 663

The trading result and result from fair value assessments decreased by € 477 million to € 186 million.The main reason for the
decline compared to the previous year was market turbulence in Russia and the increase in our own credit spreads as a result
of Russia’s war of aggression against Ukraine in the comparison period of 2022.
In the area of certificate business booked at head office high valuation gains from fair value assessed certificate issuances
occurred due to the sharp increase in our own credit spreads in the previous year. In the current year, however, our own risk
premiums reduced by about 35 basis points. As a result, the risk-related valuation result decreased by € 110 million to minus
€ 49 million compared to the previous year’s period. Without this effect, the contribution of the trading result at head office
decreased by € 44 million to € 53 million, which was due to a decline in the certificate business and a lower net result from
securities positions on the one hand, and own issued bonds measured at fair value on the other, despite an increased trading
result relating to interest rate derivatives and foreign currency transactions.
Trading activities in Russia led to a decrease in the trading result by € 234 million to € 134 million. The decrease includes
currency-related conversion effects of minus € 35 million, which can be attributed to the different development of the average
exchange rates of the Russian ruble compared to the Euro due to a significant devaluation in the second and third quarter of
2023. The currency-adjusted decrease of € 199 million was primarily due to a reduced volume of customer transactions with
foreign currencies and the associated decline in trading margins.
In the Czech Republic, Slovakia, Romania and Serbia, an increase in valuation gains related to foreign currency positions
amounting to € 23 million was recorded. However, this was offset by higher currency-related valuation losses, especially in
Hungary, Ukraine and Belarus, amounting to minus € 95 million.
Fair value assessed investments in venture capital funds recorded valuation gains of € 15 million in the previous year, but losses
of € 5 million occurred in the current year.

in € million | 2023 | 2022
Fair value changes of the hedging instruments | 158 | 50
Fair value changes of the hedged items attributable to the hedged risk | (185) | (91)
Ineffectiveness of cash flow hedge recognized in profit or loss | 0 | 0
Total | (28) | (41)

72 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(6) Other net operating income
The other operating income contains other earnings components that arise in connection with the operating business activity.

in € million | 2023 | 2022
Gains/losses on derecognition of not modified financial assets and liabilities - not measured at fair value through profit/loss | (26) | (57)
Debt securities | (25) | (57)
Loans and advances | (2) | (4)
Debt securities issued | 2 | 4
Other financial liabilities | 0 | 0
Gains/losses on derecognition of non-financial assets held for sale | 4 | (28)
Investment property | 1 | 0
Intangible fixed assets | (4) | (30)
Other assets | 7 | 1
Net income arising from non-banking activities | 13 | 8
Sales revenues from non-banking activities | 111 | 111
Expenses from non-banking activities | (98) | (104)
Net income from additional leasing services | 26 | 24
Revenues from additional leasing services | 46 | 36
Expenses from additional leasing services | (20) | (12)
Net income from insurance contracts | (1) | 0
Net rental income from investment property incl. operating lease (real estate) | 60 | 50
Net rental income from investment property | 19 | 17
Income from rental real estate | 24 | 18
Expenses from rental real estate | (4) | (4)
Income from other operating lease | 25 | 24
Expenses from other operating lease | (4) | (4)
Net expense from allocation and release of other provisions | (48) | 14
Other operating income/expenses | 33 | 19
Total | 62 | 29
Other operating income | 414 | 351
Other operating expenses | (351) | (322)

Other net operating income increased € 33 million to € 62 million. In the reporting period, net income from debt securities
showed a € 31 million smaller loss of € 25 million. The loss in the reporting period was mainly attributable to Hungary, whereas
in the previous year it mainly related to Russia. The derecognition of intangible assets at head office resulted in a loss of € 29
million in the previous year. An amount of € 48 million was allocated to other provisions in the reporting period for pending
litigation in Russia and Austria, whereas in the previous year there were reversals of € 14 million, mainly in Romania and at head
office. Charges for non-banking activities and operating leases on property resulted in higher income in the reporting period.
(7) General administrative expenses

in € million | 2023 | 2022
Staff expenses | (2,209) | (2,010)
Other administrative expenses | (1,224) | (1,081)
Depreciation of tangible and intangible fixed assets | (475) | (461)
Total | (3,908) | (3,552)

Consolidated financial statements 73
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Staff expenses

in € million | 2023 | 2022
Wages and salaries | (1,686) | (1,557)
Social security costs and staff-related taxes | (402) | (359)
Other voluntary social expenses | (62) | (55)
Expenses for defined contribution pension plans | (15) | (16)
Expenses/income from defined benefit pension plans | (6) | (5)
Expenses for post-employment benefits | (11) | (12)
Expenses for other long-term employee benefits excl. deferred bonus program | (6) | 10
Staff expenses under deferred bonus program | (19) | (14)
Termination benefits | (2) | (3)
Total | (2,209) | (2,010)

Staff expenses rose € 199 million to € 2,209 million, mainly at head office (up € 57 million) and in Russia (up € 48 million). The
increase at head office was primarily attributable to salary adjustments under collective agreements and to an increase in the
headcount. In Russia, the increase resulted from higher salaries and social security costs, provisions for one-off payments and
an increase in the headcount, notably in IT. Staff expenses also increased in Hungary (up € 23 million), Slovakia (up € 20 million)
and Romania (up € 15 million).
Expenses for severance payments and retirement benefits
Under defined contribution plans, the company pays fixed contributions into a separate entity (pension fund).

in € million | 2023 | 2022
Members of the management board and senior staff | (4) | (4)
Other employees | (29) | (30)
Total | (33) | (35)

Other administrative expenses

in € million | 2023 | 2022
Office space expenses | (115) | (106)
IT expenses | (388) | (343)
Legal, advisory and consulting expenses | (202) | (155)
Advertising, PR and promotional expenses | (121) | (118)
Communication expenses | (80) | (74)
Office supplies | (21) | (21)
Car expenses | (11) | (11)
Security expenses | (27) | (27)
Traveling expenses | (19) | (12)
Training expenses for staff | (21) | (15)
Other non-income related taxes | (89) | (70)
Sundry administrative expenses | (130) | (127)
Total | (1,224) | (1,081)
hereof expenses for short-term leases | (17) | (14)
hereof expenses for leases of low-value assets | (4) | (5)

The main drivers of the € 143 million rise in other administrative expenses were higher legal, advisory and consulting expenses
(up € 44 million) and increased IT expenses (up € 37 million) at head office. There were further increases in other administrative
expenses in Hungary (up € 27 million), Poland (up € 17 million) and Romania (up € 13 million).
Legal, advisory, and consulting expenses include fees for the auditors of RBI AG and its subsidiaries which comprise expenses
for the audit of financial statements amounting to € 8 million (previous year’s period: € 7 million) and tax advisory as well as
other additional consulting services – mainly confirmation services - amounting to € 4 million (previous year’s period: € 3
million). Thereof, € 3 million (previous year’s period: € 3 million) relates to the Group auditor for the audit of the financial
statements and € 2 million (previous year’s period: € 1 million) relates to other consulting services.
74 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Depreciation of tangible and intangible fixed assets

in € million | 2023 | 2022
Tangible fixed assets | (239) | (236)
hereof right-of-use assets | (81) | (82)
Intangible fixed assets | (236) | (226)
Total | (475) | (461)

(8) Other result

in € million | 2023 | 2022
Net modification gains/losses | (27) | (11)
Gains/losses from changes in present value of non-substantially modified contracts | (27) | (11)
Impairment or reversal of impairment on investments in subsidiaries and associates | 21 | (67)
Impairment on non-financial assets | (25) | (88)
Goodwill | 0 | (68)
Other | (25) | (20)
Result from non-current assets and disposal groups classified as held for sale and deconsolidation | 4 | 10
Net income from non-current assets and disposal groups classified as held for sale | 4 | 4
Result of deconsolidations | 0 | 6
Tax expenses not attributable to the business activity | 0 | 0
Expenses for credit-linked, portfolio-based litigations and annulments | (878) | (510)
Total | (906) | (667)

Information on the item net modification gains/losses from modified contract terms and on modified assets are shown under
(14) Modified assets.
The item impairment or reversal of impairment on investments in subsidiaries and associates amounting to € 21 million
(previous year's period: minus € 67 million) comprises the valuation of investments in companies valued at equity of € 38 million
(previous year's period: minus € 37 million) and impairment on investments in subsidiaries of € 17 million (previous year's period:
€ 30 million). The largest individual effects in the reporting period resulted from the valuation of Oesterreichische Kontrollbank
AG and LEIPNIK-LUNDENBURGER INVEST Beteiligungs AG - totaling € 35 million due to updated business plans (previous year's
period: minus € 65 million due to weaker economic conditions).
Impairment on non-financial assets amounted to € 25 million in the reporting year (previous year's period: € 88 million), of
which € 8 million were related to impairments in Russia, € 7 million in Croatia and € 7 million in the Corporate Center segment.
In the previous period, € 68 million was attributable to impairments on goodwill at a Czech (€ 60 million) and a Serbian Group
unit (€ 8 million) and € 20 million to impairments on property, plant and equipment mainly in occupied territories in Ukraine and
on intangible fixed assets, especially on software in Russia and Slovakia.
The previous year's result from non-current assets and disposal groups classified as held for sale and deconsolidation mainly
included the deconsolidation of a Czech real estate company. In total, 6 Group units were deconsolidated during the reporting
period. Further information on deconsolidated subsidiaries can be found in the Consolidated group chapter under Excluded
units.
Expenses for credit-linked, portfolio-based provisions for litigation and annulments amounted to € 878 million in the reporting
period, of which € 873 million (previous year’s period: € 505 million) resulted from pending and expected legal proceedings in
Poland related to mortgage loans denominated or linked to a foreign currency. The increase in Poland of € 368 million primarily
resulted from a decision by the European Court of Justice in June, leading to significantly increased actual and expected legal
cases, higher loss rates, and losses due to cancellations of credit agreements.
Consolidated financial statements 75
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(9) Governmental measures and compulsory contributions

in € million | 2023 | 2022
Governmental measures | (95) | (87)
Bank levies | (95) | (87)
Compulsory contributions | (188) | (250)
Resolution fund | (74) | (89)
Deposit insurance fees | (114) | (135)
Other compulsory contributions | 0 | (26)
Total | (284) | (337)

Governmental measures and compulsory contributions decreased € 54 million to € 284 million. Contributions to the bank
resolution fund fell € 15 million, mostly at head office. The € 21 million decrease in deposit insurance fees mainly related to
Russia, Hungary, Slovakia and Romania. No other compulsory contributions were incurred in the reporting period, whereas this
item in the previous year included € 26 million in contributions to the state support fund for distressed borrowers in Poland. In
contrast, bank levies increased € 8 million, mainly in Hungary (up € 31 million). The bank levy at head office was down € 21
million.
(10) Impairment losses on financial assets
Impairment losses on financial assets consist of impairment losses on financial assets measured at fair value through other
comprehensive income and impairment losses on financial assets measured at amortized cost.

in € million | 2023 | 2022
Loans and advances | (362) | (718)
Debt securities | (57) | (167)
Loan commitments, financial guarantees and other commitments given | 27 | (65)
Total | (393) | (949)
hereof financial assets - fair value through other comprehensive income | 3 | (15)
hereof financial assets - amortized cost | (422) | (869)

Risk costs, which were significantly below the previous year’s level, amounted to € 185 million in Austria (previous year’s period:
€ 132 million), mainly due to impairments for financing in the real estate sector at head office. An additional € 191 million was
attributed to the Eastern Europe segment, of which € 95 million was for Russia (previous year’s period: € 471 million) and € 94
million for Ukraine (previous year’s period: € 253 million). In Russia, provisions in Stage 1 and Stage 2 amounted to € 42 million,
particularly for non-financial corporations under sanctions, while in Stage 3 (default), € 53 million were booked, mainly for
households. In Ukraine, € 70 million were booked in Stage 1 and Stage 2, predominantly for governments and non-financial
corporations, and € 24 million in Stage 3, mainly for defaulted loans to non-financial corporations.
Further details are shown under (13) Financial assets – amortized cost.
(11) Taxes
RBI AG as Group parent and 70 of its consolidated domestic subsidiaries are members of a tax group. Current taxes are
calculated based on taxable income for the current year taking into account the tax group (in terms of a tax group allocation).
The taxable income deviates from the profit/loss before tax of the consolidated statement of comprehensive income due to
expenses and income which are taxable or tax-deductible in future years or never. The liability of the Group for current taxes is
calculated based on the actual tax rate. Deferred taxes are calculated and recognized in accordance with IAS 12 applying the
liability method and based on the tax rates applicable in the future. Deferred taxes are based on all temporary differences
that result from comparing the carrying amounts of assets and liabilities in the IFRS accounts with the tax bases of assets and
liabilities, and which will reverse in the future. Deferred taxes are calculated by using tax rates applicable in the countries
concerned. A deferred tax asset should also be recognized on tax loss carry forwards if it is probable that sufficient taxable
profit will be generated in future periods against which the tax loss carry forwards can be utilized within the same entity.
On each reporting date, the carrying amount of the deferred tax assets is determined and the value determined is reduced if it
is unlikely that sufficient taxable income will be available in order to realize the tax assets partly or fully. Deferred tax assets
are offset against deferred tax liabilities for each subsidiary to the extent that offsetting is permitted. Income tax credits and
income tax obligations are recorded under the items current and deferred tax assets and current and deferred tax liabilities.
Current and deferred taxes are recognized in the income statement unless they are linked to items which are recognized in
other comprehensive income, in which case the current and deferred taxes are also directly recognized in other comprehensive
76 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
income. IFRIC 23 is to be applied to the determination of taxable profit (tax loss), tax bases, unused tax losses, unused tax
credits and tax rates when there is uncertainty over income tax treatments under IAS 12. RBI is required to use judgment to
determine whether each tax treatment should be considered independently or whether some tax treatments should be
considered together. If RBI concludes that it is not probable that a particular tax treatment is accepted, it must use the most
likely amount or the expected value of the tax treatment. Otherwise, it uses the tax treatment that is consistent with its
income tax filings. An entity has to reassess its judgments and estimates if facts and circumstances change.
Non-income related taxes are recognized in other administrative expenses when the Group unit identifies the obligating event
for the recognition of a liability in accordance with the relevant legislation. In practice this means either the liability is
recognized progressively when the obligating event occurs over a period or the obligation is triggered on reaching a minimum
threshold. The full liability is recognized when this minimum threshold is reached. In addition, RBI shows the tax expenses not
attributed to business activity (from corporate restructurings) in the other result. Expenses for governmental measures and
compulsory contributions are shown separately in the item of the same name. This includes the bank levies, the resolution
fund, deposit insurance fees and other compulsory contributions (e.g. state borrowers’ support fund).

in € million | 2023 | 2022
Current income taxes | (976) | (973)
Austria | (16) | (7)
Foreign | (960) | (966)
Deferred taxes | (21) | 114
Total | (997) | (859)
Effective tax rate | 27.9% | 20.4%

Reconciliation between profit/loss before tax and the effective tax burden:

in € million | 2023 | 2022
Profit/loss before tax | 3,576 | 4,203
Theoretical income tax expense in the financial year based on the domestic income tax rate of 24 per cent | (858) | (1,051)
Effect of divergent foreign tax rates | 167 | 284
Tax decrease because of tax-exempted income from equity participations and other income | 61 | 75
Tax increase because of non-deductible expenses | (334) | (67)
Impairment on loss carry forwards | (21) | (16)
Non-recognized taxes from net investment hedge | (9) | (11)
Non-recognized taxes from value changes on companies valued at equity | 9 | (9)
Non-recognized taxes from impairments on goodwill | 0 | (17)
Other changes 1 | (13) | (46)
Effective tax burden | (997) | (859)
Effective tax rate | 27.9% | 20.4%
1 Includes, among other things, the effect of windfall taxes |  |

Information on current and open tax proceedings can be found under (46) Pending legal issues. Furthermore, there are no
material tax interpretations that would require disclosure within the meaning of IFRIC 23.
The entry into force of the eco-social tax reform 2022 provides for a gradual reduction in the corporate tax rate from 25 per
cent to 23 per cent, with an applicable tax rate of 24 per cent in 2023. The reduced tax rate was used for the calculation of
deferred tax assets and liabilities based on the expected timing of the realization of the temporary differences from deferred
taxes.
Income taxes increased € 138 million to € 997 million which was mainly due to the significant increase in profit in the
Southeastern Europe segment (up € 72 million). In the Central Europe segment, the increased taxes (up € 39 million) were also
related to the increase in profit mainly in Hungary and to a smaller extent to the introduction of a windfall tax in the Czech
Republic. In the Eastern Europe segment, the income taxes moderately increased by € 9 million. This was due to the lower
current taxes of € 95 million resulting from the profit decrease in Russia (€ 819 million), which was partly compensated by the
introduction of a windfall tax (€ 47 million) as well as non-deductible expenses for a new pension program for employees.
Additionally, a positive profit development and the introduction of a windfall tax (50 per cent) in Ukraine led to an increase of
€ 108 million in taxes. At 27.9 per cent, the effective tax rate was more than 7 percentage points higher than in the comparable
period, mainly due to non-tax-deductible expenses related to credit-linked and portfolio-based litigation provisions and
annulments of loan agreements amounting to € 873 million (previous-year period: € 505 million) in Poland, as well as the newly
introduced windfall taxes in Russia, the Czech Republic and Ukraine.
Consolidated financial statements 77
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Tax assets

in € million | 2023 | 2022
Current tax assets | 69 | 100
Deferred tax assets | 218 | 269
Tax claims from temporary differences | 206 | 249
Loss carry forwards | 12 | 20
Total | 287 | 369

Net deferred taxes

in € million | 2023 | 2022
Financial assets - amortized cost | 128 | 134
Financial liabilities - amortized cost | 14 | 34
Financial liabilities - held for trading | 9 | 35
Derivatives – Hedge accounting incl. fair value adjustments | 51 | 78
Financial liabilities - designated fair value through profit/loss | 0 | 2
Provisions for liabilities and charges | 98 | 108
Investments in subsidiaries and associates | 23 | 11
Tangible fixed assets | 92 | 95
Other assets | 88 | 111
Loss carry forwards | 12 | 20
Other items of the statement of financial position | 30 | 107
Deferred tax assets | 543 | 733
Financial assets - held for trading | 30 | 60
Financial assets - amortized cost | 92 | 115
Financial liabilities - amortized cost | 83 | 154
Financial assets - fair value through other comprehensive income | 5 | 1
Financial assets and liabilities - designated fair value through profit/loss | 1 | 0
Investments in subsidiaries and associates | 7 | 13
Tangible fixed assets | 14 | 53
Intangible fixed assets | 68 | 54
Derivatives – Hedge accounting incl. fair value adjustments | 18 | 8
Provisions for liabilities and charges | 6 | 3
Other assets | 15 | 19
Other liabilities | 19 | 12
Other items of the statement of financial position | 9 | 9
Deferred tax liabilities | 368 | 500
Net deferred taxes | 175 | 233

In the consolidated financial statements, deferred tax assets are recognized for unused tax loss carry forwards which
amounted to € 12 million (previous year: € 20 million). The tax loss carry forwards are mainly without any time limit. The Group
did not recognize deferred tax assets from tax loss carry forwards of € 358 million (previous year: € 489 million) because from
a current point of view there is no prospect of realizing them within a reasonable period.
Tax liabilities

in € million | 2023 | 2022
Current tax liabilities | 242 | 181
Deferred tax liabilities | 43 | 36
Temporary tax obligation | 43 | 36
Total | 285 | 217

RBI has applied the temporarily applicable, mandatory exemption, which was published by the IASB in May 2023 related to the
international tax reform. This exemption applies to accounting requirements for deferred taxes according to IAS 12.
Respectively, RBI does not consider taxes related to the OECD pillar 2 model rules for the calculation and presentation of
deferred tax assets and liabilities. The OECD pillar 2 model rules require a global minimum tax rate of 15 per cent on profits of
multinational corporations.
This minimum tax regime was enacted as EU directive in December 2022 and had to be translated to national law by the
member states by 31 December 2023. In Austria, the Minimum Taxation Reform Act (MinBestRefG) was published on 30
December 2023. The MinBestRefG includes the Minimum Taxation Act (MinBestG) to ensure a global minimum tax for corporate
78 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
groups and also provides for amendments to the Austrian Federal Fiscal Code (BAO) and the Austrian Commercial Code (UGB).
RBI monitors the progress of the legislative procedures in jurisdictions relevant for the Group. By 31 December 2023, the
following countries, where RBI operates have transposed the EU directive into local law: Austria, Czech Republic, Hungary and
Romania.
Subsidiaries of RBI are predominantly located in jurisdictions with a nominal or effective tax rate above the minimum tax rate
of 15 per cent. Hence, with the current state of legislation, RBI expects tax implications only in a few countries due to the
implementation of the global minimum tax by early 2024. It is possible, that the nominal tax rate may be increased or top-up
taxes are introduced to avoid tax outflows from affected countries. In most countries where RBI operates, the Safe Harbor
Rules will be met, except for the following countries: Hungary, Bosnia and Herzegovina, Kosovo, Serbia, and Austria. As of 31
December 2023, RBI expects an impact of a high single-digit million amount.
Financial assets measured at amortized cost
(12) Cash, balances at central banks and other demand deposits
This item on the statement of financial position includes cash in hand, balances at central banks that are due on call, and
demand deposits at banks that are due on call.

in € million | 2023 | 2022
Cash in hand | 4,126 | 5,095
Balances at central banks | 24,581 | 32,984
Other demand deposits at banks | 14,527 | 15,604
Total | 43,234 | 53,683

The item cash on hand, balances at central banks and other sight deposits at banks decreased by a total of € 10,449 million
due to a decrease in balances with central banks. The decline was mainly driven by the head office in the amount of € 9,937
million. This item also includes the non-freely available minimum reserve, which amounted to € 20 million as of the reporting
date (previous year: € 20 million).
Russia, Ukraine and Belarus reported € 2,158 million in the item cash in hand, with Russia accounting for the largest portion.
On the reporting date, Ukraine, Russia, and Belarus reported cash and cash equivalents of € 1,525 million that are currently
subject to legal restrictions and are therefore not available for general use by head office.
(13) Financial assets – amortized cost
In RBI, a financial asset is measured at amortized cost (AC) if both of the following conditions are met:
· The asset is held within a business model whose objective is to hold assets in order to collect contractual cash flows.
· The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.
These conditions are explained in more detail in the sections business model assessment, analysis of contractual cash flow
characteristics, and modification of the time value of money and the benchmark test.
Loans and advances to customers and banks are particularly assigned to this category. Loans and advances relating to
finance lease business, which are recognized in accordance with IFRS 16, and securities which meet the above conditions, are
also shown in this measurement category. They are measured at amortized cost. If there is a difference between the amount
paid and face value – and this has an interest character – the effective interest method is used, and the amount is stated
under net interest income. Interest income is calculated on the basis of the gross carrying amount provided the financial asset
is not impaired. As soon as the financial asset is impaired, interest income is calculated based on the net carrying amount. The
Consolidated financial statements 79
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
amortized cost is also adjusted by the expected loss recognized, using the expected loss approach in accordance with IFRS 9,
as outlined in the section impairment general (IFRS 9). The effective interest rate method is a method of calculating the
amortized cost of a financial instrument and allocating interest expenses and interest income to the relevant periods. The
effective interest rate is the interest rate applied to discount the forecast future cash inflows and outflows (including all fees
which form part of the effective interest rate, transaction costs and other premiums and discounts) over the expected term of
the financial instrument or a shorter period, where applicable, to arrive at the net carrying amount from initial recognition.

| 2023 | 2022
in € million | Gross carrying amount | Accumulated impairment | Carrying amount | Gross carrying amount | Accumulated impairment | Carrying amount
Debt securities | 25,936 | (214) | 25,723 | 19,117 | (157) | 18,960
Central banks | 5 | 0 | 5 | 4 | 0 | 4
General governments | 21,319 | (86) | 21,233 | 14,627 | (46) | 14,581
Banks | 2,855 | (1) | 2,854 | 2,668 | (1) | 2,667
Other financial corporations | 974 | (69) | 905 | 988 | (52) | 936
Non-financial corporations | 783 | (57) | 726 | 830 | (58) | 771
Loans and advances | 116,468 | (2,889) | 113,580 | 121,443 | (2,973) | 118,471
Central banks | 7,860 | 0 | 7,860 | 8,814 | 0 | 8,814
General governments | 2,150 | (6) | 2,144 | 2,149 | (7) | 2,143
Banks | 6,855 | (3) | 6,852 | 6,913 | (13) | 6,901
Other financial corporations | 10,699 | (157) | 10,542 | 11,508 | (148) | 11,360
Non-financial corporations | 48,569 | (1,596) | 46,973 | 50,358 | (1,609) | 48,749
Households | 40,335 | (1,125) | 39,209 | 41,701 | (1,196) | 40,505
Total | 142,405 | (3,102) | 139,302 | 140,561 | (3,130) | 137,431

The carrying amount of the item financial assets – amortized cost increased by € 1,872 million compared to year-end 2022.
The addition to debt securities (up € 6,763 million) resulted predominantly from purchases of government bonds (up € 6,652
million), mainly in the Czech Republic (€ 2,220 million), at head office (€ 1,706 million), in Slovakia (€ 654 million) and Croatia
(€ 541 million) .
The lending business showed a decrease of € 4,891 million, mainly derived from a significant reduction of the lending volume in
Russia, which was additionally amplified by the depreciation of the Russian ruble. Loans to non-financial corporations
decreased € 1,777 million; a loan volume increase in the Czech Republic (up € 283 million) and Romania (up € 235 million), was
contrasted by a decrease in Russia (down € 1,379 million), mainly in working capital financing and corporate loans, and at head
office (down € 762 million), here mostly due to loan repayments. Loans to households decreased € 1,296 million, primarily in
Russia (down € 1,294 million), and also in Poland (down € 733 million) mainly due to higher allocations for credit-linked and
portfoliobased litigation provisions in connection with mortgage loans denominated in foreign currencies (CHF), which was
partly offset by increases in other countries of the group, especially in Austria (Raiffeisen Bausparkasse Gesellschaft m.b.H.; up
€ 343 million) and in Croatia (up € 164 million). The decrease of short-term business (down € 1,819 million) resulted primarily
from head office (down € 1,629 million), mainly due to loan repayments.
In addition, there are financial assets – amortized cost of € 477 million in Russia from payments by issuers of local debt
instruments that cannot currently be passed on to foreign investors due to existing US and EU sanctions and must therefore be
deposited with the Russian Deposit Insurance Agency. They are not available for general use by head office.
RBI’s credit portfolio is well diversified in terms of type of customer, geographical region, and industry. The following tables
show the financial assets – amortized cost, by counterparty. This reveals the bank’s focus on non-financial corporations and
households.
80 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Gross carrying amount

| 2023 | 2022
in € million | Stage 1 | Stage 2 | Stage 3 | POCI | Stage 1 | Stage 2 | Stage 3 | POCI
Central banks | 7,615 | 250 | 0 | 0 | 8,680 | 138 | 0 | 0
General governments | 22,696 | 596 | 178 | 0 | 15,653 | 954 | 169 | 0
Banks | 8,823 | 883 | 4 | 0 | 9,236 | 342 | 4 | 0
Other financial corporations | 9,073 | 2,208 | 286 | 106 | 10,010 | 2,311 | 75 | 100
Non-financial corporations | 38,499 | 8,993 | 1,741 | 120 | 38,774 | 10,802 | 1,477 | 135
Households | 30,999 | 8,215 | 1,007 | 115 | 33,385 | 7,135 | 1,047 | 134
hereof mortgage | 20,729 | 6,257 | 361 | 76 | 22,770 | 5,463 | 385 | 90
Total | 117,704 | 21,144 | 3,217 | 340 | 115,737 | 21,681 | 2,772 | 370

Accumulated impairment

| 2023 | 2022
in € million | Stage 1 | Stage 2 | Stage 3 | POCI | Stage 1 | Stage 2 | Stage 3 | POCI
Central banks | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
General governments | (57) | (31) | (5) | 0 | (5) | (42) | (5) | 0
Banks | (1) | (2) | (2) | 0 | (1) | (9) | (4) | 0
Other financial corporations | (11) | (100) | (89) | (26) | (15) | (136) | (34) | (15)
Non-financial corporations | (179) | (497) | (926) | (52) | (165) | (495) | (941) | (66)
Households | (123) | (324) | (649) | (29) | (145) | (327) | (688) | (36)
hereof mortgage | (20) | (132) | (173) | (17) | (35) | (140) | (201) | (23)
Total | (371) | (954) | (1,670) | (107) | (332) | (1,010) | (1,671) | (117)

ECL coverage ratio

| 2023 | 2022
| Stage 1 | Stage 2 | Stage 3 | POCI | Stage 1 | Stage 2 | Stage 3 | POCI
Central banks | 0.0% | 0.1% | - | - | 0.0% | 0.0% | - | -
General governments | 0.2% | 5.2% | 2.7% | 1.2% | 0.0% | 4.4% | 3.0% | 0.0%
Banks | 0.0% | 0.2% | 34.4% | - | 0.0% | 2.6% | 81.9% | -
Other financial corporations | 0.1% | 4.5% | 31.0% | 24.7% | 0.2% | 5.9% | 44.7% | 15.0%
Non-financial corporations | 0.5% | 5.5% | 53.2% | 43.2% | 0.4% | 4.6% | 63.7% | 48.7%
Households | 0.4% | 3.9% | 64.5% | 25.6% | 0.4% | 4.6% | 65.7% | 26.9%
hereof mortgage | 0.1% | 2.1% | 47.8% | 22.8% | 0.2% | 2.6% | 52.2% | 25.5%
Total | 0.3% | 4.5% | 51.9% | 31.5% | 0.3% | 4.7% | 60.3% | 31.7%

The following breakdown of financial assets – amortized cost by region shows the high level of diversification of RBI’s credit
business in the European markets:
Gross carrying amount

| 2023 | 2022
in € million | Stage 1 | Stage 2 | Stage 3 | POCI | Stage 1 | Stage 2 | Stage 3 | POCI
Central Europe | 45,395 | 7,957 | 725 | 64 | 42,072 | 8,792 | 738 | 71
hereof Czech Republic | 23,269 | 4,613 | 234 | 27 | 21,502 | 4,384 | 217 | 28
hereof Hungary | 5,396 | 1,665 | 136 | 14 | 5,079 | 1,619 | 159 | 13
hereof Slovakia | 16,054 | 1,495 | 225 | 10 | 14,214 | 2,327 | 223 | 10
Southeastern Europe | 21,881 | 2,927 | 520 | 113 | 20,305 | 2,173 | 500 | 133
hereof Romania | 9,441 | 1,054 | 203 | 43 | 9,041 | 998 | 194 | 46
Eastern Europe | 11,354 | 5,391 | 487 | 46 | 13,708 | 6,668 | 659 | 56
hereof Russia | 8,261 | 4,452 | 237 | 29 | 10,884 | 5,255 | 370 | 38
Austria and other 1 | 39,073 | 4,869 | 1,484 | 117 | 39,652 | 4,048 | 876 | 110
Total | 117,704 | 21,144 | 3,217 | 340 | 115,737 | 21,681 | 2,772 | 370
1 Austria mainly includes the business of the head office and Raiffeisen Bausparkasse Gesellschaft m.b.H. Other also includes any consolidation effects.

Consolidated financial statements 81
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Accumulated impairment

| 2023 | 2022
in € million | Stage 1 | Stage 2 | Stage 3 | POCI | Stage 1 | Stage 2 | Stage 3 | POCI
Central Europe | (129) | (237) | (413) | (14) | (120) | (251) | (428) | (14)
hereof Czech Republic | (38) | (88) | (115) | 6 | (44) | (80) | (110) | 11
hereof Hungary | (29) | (81) | (62) | (5) | (29) | (79) | (61) | (6)
hereof Slovakia | (59) | (55) | (128) | (5) | (41) | (61) | (139) | (5)
Southeastern Europe | (99) | (160) | (345) | (49) | (111) | (165) | (352) | (63)
hereof Romania | (47) | (54) | (133) | (13) | (55) | (64) | (136) | (15)
Eastern Europe | (110) | (429) | (376) | (11) | (52) | (426) | (438) | (23)
hereof Russia | (18) | (336) | (192) | (3) | (25) | (310) | (262) | (13)
Austria and other 1 | (34) | (128) | (536) | (32) | (49) | (167) | (453) | (18)
Total | (371) | (954) | (1,670) | (107) | (332) | (1,010) | (1,671) | (117)
1 Austria mainly includes the business of the head office and Raiffeisen Bausparkasse Gesellschaft m.b.H. Other also includes any consolidation effects.

ECL coverage ratio

| 2023 | 2022
| Stage 1 | Stage 2 | Stage 3 | POCI | Stage 1 | Stage 2 | Stage 3 | POCI
Central Europe | 0.3% | 3.0% | 56.9% | 22.4% | 0.3% | 2.9% | 58.1% | 18.9%
hereof Czech Republic | 0.2% | 1.9% | 49.0% | - | 0.2% | 1.8% | 50.6% | -
hereof Hungary | 0.5% | 4.9% | 45.4% | 39.4% | 0.6% | 4.9% | 38.1% | 45.3%
hereof Slovakia | 0.4% | 3.7% | 57.1% | 55.3% | 0.3% | 2.6% | 62.1% | 54.7%
Southeastern Europe | 0.5% | 5.5% | 66.3% | 43.6% | 0.5% | 7.6% | 70.4% | 47.0%
hereof Romania | 0.5% | 5.1% | 65.8% | 30.6% | 0.6% | 6.4% | 70.1% | 33.4%
Eastern Europe | 1.0% | 8.0% | 77.2% | 24.9% | 0.4% | 6.4% | 66.4% | 41.3%
hereof Russia | 0.2% | 7.5% | 81.0% | 11.3% | 0.2% | 5.9% | 70.8% | 35.1%
Austria and other 1 | 0.1% | 2.6% | 36.1% | 27.4% | 0.1% | 4.1% | 51.7% | 16.5%
Total | 0.3% | 4.5% | 51.9% | 31.5% | 0.3% | 4.7% | 60.3% | 31.7%
1 Austria mainly includes the business of the head office and Raiffeisen Bausparkasse Gesellschaft m.b.H. Other also includes any consolidation effects.

Stage 1 amounts include assets of € 18,845 million (previous year: € 11,915 million), for which the low credit risk exemption has
been used, of which € 17,578 million (previous year: € 10,600 million) are accounted for as financial assets – amortized cost and
€ 1,267 million (previous year: € 1.315 million) as financial assets - fair value through other comprehensive income.
RBI has loans and advances (financial assets – amortized cost) in the amount of € 1,722 million (previous year: € 987 million)
with no expected credit losses due to collateral.
Development of impairments
Development of impairments on loans and bonds in the measurement categories of financial assets – amortized cost, financial
assets – fair value through other comprehensive income and other demand deposits at banks:

| Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL | Lifetime ECL |
As at 1/1/2023 | 333 | 1,026 | 1,673 | 117 | 3,150
Increases due to origination and acquisition | 277 | 148 | 15 | 0 | 440
Decreases due to derecognition | (76) | (189) | (287) | (20) | (573)
Changes due to change in credit risk (net) | (110) | (58) | 603 | 16 | 451
Changes due to modifications without derecognition (net) | 0 | 0 | 4 | (1) | 3
Decrease due to write-offs | (1) | (4) | (290) | (9) | (304)
Changes due to model/risk parameters | 5 | 34 | 5 | 0 | 44
Change in consolidated group | 0 | 4 | 1 | (4) | 1
Foreign exchange and other | (56) | 18 | (52) | 8 | (83)
As at 31/12/2023 | 372 | 978 | 1,673 | 107 | 3,130
hereof fair value through other comprehensive income | 1 | 9 | 2 | 0 | 12
hereof other demand deposits at banks | 0 | 15 | 1 | 0 | 16

82 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL | Lifetime ECL |
As at 1/1/2022 | 196 | 687 | 1,567 | 118 | 2,569
Increases due to origination and acquisition | 139 | 123 | 20 | 0 | 282
Decreases due to derecognition | (41) | (124) | (289) | (30) | (484)
Changes due to change in credit risk (net) | 81 | 314 | 564 | 24 | 982
Changes due to modifications without derecognition (net) | 0 | (1) | 1 | 0 | 0
Decrease due to write-offs | (1) | (3) | (196) | (10) | (210)
Changes due to model/risk parameters | (3) | 14 | (10) | 1 | 3
Change in consolidated group | 3 | 3 | 0 | 14 | 19
Foreign exchange and other | (41) | 13 | 16 | 1 | (11)
As at 31/12/2022 | 333 | 1,026 | 1,673 | 117 | 3,150
hereof fair value through other comprehensive income | 1 | 1 | 0 | 0 | 1
hereof other demand deposits at banks | 0 | 0 | 1 | 0 | 1

Carrying amounts of financial assets – amortized cost by rating categories and stages
The credit quality analysis of financial assets is a point in time assessment of the probability of default of the assets.
· Excellent are exposures which demonstrate a strong capacity to meet financial commitments, with negligible or no
probability of default (Non-retail PD range >0.0000 ≤ 0.0300 per cent and retail PD range >0.00 ≤ 0.17 per cent).
· Strong are exposures which demonstrate a strong capacity to meet financial commitments, with negligible or low
probability of default (Non-retail PD range >0.0300 ≤ 0.1878 per cent and retail PD range >0.17 ≤ 0.35 per cent).
· Good are exposures which demonstrate a good capacity to meet financial commitments, with low default risk (Non-
retail PD range >0.1878 ≤ 1.1735 per cent and retail PD range >0.35 ≤ 1.37 cent).
· Satisfactory are exposures which require closer monitoring and demonstrate an average to fair capacity to meet
financial commitments, with moderate default risk (Non-retail PD range >1.1735 ≤ 7.3344 per cent and retail PD range
>1.37 ≤ 7.28 per cent).
· Substandard are exposures which require varying degrees of special attention and default risk is of greater concern
(Non-retail PD range >7.3344 < 100.0 per cent and retail PD range >7.28 < 100.0 per cent).
· Credit-impaired are exposures which have been assessed as impaired (PD range 100.0 per cent for both Non-retail
and retail).
The following table shows the connection between the rating categories and stages according to IFRS 9. It should be noted
that for financial assets in Stages 1 and 2, due to the relative nature of a significant increase in credit risk, it is not necessarily
the case that Stage 2 assets have a lower credit rating than Stage 1 assets, although this is normally the case.

2023 | Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL | Lifetime ECL |
Excellent | 15,951 | 807 | 0 | 0 | 16,758
Strong | 35,954 | 3,344 | 0 | 1 | 39,299
Good | 41,001 | 7,000 | 0 | 7 | 48,008
Satisfactory | 19,653 | 6,110 | 0 | 15 | 25,778
Substandard | 2,602 | 2,949 | 0 | 10 | 5,560
Credit impaired | 0 | 0 | 3,153 | 290 | 3,443
Not rated | 2,544 | 935 | 63 | 17 | 3,560
Gross carrying amount | 117,704 | 21,144 | 3,217 | 340 | 142,405
Accumulated impairment | (371) | (954) | (1,670) | (107) | (3,102)
Carrying amount | 117,333 | 20,190 | 1,547 | 233 | 139,302

Consolidated financial statements 83
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL | Lifetime ECL |
Excellent | 18,434 | 601 | 0 | 0 | 19,035
Strong | 37,450 | 3,772 | 0 | 4 | 41,226
Good | 35,444 | 6,956 | 0 | 6 | 42,406
Satisfactory | 19,230 | 6,738 | 0 | 13 | 25,982
Substandard | 2,212 | 3,322 | 0 | 20 | 5,553
Credit impaired | 0 | 0 | 2,667 | 304 | 2,970
Not rated | 2,966 | 292 | 106 | 24 | 3,388
Gross carrying amount | 115,737 | 21,681 | 2,772 | 370 | 140,561
Accumulated impairment | (332) | (1,010) | (1,671) | (117) | (3,130)
Carrying amount | 115,405 | 20,672 | 1,101 | 253 | 137,431

The category not rated mainly includes financial assets for households (predominantly in Serbia, Slovakia, and Croatia), for
whom no ratings are available. The rating is therefore based on qualitative factors.
(14) Modified assets
If a financial asset is modified, RBI distinguishes between substantial and non-substantial modifications of financial assets. In
RBI, terms are substantially modified if the discounted present value of the cash flows under the new terms using the original
effective interest rate differs by at least 10 per cent from the discounted present value of the remaining cash flows of the
original financial asset (present value test). In addition to the present value test further quantitative and qualitative criteria are
considered to assess whether a substantial modification applies. The other quantitative criteria primarily consider the
extension of the average remaining term. Stage 3 loans are often restructured to match the maximum expected payments
from the customer. If this is the case, then additional judgement is required to determine whether the contractual change is a
new instrument in economic terms. RBI has defined qualitative criteria for a significant change in the terms of the contract as
a change in the underlying currency and also the introduction of clauses that would normally cause the contractual cash flow
criteria according to IFRS 9 to fail, or a change in the type of instrument (e.g. a bond is converted to a loan).
If the modifications are substantial, the existing asset is derecognized, and a new financial instrument is recognized at its fair
value (including new classification and new stage allocation for impairment purposes). Non-substantial modifications do not
lead to derecognition, but to an adjustment to the gross carrying amount through profit and loss.
Due to the negative economic environment, such as high inflation, supply chain issues or the interest rate reversal, the net
modification effects were increased in the reporting year 2023. Mainly driven by the government interventions in the level of
the interest rates in Serbia and Hungary. Net modification effects increased year-on-year to minus € 27 million.

2023 | Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million
Net modifications gains/losses of financial assets | (9) | (8) | (8) | (1) | (27)
Amortized cost before the modification of financial assets | 3,039 | 1,163 | 148 | 3 | 4,353
Gross carrying amount of modified assets as at 31/12, which moved to Stage 1 during the year | 0 | 0 | 0 | 0 | 0

2022 | Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million
Net modifications gains/losses of financial assets | (7) | 1 | (3) | (1) | (11)
Amortized cost before the modification of financial assets | 4,177 | 1,622 | 97 | 8 | 5,904
Gross carrying amount of modified assets as at 31/12, which moved to Stage 1 during the year | 0 | 43 | 0 | 0 | 43

84 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(15) Financial liabilities - amortized cost
Liabilities are predominantly recognized at amortized cost. For differences between the amount paid and face value, the
effective interest method is applied, and the amounts are shown in net interest income. This category mainly includes
customer deposits and securities issues for refinancing purposes.
Issued subordinated capital and supplementary capital are shown either in financial liabilities – amortized cost or financial
liabilities – designated fair value through profit/loss. Securitized and non-securitized assets are subordinated if, in the event of
liquidation or bankruptcy, they can only be met after the claims of the other – not subordinated – creditors have been
satisfied. Supplementary capital is defined according to Article 63 of the regulation (EU) No 575/2013 (CRR). Corresponding
instruments have an original maturity of at least five years, are of subordinate nature and are, among others, not allowed to
contain an incentive to early redeem, a right of the investor to accelerate repayment or credit standing linked features that
amend the level of dividend and/or interest payments of the issuer.

in € million | 2023 | 2022
Deposits from banks | 26,124 | 33,612
Current accounts/overnight deposits | 13,613 | 13,552
Deposits with agreed maturity | 9,969 | 17,590
Repurchase agreements | 2,542 | 2,470
Deposits from customers | 119,331 | 125,017
Current accounts/overnight deposits | 84,111 | 93,686
Deposits with agreed maturity | 34,451 | 31,214
Repurchase agreements | 769 | 117
Debt securities issued | 17,772 | 14,559
Covered bonds | 3,881 | 2,494
Hybrid contracts | 499 | 483
Other debt securities issued | 13,391 | 11,583
hereof convertible compound financial instruments | 1,926 | 1,348
hereof non-convertible | 11,465 | 10,235
Other financial liabilities | 1,484 | 1,955
Total | 164,711 | 175,142
hereof subordinated financial liabilities | 2,167 | 2,614
hereof lease liabilities | 371 | 394

Deposits with agreed maturity from banks decreased mainly in head office by € 7,045 million as well as in Slovakia by € 773
million. In both cases the decline resulted from repayments of TLTRO instruments. During the reporting period an amount of
€ 4,925 million was repaid in head office and an amount of € 890 million was repaid in Slovakia. As at the reporting date, the
Group still holds volumes of € 2,200 million due in March 2024 and € 37 million due in December 2024. The carrying amount
included in deposits from banks in this context was € 2,285 million. For further information on the accounting treatment of the
TLTRO III instruments, please refer to the 2022 Annual Report, note (15) Financial liabilities - amortized cost.
Current accounts/overnight deposits from customers declined by € 9,575 million. Particularly noteworthy in this development is
an exchange rate effect from Russia amounting to € 4,054 million, which further accelerated the downward trend. An opposite
development emerged in deposits with agreed maturity. The increase in this position amounted to € 3,237 million. Declines in
head office (decrease: € 1,397 million) and Russia (decrease: € 838 million) counteracted this development.
Covered bonds increased by € 1,041 million in head office and by € 502 million in Slovakia. Issuances from head office (increase:
€ 889 million), Slovakia (increase: € 335 million) and Croatia (increase: € 256 million) were the main drivers of the increase in
non-convertible, securitized liabilities. Other financia l liabilities mainly declined in Russia due to suspense and transit items.
Consolidated financial statements 85
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Deposits from banks and customers by asset classes:

in € million | 2023 | 2022
Central banks | 2,987 | 8,915
General governments | 3,698 | 2,892
Banks | 23,137 | 24,697
Other financial corporations | 12,097 | 13,208
Non-financial corporations | 45,084 | 50,041
Households | 58,452 | 58,876
Total | 145,455 | 158,629

Liabilities against central banks declined in head office by € 5,021 million. Liabilities against non-financial corporations declined
mainly in Russia (decrease: € 3,386 million) and head office (decrease: € 3,169 million).
Principal debt securities issued:

Issuer | ISIN | Type | Currency | Nominal value in € million | Coupon | Due | Call redemption date
RBI AG | XS2579606927 | Senior public placement | EUR | 1,000 | 4.8% | 26/01/2027 | 26/01/2026
RBI AG | XS2146564930 | Senior private placement | EUR | 800 | 4.1% | 27/03/2025 | No
RBI AG | XS2106056653 | Senior public placement | EUR | 750 | 0.3% | 22/01/2025 | No
RBI AG | XS2055627538 | Senior public placement | EUR | 750 | 0.4% | 25/09/2026 | No
RBI AG | XS2526835694 | Senior public placement | EUR | 500 | 4.1% | 08/09/2025 | No
TBSK | SK4000022430 | Senior private placement | EUR | 500 | 3.4% | 31/01/2026 | No
RBI AG | XS2596528716 | Senior public placement | EUR | 500 | 3.9% | 16/03/2026 | No
RBI AG | XS2537097409 | Senior public placement | EUR | 500 | 2.9% | 28/09/2026 | No
RBI AG | XS2481491160 | Senior public placement | EUR | 500 | 1.5% | 24/05/2027 | No
RBI AG | XS2626022656 | Senior public placement | EUR | 500 | 3.4% | 27/09/2027 | No
RBI AG | XS2435783613 | Senior public placement | EUR | 500 | 0.1% | 26/01/2028 | No
RBI AG | XS2547936984 | Senior public placement | EUR | 500 | 5.8% | 27/01/2028 | No
RBI AG | XS2682093526 | Senior public placement | EUR | 500 | 6.0% | 15/09/2028 | 15/09/2027
RBI AG | XS2086861437 | Senior public placement | EUR | 500 | 0.1% | 03/12/2029 | No
RBI AG | XS2049823763 | Subordinated | EUR | 500 | 1.5% | 12/03/2030 | 12/03/2025
RBI AG | XS2189786226 | Subordinated | EUR | 500 | 2.9% | 18/06/2032 | 18/06/2027
RBI AG | XS2534786590 | Subordinated | EUR | 500 | 7.4% | 20/12/2032 | 20/09/2027
RBI AG | XS2353473692 | Subordinated | EUR | 500 | 1.4% | 17/06/2033 | 17/03/2028

In the reporting period, expenses for subordinated liabilities amounted to € 103 million (previous year: € 101 million).
Development of subordinated financial liabilities in the measurement categories of amortized cost and designated at fair
value through profit/loss:

in € million |
Carrying amount as at 1/1/2022 | 3,165
Change in carrying amount | (462)
hereof cash | (228)
hereof effect of exchange rate changes | (26)
hereof changes of fair value | (208)
Carrying amount as at 31/12/2022 | 2,703
Change in carrying amount | (536)
hereof cash | (582)
hereof effect of exchange rate changes | (3)
hereof changes of fair value | 49
Carrying amount as at 31/12/2023 | 2,167

86 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(16) Fair value of financial instruments not reported at fair value
For the following instruments, the fair value is calculated only for the purposes of providing information in the notes and has
no impact on the consolidated statement of financial position or on the consolidated income statement. A simplified fair value
calculation method for retail and non-retail portfolios is applied for all short-term transactions (transactions with maturities
up to three months). The fair value of these short-term transactions will be equal to the carrying amount of the product. For
the other transactions, the methodology as described in the section entitled Fair value of financial instruments reported at fair
value is applied.

2023 |  |  |  |  |  |
in € million | Level I | Level II | Level III | Fair value | Carrying amount | Difference
Assets |  |  |  |  |  |
Cash, balances at central banks and other demand deposits | 0 | 43,234 | 0 | 43,234 | 43,234 | 0
Financial assets - amortized cost | 21,474 | 2,246 | 113,497 | 137,217 | 139,302 | (2,085)
Debt securities | 21,474 | 2,246 | 1,862 | 25,582 | 25,723 | (141)
Loans and advances | 0 | 0 | 111,636 | 111,636 | 113,580 | (1,944)
Equity and liabilities |  |  |  |  |  |
Financial liabilities - amortized cost | 834 | 15,398 | 147,236 | 163,468 | 164,339 | (871)
Deposits from banks and customers¹ | 0 | 0 | 144,287 | 144,287 | 145,084 | (797)
Debt securities issued | 834 | 15,398 | 1,465 | 17,697 | 17,772 | (75)
Other financial liabilities | 0 | 0 | 1,484 | 1,484 | 1,484 | 0
1 Not including lease liabilities in accordance with IFRS 7 Level I Quoted market prices Level II Valuation techniques based on market data Level III Valuation techniques not based on market data

2022 |  |  |  |  |  |
in € million | Level I | Level II | Level III | Fair value | Carrying amount | Difference
Assets |  |  |  |  |  |
Cash, balances at central banks and other demand deposits | 0 | 53,683 | 0 | 53,683 | 53,683 | 0
Financial assets - amortized cost | 15,260 | 1,452 | 116,767 | 133,479 | 137,431 | (3,951)
Debt securities | 15,260 | 1,452 | 1,426 | 18,138 | 18,960 | (822)
Loans and advances | 0 | 0 | 115,341 | 115,341 | 118,471 | (3,130)
Equity and liabilities |  |  |  |  |  | 0
Financial liabilities - amortized cost | 263 | 12,915 | 160,571 | 173,749 | 174,748 | (999)
Deposits from banks and customers¹ | 0 | 0 | 157,675 | 157,675 | 158,235 | (560)
Debt securities issued² | 263 | 12,915 | 942 | 14,120 | 14,559 | (439)
Other financial liabilities | 0 | 0 | 1,955 | 1,955 | 1,955 | 0
1 Not including lease liabilities in accordance with IFRS 7 Level I Quoted market prices Level II Valuation techniques based on market data Level III Valuation techniques not based on market data
2 Previous-year figures adapted

Consolidated financial statements 87
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Financial assets measured at fair value
(17) Financial assets – fair value through other comprehensive income
In RBI, a debt instrument is measured at fair value through other comprehensive income if both of the following conditions are
met:
· A financial asset is held within a business model whose objective is both collecting contractual cash flows and selling
financial assets.
· The contractual terms of the financial asset rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.
Securities for the purpose of liquidity management are particularly assigned to this category.
Recognition is at fair value. Interest income, foreign exchange gains and losses from remeasurements and impairment
expenses and reversals of impairment are recorded in the income statement and calculated in the same way as financial
assets measured at amortized cost. The remaining fair value changes are recorded in other comprehensive income. On
derecognition, the cumulative net gains or losses from the fair value changes which are recorded in other comprehensive
income are reclassified to the income statement. Details on the applied impairment model are shown in the section general
rules on impairment (IFRS 9).
In RBI, an equity instrument is shown at fair value through other comprehensive income if RBI irrevocably decides on initial
recognition to present subsequent changes in fair value in other comprehensive income (OCI). This decision is made on an
investment-by-investment basis for each investment and essentially covers strategic investments that are not fully
consolidated and investments in associates not valued at equity. In contrast to debt instruments, the gains and losses
recorded in other comprehensive income (OCI) are not reclassified to the income statement on sale; impairments are not
recorded through profit or loss, either.

2023 | Gross carrying amount | Accumulated impairment | Cumulative other comprehensive income | Carrying amount
in € million
Equity instruments | 182 | – | 0 | 182
Other financial corporations | 101 | – | 0 | 101
Non-financial corporations | 81 | – | 0 | 81
Debt securities | 2,864 | (12) | (42) | 2,810
General governments | 1,981 | (9) | (33) | 1,939
Banks | 748 | (1) | (8) | 740
Other financial corporations | 3 | 0 | 0 | 3
Non-financial corporations | 132 | (3) | (1) | 128
Total | 3,045 | (12) | (42) | 2,992

2022 | Gross carrying amount | Accumulated impairment | Cumulative other comprehensive income | Carrying amount
in € million
Equity instruments | 169 | – | 0 | 169
Other financial corporations | 99 | – | 0 | 99
Non-financial corporations | 69 | – | 0 | 69
Debt securities | 3,160 | (15) | (111) | 3,034
General governments | 2,291 | (13) | (92) | 2,186
Banks | 730 | 0 | (13) | 717
Other financial corporations | 3 | 0 | 0 | 3
Non-financial corporations | 136 | (1) | (6) | 128
Total | 3,328 | (15) | (111) | 3,203

The carrying amount decreased due to sale and redemptions of debt securities mainly in Croatia and Serbia, compensated by
purchases of government bonds in Hungary and the Ukraine.
88 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Equity instruments in financial assets – fair value through other comprehensive income:

in € million | 2023 | 2022
Visa Inc., San Francisco (US), Class A Preferred Stock | 17 | 18
CEESEG Aktiengesellschaft, Vienna (AT), ordinary shares | 25 | 26
Medicur - Holding Gesellschaft m.b.H., Vienna (AT), company shares | 19 | 18
HOBEX AG, Salzburg (AT), company shares | 9 | 7
PSA Payment Services Austria GmbH, Vienna (AT), company shares | 7 | 6
Other | 104 | 93
Total | 182 | 169
Dividends paid on equity instruments - fair value through other comprehensive income | 8 | 9

Carrying amounts of financial assets – fair value through other comprehensive
income, excluding equity instruments, by rating categories and stages

2023 | Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL | Lifetime ECL |
Excellent | 371 | 4 | 0 | 0 | 375
Strong | 1,005 | 8 | 0 | 0 | 1,013
Good | 1,215 | 170 | 0 | 0 | 1,385
Satisfactory | 2 | 3 | 0 | 0 | 6
Substandard | 0 | 64 | 0 | 0 | 64
Credit impaired | 0 | 0 | 2 | 0 | 2
Not rated | 18 | 0 | 0 | 0 | 18
Gross carrying amount | 2,611 | 250 | 2 | 0 | 2,864
Accumulated impairment | (1) | (9) | (2) | 0 | (12)
Cumulative other comprehensive income | (46) | 4 | 0 | 0 | (42)
Carrying amount | 2,564 | 244 | 1 | 0 | 2,810

2022 | Stage 1 | Stage 2 | Stage 3 | POCI | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL | Lifetime ECL |
Excellent | 587 | 0 | 0 | 0 | 587
Strong | 1,676 | 0 | 0 | 0 | 1,676
Good | 714 | 2 | 0 | 0 | 716
Satisfactory | 0 | 27 | 0 | 0 | 27
Substandard | 0 | 132 | 0 | 0 | 132
Credit impaired | 0 | 0 | 2 | 0 | 2
Not rated | 19 | 0 | 0 | 0 | 19
Gross carrying amount | 2,997 | 160 | 2 | 0 | 3,160
Accumulated impairment | (1) | (13) | (1) | 0 | (15)
Cumulative other comprehensive income | (115) | 3 | 0 | 0 | (111)
Carrying amount | 2,881 | 150 | 2 | 0 | 3,034

(18) Non-trading financial assets - mandatorily fair value through profit/loss
In RBI, a financial asset is mandatorily measured at fair value if the financial asset is managed neither at amortized cost nor at
fair value through other comprehensive income, and if there is no intention to trade and the asset was not voluntarily
designated at fair value. Essentially, this concerns securities and loans which do not pass the contractual cash flow
characteristics analysis and portfolios of financial assets which are not held for trading, which are managed at fair value and
whose performance is assessed.
Consolidated financial statements 89
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | 2023 | 2022
Equity instruments | 8 | 6
Other financial corporations | 7 | 6
Non-financial corporations | 1 | 0
Debt securities | 374 | 276
General governments | 146 | 69
Banks | 25 | 12
Other financial corporations | 185 | 182
Non-financial corporations | 18 | 12
Loans and advances | 567 | 475
General governments | 1 | 1
Banks | 2 | 2
Other financial corporations | 24 | 30
Non-financial corporations | 76 | 80
Households | 464 | 362
Total | 949 | 757

(19) Financial assets and liabilities – designated fair value through profit/
loss
This category comprises mainly all those financial assets that are irrevocably designated as financial instruments at fair value
(so-called fair value option) upon initial recognition in the statement of financial position. An entity may use this designation
only when doing so eliminates or significantly reduces incongruities in measurement or recognition. These arise if the
measurement of financial assets or liabilities or the recognition of resulting gains or losses has a different basis.
Financial liabilities are also designated as financial instruments at fair value to avoid valuation discrepancies with related
derivatives. The fair value of financial obligations under the fair value option in this category reflects all market risk factors,
including those related to the credit risk of the issuer.
The financial liabilities are mostly structured bonds. The fair value of these financial liabilities is calculated by discounting the
contractual cash flows with a credit risk-adjusted yield curve, which reflects the level at which the Group could issue similar
financial instruments at the reporting date. The market risk parameters are determined based on similar financial instruments.
Valuation results for liabilities that are designated as a financial instrument at fair value are recognized in net trading income
and fair value result.
Interest income is shown in net interest income; valuation results and proceeds from disposals are shown in net trading income
and fair value result. For financial liabilities designated at fair value through profit or loss, changes in fair value attributable to
a change in own credit risk is not reported in the income statement but in other comprehensive income.
Financial assets - designated fair value through profit/loss

in € million | 2023 | 2022
Debt securities | 185 | 84
General governments | 155 | 43
Banks | 22 | 26
Non-financial corporations | 8 | 15
Total | 185 | 84

90 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Financial liabilities – designated fair value through profit/loss

in € million | 2023 | 2022
Deposits from banks | 20 | 29
Deposits with agreed maturity | 20 | 29
Deposits from customers | 22 | 82
Deposits with agreed maturity | 22 | 82
Debt securities issued | 1,046 | 839
Hybrid contracts | 1 | 1
Other debt securities issued | 1,046 | 838
hereof non-convertible | 1,046 | 838
Total | 1,088 | 950
hereof subordinated financial liabilities | 0 | 89

(20) Financial assets – held for trading
Financial assets and liabilities – held for trading are acquired or incurred principally for the purpose of generating profit from
short-term fluctuations in market prices. Securities and derivative financial instruments held for trading are recognized at fair
value. If securities are listed, the fair value is based on stock exchange prices. Where such prices are not available, internal
prices based on present value calculations for originated financial instruments and futures or option pricing models for options
are applied. Present value calculations are based on an interest rate curve which consists of money market rates, future rates,
and swap rates.
Positive fair values are shown under financial assets – held for trading. Negative fair values are shown under financial liabilities
– held for trading. Changes in fair value are shown in net trading income. Derivatives held for hedging purposes pursuant to
IAS 39 are shown in the statement of financial position under the item hedge accounting. In addition, any liabilities from the
short-selling of securities are shown in financial liabilities – held for trading.
Capital guaranteed products (guarantee funds and pension plans) are shown as sold put options on the respective funds to be
guaranteed. The Group has provided capital guarantee obligations as part of the government-funded state-subsidized
pension plans according to § 108h (1) item 3 EStG (Austrian Income Tax Act). The bank guarantees that the retirement annuity,
available for the payment amount is not less than the sum of the amounts paid by the taxpayer plus credits for such taxable
premiums within the meaning of § 108g EStG.
Interest income is shown in net interest income, valuation results and proceeds from disposals are shown in net trading income
and fair value result.

in € million | 2023 | 2022
Derivatives | 3,774 | 5,059
Interest rate contracts | 2,719 | 3,912
Equity contracts | 201 | 35
Foreign exchange rate and gold contracts | 797 | 1,075
Credit contracts | 26 | 11
Commodities | 1 | 3
Other | 31 | 23
Equity instruments | 426 | 287
Banks | 50 | 37
Other financial corporations | 126 | 100
Non-financial corporations | 250 | 149
Debt securities | 1,583 | 1,064
Central banks | 64 | 0
General governments | 1,210 | 719
Banks | 224 | 211
Other financial corporations | 22 | 63
Non-financial corporations | 64 | 71
Loans and advances | 0 | 0
Total | 5,783 | 6,411

The reduction of € 628 million to € 5,783 million was mainly due to valuation effects and exchange rate fluctuations in
derivatives as well as a higher hedged volume, particularly in interest rate and foreign currency derivatives at head office.
Consolidated financial statements 91
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Within the item financial assets – held for trading, the securities provided as security, which the recipient is entitled to sell or
pledge, amounted to € 46 million (previous year: € 41 million).
Derivative financial instruments
Within the operating activity, RBI carries out transactions with derivative financial instruments for trading and hedging
purposes. RBI uses derivatives including swaps, standardized forward contracts, futures, credit derivatives, options, and similar
contracts. RBI uses derivatives to meet client requirements concerning their risk management, to manage and hedge risks and
to generate profit in proprietary trading. Derivatives are recognized at the time of the transaction at fair value and
subsequently revalued to fair value. The resulting valuation gain or loss is recognized in net trading income and fair value result
unless the derivative is designated as a hedging instrument for hedge accounting purposes and the hedge is effective. Here
the timing of the recognition of the gain or loss on the hedging instrument depends on the type of hedging relationship.
Derivatives which are used for hedging against market risk (excluding trading assets/liabilities) for a non-homogeneous
portfolio do not meet the conditions for IAS 39 hedge accounting. These are recognized as follows: the dirty price is booked
under the item financial assets – held for trading or financial liabilities – held for trading in the statement of financial position.
The change in value of these derivatives based on the clean price, is shown in net trading income and fair value result and
interest is shown in net interest income.
Credit derivatives, the value of which is dependent on future specified credit (non-)events are shown at fair value under the
item financial assets – held for trading or financial liabilities – held for trading. Changes in valuation are recognized under net
trading income and fair value result.

2023 | Nominal amount | Fair value
in € million |  | Assets | Equity and liabilities
Trading book | 186,235 | 3,468 | (3,168)
Interest rate contracts | 131,196 | 2,552 | (2,598)
Equity contracts | 5,057 | 201 | (2)
Foreign exchange rate and gold contracts | 47,559 | 656 | (541)
Credit contracts | 1,341 | 26 | (20)
Commodities | 21 | 1 | 0
Other | 1,061 | 31 | (7)
Banking book | 17,106 | 307 | (211)
Interest rate contracts | 11,945 | 167 | (88)
Foreign exchange rate and gold contracts | 5,141 | 140 | (109)
Credit contracts | 20 | 0 | (15)
Total | 203,341 | 3,774 | (3,379)
OTC products | 199,937 | 3,759 | (3,366)
Products traded on stock exchange | 3,404 | 15 | (13)

2022 | Nominal amount | Fair value
in € million |  | Assets | Equity and liabilities
Trading book | 149,831 | 4,601 | (4,552)
Interest rate contracts | 99,495 | 3,585 | (3,701)
Equity contracts | 4,375 | 35 | (2)
Foreign exchange rate and gold contracts | 43,414 | 944 | (825)
Credit contracts | 1,452 | 11 | (8)
Commodities | 35 | 3 | 0
Other | 1,060 | 23 | (16)
Banking book | 56,072 | 458 | (250)
Interest rate contracts | 48,590 | 326 | (195)
Foreign exchange rate and gold contracts | 7,466 | 131 | (52)
Credit contracts | 16 | 1 | (4)
Total | 205,902 | 5,059 | (4,802)
OTC products | 198,722 | 4,936 | (4,762)
Products traded on stock exchange | 4,618 | 87 | (13)

92 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(21) Financial liabilities - held for trading

in € million | 2023 | 2022
Derivatives | 3,379 | 4,802
Interest rate contracts | 2,686 | 3,896
Equity contracts | 2 | 2
Foreign exchange rate and gold contracts | 650 | 877
Credit contracts | 35 | 12
Commodities | 0 | 0
Other | 7 | 16
Short positions | 567 | 91
Equity instruments | 11 | 7
Debt securities | 556 | 83
Debt securities issued | 4,517 | 3,560
Hybrid contracts | 4,517 | 3,388
Other financial liabilities | 1 | 1
Total | 8,463 | 8,453

In the item derivatives was a reduction, which is due to valuation effects and exchange rate fluctuations, particularly in
interest rate and foreign currency derivatives at head office. However, there was an increase in the securitized liabilities item,
which is due to the increase in hybrid contracts at head office.
Details on valuation principles are shown under (20) Financial assets – held for trading.
(22) Hedge accounting and fair value adjustments of the hedged items in
portfolio hedge
IFRS 9 granted the accounting policy choice to continue the application of the provisions given in IAS 39 until the IASB finishes
its existing project of replacing the portfolio hedge accounting rules in IAS 39. RBI opted to use this policy choice and i still
applying the hedge accounting rules according to IAS in the version endorsed by the EU (EU carve-out). Notwithstanding that,
the changes in the disclosures in the notes pursuant to IFRS 7 are taken into account.
If hedging instruments, mainly derivatives, are held for the purpose of risk management and if the respective transactions
meet specific criteria, RBI designates them into hedge accounting relationships. This can occur in the way of fair value hedges,
cash flow hedges or net investment hedges. At the beginning of the hedging relationship, the relationship between underlying
and hedging instrument, including the risk management objectives, is documented. Furthermore, it is necessary to regularly
document from the beginning and during the lifetime of the hedging relationship that the fair value or cash flow hedge is
highly effective in respect of the offset of valuation changes between hedging instrument and hedged item.

in € million | 2023 | 2022
Positive fair values of derivatives in micro fair value hedge | 392 | 611
Interest rate contracts | 392 | 611
Positive fair values of derivatives in micro cash flow hedge | 1 | 1
Interest rate contracts | 1 | 1
Positive fair values of derivatives in net investment hedge | 5 | 4
Positive fair values of derivatives in portfolio hedge | 762 | 991
Cash flow hedge | 151 | 100
Fair value hedge | 611 | 891
Total | 1,160 | 1,608

in € million | 2023 | 2022
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (365) | (947)
Total | (365) | (947)

Consolidated financial statements 93
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | 2023 | 2022
Negative fair values of derivatives in micro fair value hedge | 491 | 605
Interest rate contracts | 491 | 605
Negative fair values of derivatives in micro cash flow hedge | 0 | 1
Interest rate contracts | 0 | 1
Negative fair values of derivatives in net investment hedge | 13 | 34
Negative fair values of derivatives in portfolio hedge | 962 | 1,414
Cash flow hedge | 107 | 87
Fair value hedge | 854 | 1,328
Total | 1,466 | 2,054

in € million | 2023 | 2022
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (514) | (1,217)
Total | (514) | (1,217)

Hedge accounting – additional information
Depending on the risk to be hedged, fair value and cash flow hedge accounting are used. The aim is to reduce the interest rate
risk and volatility in the income statement. Both types may be modeled at the micro level and in portfolios. Net investment
hedges are mainly applied to hedge the net investment risk against fluctuations in the Romanian leu, the Czech koruna, and
the Hungarian forint. Hedges on the net investment with respect to the fluctuations in the Russian rubel expired in the first
half-year of 2023.
In fair value hedges and cash flow hedges, various financial instruments are designated as hedged items in hedges. These
instruments consist mainly of loans and advances on the asset side and deposits on the liability side. Other items included in
hedge accounting relationships are debt securities and securitized liabilities. Most of the hedging instruments are interest rate
and foreign exchange contracts.
More information on RBI’s risk management strategy is provided in the risk report under (43) Market risk.
The effects of hedges on the statement of comprehensive income are included in (5) Net trading income, fair value result and
net gains/losses from hedge accounting, while those on the statement of changes in equity are included in (29) Equity and non-
controlling interests.
Hedge of a net investment in an economically independent operation (net investment
hedge)
In RBI, foreign exchange hedges of net investments in economically independent sub-units are executed to reduce differences
arising from the foreign currency translation on equity. FX Forwards are mainly used as hedging instruments. Where the hedge
is effective the resulting gains or losses from foreign currency translation are recognized in other comprehensive income and
shown separately in the statement of comprehensive income. Any ineffective part of the hedge is recognized in net trading
income. Any valuation part that is implied in FX Forwards due to the different interest rate differential on the two currencies is
shown in net trading income.
Hedging instruments
Breakdown of hedging instruments by type of hedge accounting at the level of nominal amounts, both in total and by
contractual termination, and at the level of the carrying amounts.

2023 | Nominal amount | Maturity | Carrying amount
in € million |  | Up to 3 months | More than 3 months, up to 1 year | 1 year, up to 5 years | More than 5 years | Assets | Liabilities
Interest rate contracts | 60,285 | 1,049 | 5,943 | 34,516 | 18,777 | 1,152 | 1,445
Cash flow hedge | 4,518 | 59 | 1,434 | 2,378 | 647 | 149 | 100
Fair value hedge | 55,767 | 990 | 4,509 | 32,138 | 18,130 | 1,003 | 1,345
Foreign exchange contracts | 1,771 | 0 | 63 | 291 | 1,417 | 8 | 20
Cash flow hedge | 321 | 0 | 51 | 234 | 36 | 3 | 7
Fair value hedge | 120 | 0 | 12 | 57 | 51 | 0 | 0
Net investment hedge | 1,330 | 0 | 0 | 0 | 1,330 | 5 | 13
Total | 62,055 | 1,049 | 6,006 | 34,806 | 20,195 | 1,160 | 1,466

94 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Nominal amount | Maturity | Carrying amount
in € million |  | Up to 3 months | More than 3 months, up to 1 year | 1 year, up to 5 years | More than 5 years | Assets | Liabilities
Interest rate contracts | 51,556 | 669 | 3,730 | 27,279 | 19,878 | 1,604 | 2,020
Cash flow hedge | 2,140 | 30 | 337 | 1,075 | 698 | 102 | 87
Fair value hedge | 49,416 | 639 | 3,393 | 26,204 | 19,180 | 1,502 | 1,933
Foreign exchange contracts | 1,114 | 0 | 0 | 91 | 1,023 | 4 | 34
Cash flow hedge | 125 | 0 | 0 | 91 | 34 | 0 | 0
Fair value hedge | 29 | 0 | 0 | 0 | 29 | 0 | 0
Net investment hedge | 960 | 0 | 0 | 0 | 960 | 4 | 34
Total | 52,670 | 669 | 3,730 | 27,369 | 20,902 | 1,608 | 2,054

Fair value hedges
Hedge accounting according to IAS 39 applies to those derivatives that are used to hedge the fair value of financial assets and
liabilities. The credit business is especially subject to such fair value risks if it deals with fixed-interest loans. Interest rate
swaps that satisfy the prerequisites for hedge accounting are contracted to hedge against the interest rate risks arising from
individual loans or refinancing. Thus, hedges are formally documented, continuously assessed, and tested to be highly effective.
Throughout the term of a hedge relationship, it can therefore be assumed that changes in the fair value of a hedged item will
be nearly completely offset by a change in the fair value of the hedging instrument and that the actual effectiveness outcome
will lie within a range of 80 to 125 per cent.
Derivative instruments held to hedge the fair value of individual items in the statement of financial position (except trading
derivatives) are recognized at fair value (dirty price) under the item hedge accounting (for assets: positive dirty prices; for
liabilities: negative dirty prices). Changes in the carrying amounts of hedged items (assets or liabilities) are allocated directly to
the corresponding items of the statement of financial position and reported separately in the notes.
Both the effect of changes in the carrying amounts of hedged items and the effects of changes in the clean prices of the
derivative instruments are recorded under net gains/losses from hedge accounting.
Within the management of interest rate risks, the hedging of interest rate risk is also undertaken on the portfolio level.
Individual transactions or groups of transactions with similar risk structures, divided into maturities according to the expected
repayment and interest rate adjustment date in a portfolio, are hedged. Portfolios can contain assets only, liabilities only, or
both. For hedge accounting, the change in the value of the hedged asset or liability is shown in net gains/losses from hedge
accounting. The hedged amount of the hedged items is determined in the consolidated financial statements including sight
deposits (the rules of the EU carve-out are therefore applied).
Details of the underlying transactions for fair value hedges:

2023 | Carrying amount of the hedged items | Accumulated amount of fair value adjustments of the hedged items | Changes in fair value of the hedged items 1
in € million | Assets | Liabilities | Assets | Liabilities |
Interest rate hedges | 27,363 | 25,198 | (829) | (1,151) | (189)
Debt securities | 11,253 | 0 | (406) | 0 | 688
Loans and advances | 16,110 | 0 | (423) | 0 | 383
Deposits | 0 | 12,173 | 0 | (641) | (779)
Debt securities issued | 0 | 13,025 | 0 | (510) | (482)
Other financial liabilities | 0 | 0 | 0 | 0 | 0
Foreign exchange hedges | 58 | 46 | (5) | (1) | 4
Other assets | 58 | 0 | (5) | 0 | 4
Other liabilities | 0 | 46 | 0 | (1) | 0
Total | 27,420 | 25,244 | (833) | (1,152) | (185)
1 Fair value changes in the underlying transactions which were used in the reporting period to calculate ineffectiveness

Consolidated financial statements 95
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Carrying amount of the hedged items | Accumulated amount of fair value adjustments of the hedged items | Changes in fair value of the hedged items 1
in € million 2 | Assets | Liabilities | Assets | Liabilities |
Interest rate hedges | 20,030 | 22,746 | (2,112) | (2,238) | (89)
Debt securities | 7,256 | 200 | (1,139) | 2 | (977)
Loans and advances | 12,774 | 0 | (972) | 2 | (1,027)
Deposits | 0 | 11,621 | 0 | (1,437) | 941
Debt securities issued | 0 | 10,925 | 0 | (806) | 974
Other financial liabilities | 0 | 0 | 0 | 0 | 0
Foreign exchange hedges | 51 | 47 | (9) | (1) | (2)
Other assets | 51 | 0 | (9) | 0 | (3)
Other liabilities | 0 | 47 | 0 | (1) | 1
Total | 20,081 | 22,793 | (2,121) | (2,239) | (91)
1 Fair value changes in the underlying transactions which were used in the reporting period to calculate ineffectiveness
2 Previous-year figures adapted |  |  |  |  |

Cash flow hedges
Cash flow hedge accounting according to IAS 39 applies for those derivatives that are used to hedge against the risk of
fluctuating future cash flows. Variable interest loans and liabilities, as well as expected transactions such as expected
borrowing or investment, are especially subject to such cash flow risks. Interest rate swaps used to hedge against the risk of
fluctuating cash flows arising from specific variable interest rate items are recognized as follows: The hedging instrument is
recognized at fair value, changes in its clean price are recorded in other comprehensive income. Any ineffective portion is
recognized in the income statement under net gains/losses from hedge accounting.
Details on changes in the value of the hedging instruments in cash flow hedge relationships considering the various disclosure
of the effective part in the other comprehensive income and the ineffective part in the income statement:

2023 | Change in the value of the hedging instruments recognized in other comprehensive income | Hedge ineffectiveness recognized in profit or loss
in € million
Interest rate hedges | 4 | 0
Loans and advances | 95 | 0
Deposits | (91) | 0
Foreign exchange hedges | 0 | 0
Other assets | (1) | 0
Other liabilities | 1 | 0
Total | 5 | 0

2022 | Change in the value of the hedging instruments recognized in other comprehensive income | Hedge ineffectiveness recognized in profit or loss
in € million
Interest rate hedges | (45) | (1)
Loans and advances | (113) | (1)
Deposits | 68 | 0
Foreign exchange hedges | (1) | 0
Other assets | (1) | 0
Other liabilities | 0 | 0
Total | -45 | 0

96 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(23) Notes to fair value of financial instruments
In accordance with IFRS 13, RBI uses the following fair value hierarchy to determine and report the fair value for financial
instruments. The allocation of certain financial instruments to the level categories requires regular assessment, especially if
the valuation is based on both observable and unobservable inputs. The classification of an instrument may change over time,
even after considering changes in market liquidity and thus price transparency.
Quotation on an active market (Level I)
Financial instruments whose fair values are measured based on quoted market prices are allocated to Level I of the fair value
hierarchy. This category includes particularly equity instruments traded on the stock exchange, debt instruments traded on the
interbank market and derivatives traded on the stock exchange. The valuation is mainly based on external data sources (stock
exchange prices or broker quotes in liquid market segments). In an active market, transactions involving assets and liabilities
are traded in sufficient frequency and volumes that price information is continuously available. Indicators for active markets
are the number, the frequency of update or the quality of quotations (e.g. banks or stock exchanges). Moreover, narrow bid/ask
spreads and quotations from market participants within a certain corridor are also indicators of an active liquid market.
Financial instruments whose fair value measurements are based on quoted market prices mainly consist of quoted securities, a
small proportion of derivatives and liquid bonds traded on over-the-counter markets (OTC).
Measurement techniques based on observable market data (Level II)
When quoted prices are not available on an active market, the financial instrument is then classified as Level II if the fair value
can be determined using recognized measurement models which utilize observable prices or parameters (particularly present
value calculations or option price models). The observable market data mainly consist of yield curves, credit spreads and
volatilities. RBI generally uses measurement models that undergo internal review by the Market Risk Committee to ensure
appropriate measurement parameters. The measurement techniques based on observable market data concern most of the
OTC derivatives and non-quoted debt instruments.
Measurement techniques not based on observable market data (Level III)
If the fair value measurement can be made neither based on sufficiently regular market prices (Level I) nor on measurement
models that are based entirely on observable market prices (Level II), individual input parameters that are not observable in the
market are estimated using appropriate assumptions. If unobservable parameters have a significant impact on the
measurement of the underlying financial instrument, it is assigned to Level III of the fair value hierarchy. These regularly
unobservable measurement parameters include credit spreads derived from internal estimates.
These input parameters may include data which is calculated in terms of approximated values from historical data among
other factors (fair value hierarchy Level III). The utilization of these models requires assumptions and estimates of the
Management. The scope of the assumptions and estimates depends on the price transparency of the financial instrument, its
market, and the complexity of the instrument.
For financial instruments valued at amortized cost (this comprises loans and advances, deposits, other short-term borrowings,
and long-term liabilities), the Group discloses the fair value. In principle, there is low or no trading activity for these instruments,
therefore a significant degree of assessment by the Management is necessary for determining the fair value.
Fair value of financial instruments measured at fair value
The loan portfolio is included in the central calculation of fair value. Fair value is calculated monthly and is based on the
discounted cash flow method. The expected cash flows are discounted using an appropriate discount rate (e.g. risk-free
interest rate plus premium). The method applied to calculate the discount rate depends on the segment (i.e. retail and non-
retail).
In addition, the fair value of the embedded options is calculated for the loan portfolio, and the method applied is based on the
customer segment (i.e. retail and non-retail). The measurement of the embedded options in the retail segment is based on
behavioral modeling (e.g. linear regression/moving twelve-month average of prepayment rates). The measurement of
embedded options in loans in the non-retail segment assumes that the customer will behave in an entirely rational manner.
The embedded options in non-retail loans such as prepayment, disbursement and replenishment are replicated with swaptions
and measured using the trinomial tree Hull-White structural model. The Black model, which is based on the log-normal
distribution of yields, is generally used to measure interest rate options (caps and floors). As there is a volatile interest rate
environment, the shifted log-normal Black model is used to measure interest rate options. It is based on a displaced diffusion
model (log-normal distribution with a shift in interest rates).
For bonds, tradable market prices are mostly used. If no quotes are available, a discounted cash flow model is used to value
the securities. The yield curve and an adequate credit spread are used as measurement parameters. The credit spread is
determined through comparable financial instruments available on the market. Credit default spreads were used to measure a
Consolidated financial statements 97
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
small part of the portfolio. In addition, consideration is given to third party external measurements, which are indicative in all
cases. The positions are assigned to levels at the end of the reporting period.
In RBI, well-known conventional market valuation techniques are used to measure OTC derivatives. For example, interest rate
swaps, cross currency swaps and forward rate agreements are measured using the customary discounted cash flow model for
these products. OTC options, such as foreign exchange options or caps and floors, are based on valuation models which are in
line with market standards. In the case of the examples listed, such models would be the Garman-Kohlhagen model, Black-
Scholes 1972 and Black 1976. Monte Carlo simulations are used to measure complex options.
Credit value adjustments (CVA) and debit value adjustments (DVA) are also necessary to determine fair value to reflect
counterparty default risk associated with OTC derivative transactions, especially for contractual partners for whom a credit
support annex does not provide protection. This amount represents the respective estimated market value of a security
measure which is required to hedge against counterparty credit risk in the Group’s OTC derivative portfolios.
The CVA depends on the expected future exposure (expected positive exposure) and the probability of default of the
contractual partner. The expected positive exposure is calculated by simulating a large number of scenarios for future points
in time, taking into account all available risk factors (e.g. currency and yield curves). OTC derivatives are measured at market
values taking into account these scenarios at the respective future points in time and are aggregated at counterparty level in
order to then ascertain the expected positive exposure for all points in time. Counterparties with CSA contracts (credit support
annex contracts) are taken into account in the calculation. The expected exposures are not calculated directly from simulated
market values, but from a future expected change in market values based on a margin period of risk of ten days. In order to
determining the probability of default for each counterparty, where direct credit default swap (CDS) quotations are available,
the Group calculates the market-based probability of default and, implicitly, the loss given default (LGD) for the respective
counterparty. The probability of default for counterparties which are not actively traded on the market is calculated by
assigning a counterparty’s internal rating to a sector and rating specific CDS curve.
The DVA is determined by the expected negative exposure and by RBI's credit quality and represents the value adjustment for
own probability of default. The method of calculation is analogous to that of the CVA. No funding value adjustment (FVA) was
considered to measure OTC derivatives. RBI is observing market developments and will develop a method to calculate the FVA
where appropriate.
I n the tables below, the financial instruments reported at fair value in the statement of financial position are grouped
according to items in the statement of financial position.

Assets | 2023 | 2022
in € million | Level I | Level II | Level III | Level I | Level II | Level III
Financial assets - held for trading | 1,629 | 4,140 | 14 | 1,010 | 5,371 | 29
Derivatives | 3 | 3,771 | 0 | 3 | 5,057 | 0
Equity instruments | 410 | 12 | 4 | 271 | 16 | 0
Debt securities | 1,216 | 357 | 10 | 736 | 299 | 29
Non-trading financial assets - mandatorily fair value through profit/loss | 295 | 38 | 616 | 150 | 80 | 527
Equity instruments | 1 | 6 | 1 | 1 | 5 | 0
Debt securities | 294 | 32 | 48 | 149 | 74 | 52
Loans and advances | 0 | 0 | 567 | 0 | 0 | 475
Financial assets - designated fair value through profit/ loss | 160 | 25 | 0 | 48 | 36 | 0
Debt securities | 160 | 25 | 0 | 48 | 36 | 0
Financial assets - fair value through other comprehensive income | 2,238 | 495 | 259 | 2,441 | 536 | 225
Equity instruments | 20 | 0 | 162 | 17 | 2 | 150
Debt securities | 2,218 | 495 | 97 | 2,424 | 535 | 75
Hedge accounting | 0 | 1,160 | 0 | 0 | 1,608 | 0

98 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Equity and liabilities | 2023 | 2022
in € million | Level I | Level II | Level III | Level I | Level II | Level III
Financial liabilities - held for trading | 559 | 7,904 | 0 | 93 | 8,360 | 0
Derivatives | 3 | 3,376 | 0 | 6 | 4,796 | 0
Short positions | 556 | 11 | 0 | 86 | 5 | 0
Debt securities issued | 0 | 4,517 | 0 | 0 | 3,560 | 0
Other financial liabilities | 1 | 0 | 0 | 1 | 0 | 0
Financial liabilities - designated fair value through profit/loss | 0 | 1,088 | 0 | 0 | 950 | 0
Deposits | 0 | 42 | 0 | 0 | 111 | 0
Debt securities issued | 0 | 1,046 | 0 | 0 | 839 | 0
Hedge accounting | 0 | 1,466 | 0 | 0 | 2,054 | 0

Movements of financial instruments valued at fair value between Level I and Level II
As at 31 December 2023, only derived prices were available for financial instruments amounting to € 24 million. For example,
the BVAL value (Bloomberg Evaluation) was used instead of the BGN value (Bloomberg Generic Price). Consequently, these
securities were reclassified from Level I to Level II. The shifts from Level II to Level I relate to bonds of € 7 million for which
market values were available at the reporting date.
Movements of financial instruments at fair value in Level III
The total portfolio of Level III assets saw a net increase of € 108 million in the reporting period. In the case of financial
instruments mandatorily recognized at fair value there was a net increase of € 89 million, primarily due to additions and gains
realised on the sale of loans in Hungary and Austria. The valuation category financial assets - fair value through other
comprehensive income saw an increase of € 34 million net. The reason for this increase was additions in Romania and Austria.
In the measurement category financial assets - held for trading, the volume of government bonds decreased by € 15 million,
primarily due to sales in Russia, while additions in Albania were reversed by disposals in the same amount. The total net change
of € 108 million included net exchange rate fluctuations of around € 10 million.

Assets in € million | As at 1/1/2023 | Change in consolidated group | Exchange differences | Additions | Disposals
Financial assets - held for trading | 29 | 0 | (5) | 39 | (48)
Non-trading financial assets - mandatorily fair value through profit/loss | 527 | 0 | 16 | 69 | (58)
Financial assets - designated fair value through profit/loss | 0 | 0 | 0 | 0 | 0
Financial assets - fair value through other comprehensive income | 225 | 0 | (1) | 40 | (4)
Total | 781 | 0 | 10 | 147 | (110)

Assets in € million | Gains/loss in P/L | Gain/loss in other comprehensive income | Transfer to Level III | Transfer from Level III | As at 31/12/2023
Financial assets - held for trading | (2) | 0 | 2 | 0 | 14
Non-trading financial assets - mandatorily fair value through profit/loss | 68 | 0 | 0 | (5) | 616
Financial assets - designated fair value through profit/loss | 0 | 0 | 0 | 0 | 0
Financial assets - fair value through other comprehensive income | (2) | 0 | 0 | 0 | 259
Total | 64 | 0 | 2 | (5) | 889

Equity and liabilities in € million¹ | As at 1/1/2023 | Change in consolidated group | Exchange differences | Additions | Disposals
Financial liabilities - held for trading | 0 | 0 | 0 | 0 | 0
Gesamt | 0 | 0 | 0 | 0 | 0

Equity and liabilities in € million¹ | Gains/loss in P/L | Gain/loss in other comprehensive income | Transfer to Level III | Transfer from Level III | As at 31/12/2023
Financial liabilities - held for trading | 0 | 0 | 0 | 0 | 0
Total | 0 | 0 | 0 | 0 | 0
1 Values stated at 0 contain fair values of less than half a million euros.

Consolidated financial statements 99
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Qualitative information on the valuation of financial instruments in Level III

Assets | Fair value in € million¹ | Valuation technique | Significant unobservable inputs | Range of unobservable inputs
2023
Financial assets - held for trading | 14 |  |  |
Supplementary capital | 4 | Indicative prices | Indications | –
Treasury bills, fixed coupon bonds | 10 | DCF method | Credit spread | 1.39 - 76.04%
Forward foreign exchange contracts | 0 | DCF method | Interest rate | 10 - 30%
Non-trading financial assets - mandatorily fair value through profit/loss | 616 |  |  |
Other interests | 1 | Simplified net present value method Expert opinion | – | –
Bonds, notes and other fixed-interest securities | 48 | Net asset value Financing auction/transaction costs Market price indication | (Auction-) Price |
Loans | 567 | Retail: DCF method (Black Scholes, prepayment option, withdrawal option etc.) Non-Retail: DCF method/ Financial option pricing Black Scholes (shifted), Hull-White trinominal tree | Discount spread (new business) Funding curves (liquidity costs) Credit risk premium (CDS curves) | 1.07 - 3.47% over all currencies 0.05 - 6,85% over all currencies 0.09 - 10,10% (depending on the rating: from AA to CCC)
Financial assets - designated fair value through profit/loss | 0 |  |  |
Fixed coupon bonds | 0 | Net assets | Price | –
Financial assets - fair value through other comprehensive income | 259 |  |  |
Other interests | 44 | Dividend discount model Simplified income approach DCF method | Credit spread Cash flow Discount rate Dividends Beta factor | –
Other interests | 64 | Adjusted net asset value | Adjusted equity | –
Other interests | 53 | Market comparable companies Transaction price Purchase price Cost approach Valuation report (expert judgement) Cost minus impairment | EV/Sales EV/EBIT P/E P/B | –
Treasury bills, municipal bonds | 97 | DCF method | Interest rate | –
Total | 889 |  |  |
Equity and liabilities | Fair value in € million¹ | Valuation technique | Significant unobservable inputs | Range of unobservable inputs
2023
Financial liabilities - held for trading | 0 |  |  |
Forward foreign exchange contracts | 0 | DCF method | Interest rate | 10 - 30%
Total | 0 |  |  |
1 Values stated at 0 contain fair values of less than half a million euros.

100 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Sensitivity of the fair value of financial assets (Level III) and liabilities measured at fair
value
Calculations of unobservable input parameters are mainly based on changes in credit spreads for bonds and loans as well as
market values of comparable equities. For bonds and loans, an increase (decrease) in credit spread of 100 basis points (75 basis
points) leads to a corresponding decrease (increase) in fair value. For unquoted equity instruments an increase (decrease) in
price of 10 per cent leads to a corresponding increase (decrease) in fair value.
Financial assets

| 2023 | 2022
| Carrying amount | Fair value changes | Carrying amount | Fair value changes
in € million | Level III | Positive | Negative | Level III | Positive | Negative
Loans and advances | 567 | 11 | (11) | 475 | 12 | (14)
Debt securities | 58 | 5 | (5) | 81 | 5 | (5)
Income statement effect | - | 16 | (16) | - | 17 | (19)

| 2023 | 2022
| Carrying amount | Fair value changes | Carrying amount | Fair value changes
in € million | Level III | Positive | Negative | Level III | Positive | Negative
Debt securities | 97 | 2 | (2) | 75 | 2 | (3)
Equity instruments | 162 | 16 | (17) | 149 | 18 | (15)
Other comprehensive income effect | - | 18 | (19) | - | 21 | (18)

Other assets and liabilities and equity
(24) Investments in subsidiaries and associates

in € million | 2023 | 2022
Investments in affiliated companies | 187 | 193
Investments in associates valued at equity | 632 | 520
Total | 820 | 713
Number of subsidiaries not included | 227 | 249

Investments in associates valued at equity:

in € million | Share in % 2023 | Carrying amount 2023 | Carrying amount 2022
card complete Service Bank AG, Vienna (AT) | 25.0% | 9 | 12
EMCOM Beteiligungs GmbH, Vienna (AT) | 33.6% | 7 | 7
LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft, Vienna (AT) | 33.1% | 189 | 153
Limited Liability Company "Insurance Company "Raiffeisen Life", Moscow (RU)1 | 25.0% | 0 | 8
NOTARTREUHANDBANK AG, Vienna (AT) | 26.0% | 14 | 12
Oesterreichische Kontrollbank Aktiengesellschaft, Vienna (AT) | 8.1% | 69 | 44
Österreichische Hotel- und Tourismusbank Gesellschaft m.b.H., Vienna (AT) | 31.3% | 16 | 11
Posojilnica Bank eGen, Klagenfurt (AT) | 49.7% | 18 | 13
Prva stavebna sporitelna a.s., Bratislava (SK) | 32.5% | 46 | 41
Raiffeisen Informatik GmbH & Co KG, Vienna (AT) | 47.6% | 13 | 11
Raiffeisen-Leasing Management GmbH, Vienna (AT) | 50.0% | 10 | 10
UNIQA Insurance Group AG, Vienna (AT) | 10.9% | 240 | 199
Total |  | 632 | 520
1 Investments in associates valued at equity unit for LLC are presented in the item Non-current assets and disposal groups classified as held for sale at year end 2023.

Consolidated financial statements 101
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The carrying amount of investments in associates values at equity increased from € 520 million to € 632 million. The increase is
primarily due to LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft and UNIQA Insurance Group AG.
In the current reporting period, there was a reversal of the impairment losses at LEIPNIK-LUNDENBURGER INVEST Beteiligungs
Aktiengesellschaft due to the stabilisation of the market conditions, despite the ongoing war in Ukraine. The increase of the
carrying amount of UNIQA Insurance Group AG is primarily due to higher earning contributions in the reporting period 2023.
Significant influence over UNIQA Insurance Group AG exists due to a syndicate agreement with the other core shareholders
that governs the right to appoint members of the Supervisory Board, among other things. Significant influence over
Oesterreichische Kontrollbank Aktiengesellschaft exists due to two permanent positions on the Supervisory Board.
Financial information on associates valued at equity as at 30 September 2023:

in € million | CCSB | EMCOM | LLI 1,2 | LLC 3 | NTB | OeKB 1
Assets | 664 | 20 | 1,244 | 250 | 2,238 | 34,668
Operating income | (1) | 0 | 90 | 3 | 21 | 68
Profit/loss from discontinuing operations | (2) | 2 | 57 | 8 | 12 | 54
Profit/loss after tax from discontinued operations | 0 | 0 | 0 | 0 | 0 | 0
Other comprehensive income | 0 | 0 | (6) | (4) | 0 | (3)
Total comprehensive income | (2) | 2 | 52 | 3 | 12 | 51
Attributable to non-controlling interests | 0 | 0 | 3 | 0 | 0 | 1
Attributable to investee's shareholders | (2) | 2 | 48 | 3 | 12 | 50
Current assets | 660 | 20 | 399 | 69 | 311 | 7,480
Non-current assets | 3 | 0 | 885 | 181 | 1,927 | 27,188
Short-term liabilities | (594) | 0 | (466) | (13) | (1,943) | (13,505)
Long-term liabilities | (23) | 0 | (244) | (199) | (240) | (20,244)
Net assets | 47 | 20 | 573 | 37 | 56 | 918
Attributable to non-controlling interests | 0 | 0 | 11 | 0 | 0 | 18
Attributable to investee's shareholders | 47 | 20 | 563 | 37 | 56 | 900
Group's interest in net assets of investee as at 1/1 | 12 | 7 | 162 | 8 | 12 | 70
Change in share/first time inclusion | 0 | 0 | 0 | 0 | 0 | 0
Total comprehensive income attributable to the Group | 0 | 1 | 14 | 1 | 3 | 5
hereof income statement | 0 | 1 | 18 | 3 | 3 | 6
hereof other comprehensive income | 0 | 0 | (4) | (2) | 0 | 0
Dividends received | 0 | (1) | (3) | 0 | (1) | (3)
Share in the capital increase | 0 | 0 | 13 | 0 | 0 | 0
Group's interest in net assets of investee as at 30/9 | 12 | 7 | 186 | 9 | 14 | 73
Valulation | (2) | 0 | 3 | 0 | 0 | (4)
Carrying amount | 9 | 7 | 189 | 9 | 14 | 69
1 Consolidated financial statements: Profit and equity is after deduction of non-controlling interests.
2 The capital increase was considered as of 5 October 2023.
3 Investments in associates valued at equity unit for LLC are presented in the item Non-current assets and disposal groups classified as held for sale at year end 2023.
CCSB: card complete Service Bank AG, Vienna (AT) EMCOM: EMCOM Beteiligungs GmbH, Vienna (AT) LLI: LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft, Vienna (AT) LLC: Raiffeisen Life Insurance Company LLC, Moscow (RU) NTB: NOTARTREUHANDBANK AG, Vienna (AT) OeKB: Oesterreichische Kontrollbank Aktiengesellschaft, Vienna (AT)

102 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | OEHT | POSO | PSS | RIZ | R-Leasing | UNIQA 1
Assets | 1,290 | 402 | 3,127 | 439 | 48 | 27,222
Operating income | 5 | 4 | 53 | 8 | (1) | 366
Profit/loss from discontinuing operations | 3 | 7 | 16 | 6 | (1) | 245
Profit/loss after tax from discontinued operations | 0 | 0 | 0 | 0 | 0 | (19)
Other comprehensive income | 0 | 1 | 0 | (1) | 3 | 18
Total comprehensive income | 3 | 8 | 16 | 5 | 2 | 244
Attributable to non-controlling interests | 0 | 0 | 0 | 0 | 0 | 0
Attributable to investee's shareholders | 3 | 8 | 16 | 5 | 2 | 243
Current assets | 8 | 154 | 537 | 171 | 45 | 1,430
Non-current assets | 1,282 | 247 | 2,590 | 268 | 3 | 25,791
Short-term liabilities | (10) | (168) | (822) | (162) | (17) | (1,148)
Long-term liabilities | (1,229) | (182) | (1,998) | (183) | 0 | (23,851)
Net assets | 50 | 52 | 307 | 93 | 31 | 2,223
Attributable to non-controlling interests | 0 | 0 | 0 | 0 | 0 | 19
Attributable to investee's shareholders | 50 | 52 | 307 | 93 | 31 | 2,203
Group's interest in net assets of investee as at 1/1 | 15 | 20 | 95 | 41 | 17 | 199
Change in share/first time inclusion | 0 | 0 | 0 | 0 | 0 | 0
Total comprehensive income attributable to the Group | 2 | 5 | 5 | 4 | 0 | 60
hereof income statement | 2 | 5 | 5 | 4 | (1) | 40
hereof other comprehensive income | 0 | 0 | 0 | 0 | 0 | 20
Dividends received | (1) | 0 | 0 | (1) | (2) | (18)
Share in the capital increase | 0 | 0 | 0 | 0 | 0 | 0
Group's interest in net assets of investee as at 30/9 | 16 | 26 | 100 | 44 | 16 | 240
Valulation | 0 | (8) | (53) | (31) | (6) | 0
Carrying amount | 16 | 18 | 46 | 13 | 10 | 240
1 Consolidated financial statements: Profit and equity is after deduction of non-controlling interests.
OEHT: Österreichische Hotel- und Tourismusbank Gesellschaft m.b.H., Vienna (AT) POSO: Posojilnica Bank eGen, Klagenfurt (AT) PSS: Prva stavebna sporitelna a.s., Bratislava (SK) RIZ: Raiffeisen Informatik GmbH & Co KG, Vienna (AT) R-Leasing: Raiffeisen-Leasing Management GmbH, Vienna (AT) UNIQA: UNIQA Insurance Group AG, Vienna (AT)

Impairment test for companies valued at equity
At the end of each reporting period an assessment is made whether there is any indication that the carrying amount of an
equity investment is higher than its recoverable amount. IAS 36 has a list of external and internal indicators of impairment. If
there is an indication that a company valued at equity may be impaired, then the asset's recoverable amount is calculated. The
following key assumptions have been made for the impairment test.

| 2023 | 2022
Cash generating units | LLI | OeKB | UNIQA | LLI | OeKB | UNIQA
Average discount interest rate (after tax) | 8.1% | 8.2% | 10.4% | 7.8% | 8.6% | 10.4%
Planning period | 5 years | 3 years | 5 years | 5 years | 3 years | 5 years
LLI: LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft, Vienna (AT) OeKB: Oesterreichische Kontrollbank Aktiengesellschaft, Vienna (AT) UNIQA: UNIQA Insurance Group AG, Vienna (AT)

Based on the most recent impairment tests, reversals on impairment loss were recognized for the majority of the investment
portfolio. The positive development in macroeconomic and interest rate environment had a positive impact on the companies’
earnings prospects.
Consolidated financial statements 103
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Summary of significant planning assumptions and description of the management approach to identify the values:

Cash generating units | Brief description | Key assumptions | Management approach
LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft (LLI) | In the two core areas of milling and vending (hot and cold) beverages and food from vending machines, the LLI companies are market leaders in Austria and in some EU countries (Eastern Europe and Germany). | The planning reflects, in addition to the expected developments in raw material prices and costs, which are partially reflected in the sales prices, a capital injection of € 80 million. In the medium to long term, a general normalization of market conditions is expected. Planning assumptions reflect current external conditions and were approved by the supervisory board. | Planning includes actions to address current and expected market developments. In addition to cost savings and a suitable pricing strategy, these include further specializations, optimization through digitalization and the development of new products.
Oesterreichische Kontrollbank Aktiengesellschaft (OeKB) | OeKB fulfills two essential functions for the Austrian export industry. Firstly, it is the Republic of Austria’s export credit agency; secondly, it is an issuer on the capital market. Its main subsidiaries are Österreichische Hotel- und Tourismusbank (OEHT) and Oesterreichische Entwicklungsbank (OeEB). | The planning assumptions take into account the development of volumes in export finance and have been adopted in the valuation approach. They show stable growth of loan volume over the following years. | The management approach reflects the current external conditions. The rising interest rate level and the current inflationary environment were taken into account in the planning assumptions. Existing mandates from the Republic of Austria comprise a stable basis for OeKB’s business activities, which are complemented by the other services.
UNIQA Insurance Group AG (UNIQA) | UNIQA Insurance Group AG is one of the leading insurance groups in its core markets of Austria and CEE. The group has approximately 40 companies in 18 countries and serves about 16 million customers. The brands UNIQA and Raiffeisen Versicherung are two strong insurance brands in Austria and are well positioned in the CEE markets. | By taking appropriate countermeasures, UNIQA intends to continue to pursue its long-term profitability targets despite the increasing cost pressure. In summary, despite the volatile environment, it is assumed that the long-term strategic orientation will be maintained and, accordingly, that long- term returns will remain stable. | The management approach was essentially adopted as the valuation approach. It continues to be based on ongoing pursuit of the established strategic direction. Accordingly, it is assumed that a solid return on equity and the strong solvency situation will be maintained. This provides the basis for sustained dividend growth and a stable dividend yield.

Sensitivity analysis
In order to examine how a change in parameters essential for determining the cost of capital affects the value of equity, these
parameters were varied in the course of the sensitivity analysis carried out. Changes in the valuation of these companies may
therefore result in an adjustment to the carrying amount. In the event of a downside scenario (increase in the cost of capital by
50 basis points), Prva stavebna sporitelna a.s, card complete Service Bank AG, Posojilnica Bank eGen would decrease by less
than 10 per cent, and that of Raiffeisen Informatik GmbH & Co KG by around 12 per cent, thus leading to a further reduction in
the carrying amount. For LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft, Oesterreichische Kontrollbank
Aktiengesellschaft, ÖHT Österreichische Hotel und Tourismusbank GmbH there would be a reversal of impairment losses,
despite the lower value in use. EMCOM Beteiligungs GmbH, NOTARTREUHANDBANK AG and UNIQA Insurance Group AG, are
excluded from this scenario; a further decline in value would not lead to a reduction in the carrying amount here as the value in
use would still be higher than the proportionate equity.
104 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(25) Tangible and intangible fixed assets
Tangible fixed assets
Land and buildings as well as office furniture and equipment reported under tangible fixed assets are measured at cost of
acquisition or conversion less depreciation. Depreciation is recorded under the item general administrative expenses. The
straight-line method is used for depreciation and is based on the following useful life figures:

Useful life | Years
Buildings | 25 – 50
Office furniture and equipment | 5 – 10
Hardware | 3 – 7
Right-of-use assets | 2 – 35

Land is not subject to depreciation.
Expected useful lives, residual values and depreciation methods are reviewed annually. Any necessary future change of
estimates is taken into account.
Any anticipated permanent impairment is reported in the income statement and shown under the item impairment on non-
financial assets. In case that the reason for the impairment no longer exists, a write-up will take place up to a maximum of the
amount of the amortized cost of the asset.
A tangible fixed asset is derecognized on disposal or when no future economic benefit can be expected from the continued use
of the asset. The resulting gain or loss from the sale or retirement of any asset is determined as the difference between the
proceeds and the carrying amount of the asset and is recognized in other net operating income.
Investment property
This is property that is held to earn rental income and/or for capital appreciation. Investment property is reported at
amortized cost using the cost model permitted by IAS 40 and is shown under tangible fixed assets because of minor
importance. Straight line depreciation is based on the useful life. The normal useful life of investment property is identical to
that of buildings recognized under tangible fixed assets. Depreciation is recorded under the item general administrative
expenses. Impairments that are expected to be permanent are recognized in profit or loss and shown in the item impairment
on non-financial assets. If the reasons for the impairment cease to exist, a write-up is made up to the amortized acquisition
costs.
Investment property is derecognized on disposal or when it is no longer to be used and no future economic benefit can be
expected from disposal. The resulting gain or loss from the disposal is determined as the difference between the net proceeds
from the disposal and the carrying amount of the asset and is recognized in other net operating income in the reporting period
in which the asset was sold.
Intangible fixed assets
Acquired intangible fixed assets
In RBI, separately acquired intangible fixed assets, i.e. those with a definite useful life not acquired in a business combination,
are capitalized at acquisition cost less accumulated amortization and impairment. Amortization is accrued in a straight line
over the expected useful life and reported as an expense in the income statement. The expected useful life and the
depreciation method are reviewed at each reporting date and any possible changes in measurement taken into account
prospectively. Separately acquired intangible fixed assets with an indefinite useful life are capitalized at acquisition cost less
accumulated impairment. The normal useful life of software is between four and six years. The normal useful life for large
software projects may extend over a longer period.
Consolidated financial statements 105
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Internally developed intangible fixed assets – research and development costs
Internally developed intangible assets comprise exclusively software and are capitalized if it is probable that the future
economic benefits attributable to the asset will accrue to RBI and the cost of the asset can be measured reliably. Expenses for
research are recognized as an expense when they are incurred.
An internally developed intangible fixed asset resulting from development activities or from the development stage of an
internal project is capitalized when the following evidence is provided:
· The final completion of the intangible fixed asset is technically feasible so that it will be available for use or sale.
· It is intended to finally complete the intangible fixed asset and to use or to sell it.
· The ability exists to use or to sell the intangible fixed asset. The intangible fixed asset is likely to generate future
economic benefit.
· The availability of adequate technical, financial, and other resources required to complete development and to use
or sell the intangible fixed asset is assured.
· The ability exists to reliably determine the expenditure incurred during the development of the intangible fixed asset.
The amount at which an internally developed intangible fixed asset is initially capitalized is the sum of all expenses incurred
beginning from the day on which the aforementioned conditions are initially met. If an internally developed intangible fixed
asset cannot be capitalized, or if there is not yet an intangible fixed asset, the development costs are reported in the income
statement for the reporting period in which they are incurred.
Capitalized development costs are generally amortized in the Group in a straight line over a useful life of five years. The normal
useful life of software is between four and six years. The normal useful life for large software projects may extend over a
longer period.
Intangible fixed assets acquired in a business combination
In RBI, intangible fixed assets acquired in a business combination are reported separately from goodwill and are measured at
fair value at the time of acquisition. Goodwill and other intangible fixed assets without definite useful lives are tested for
impairment at each reporting date. Impairment tests are also performed whenever certain events (trigger events) occur during
the year. Whenever circumstances indicate that the expected benefit no longer exists, impairment must be recognized
pursuant to IAS 36. Intangible fixed assets with a definite useful life are amortized over the period during which the intangible
fixed asset can be used.
Group companies use brands to differentiate their services from the competition. According to IFRS 3, brands of acquired
companies are recognized separately under the item intangible fixed assets. Brands have an indeterminable useful life and are
therefore not subject to scheduled amortization. Brands are to be tested annually for impairment and additionally whenever
indications of impairment arise.
Core deposits acquired as part of a business combination are reported separately under intangible fixed assets in accordance
with IFRS 3. The core deposits were based on a useful life of ten years. The core deposits represent the present value of the
cost savings obtained by subtracting the costs of the core deposits from the costs for an equivalent amount of funds from an
alternative market source. The intangible value of the core deposits stems from the fact that the core deposits are a cost-
effective stable funding source. The core deposits were measured using the discounted cash flow (DCF) method in which the
forecast cost savings are discounted using the cost of equity.
106 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Presentation of tangible and intangible assets

in € million | 2023 | 2022
Tangible fixed assets | 1,672 | 1,684
Land and buildings used by the group for own purpose | 454 | 494
Office furniture, equipment and other tangible fixed assets | 341 | 332
Investment property | 412 | 389
Other leased assets (operating lease) | 108 | 95
Right-of-use assets | 357 | 374
Intangible fixed assets | 970 | 903
Software | 843 | 767
Goodwill 1 | 38 | 38
Brand | 2 | 2
Customer relationships 1 | 13 | 19
Core deposits intangibles | 51 | 60
Other intangible fixed assets | 23 | 17
Total | 2,641 | 2,587
Fair value of investment property | 574 | 522
1 Previous-year figures adapted due to changed allocation |  |

| Cost of acquisition or conversion |  |
in € million | As at 1/1/2023 | Change in consolidated group | Exchange differences | Additions | Disposals | Transfers | As at 31/12/2023
Tangible fixed assets | 3,356 | 9 | (120) | 388 | (231) | 0 | 3,402
Land and buildings used by the group for own purpose | 952 | 1 | (41) | 74 | (50) | (1) | 934
Office furniture, equipment and other tangible fixed assets | 999 | (1) | (62) | 153 | (86) | 1 | 1,004
Investment property | 552 | 7 | (1) | 39 | (27) | 1 | 571
Other leased assets (operating lease) | 200 | 2 | (2) | 48 | (28) | 0 | 220
Right-of-use assets | 654 | 0 | (14) | 73 | (39) | 0 | 674
Intangible fixed assets | 3,032 | 0 | (107) | 362 | (174) | 0 | 3,114
Software | 2,414 | 0 | (75) | 348 | (170) | 8 | 2,525
Goodwill 1 | 467 | 0 | (29) | 0 | 0 | 0 | 438
Brand | 3 | 0 | 0 | 0 | 0 | 0 | 3
Customer relationships 1 | 26 | 0 | 0 | 0 | 0 | 0 | 26
Core deposits intangibles | 70 | 0 | (2) | 0 | 0 | 0 | 68
Other intangible fixed assets | 51 | 0 | 0 | 14 | (3) | (8) | 54
Total | 6,388 | 9 | (227) | 750 | (404) | 0 | 6,516
1 Previous-year figures adapted due to changed allocation

| Write-ups, amortization, depreciation, impairment | Carrying amount
in € million | Cumulative | hereof write- ups | hereof depreciation/ impairment | As at 31/12/2023
Tangible fixed assets | (1,731) | 1 | (260) | 1,672
Land and buildings used by the group for own purpose | (480) | 1 | (50) | 454
Office furniture, equipment and other tangible fixed assets | (663) | 0 | (98) | 341
Investment property | (159) | 0 | (11) | 412
Other leased assets (operating lease) | (112) | 0 | (17) | 108
Right-of-use assets | (317) | 0 | (84) | 357
Intangible fixed assets | (2,144) | 20 | (244) | 970
Software | (1,681) | 20 | (227) | 843
Goodwill | (400) | 0 | 0 | 38
Brand | (1) | 0 | 0 | 2
Customer relationships | (14) | 0 | (6) | 13
Core deposits intangibles | (17) | 0 | (8) | 51
Other intangible fixed assets | (31) | 0 | (3) | 23
Total | (3,875) | 21 | (504) | 2,641

Consolidated financial statements 107
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| Cost of acquisition or conversion |  |
in € million | As at 1/1/2022 | Change in consolidated group | Exchange differences | Additions | Disposals | Transfers | As at 31/12/2022
Tangible fixed assets | 3,255 | (52) | (9) | 356 | (194) | 0 | 3,356
Land and buildings used by the group for own purpose | 973 | (23) | 1 | 26 | (28) | 2 | 952
Office furniture, equipment and other tangible fixed assets | 970 | 0 | (7) | 115 | (79) | 0 | 999
Investment property | 503 | (40) | (4) | 108 | (14) | (2) | 552
Other leased assets (operating lease) | 185 | (2) | 2 | 37 | (22) | 0 | 200
Right-of-use assets | 623 | 13 | (1) | 70 | (51) | 0 | 654
Intangible fixed assets | 2,930 | (44) | (3) | 328 | (179) | 0 | 3,032
Software | 2,332 | (49) | (5) | 310 | (164) | (10) | 2,414
Goodwill 1 | 456 | 9 | 1 | 1 | 0 | 0 | 467
Brand | 3 | 0 | 0 | 0 | 0 | 0 | 3
Customer relationships 1 | 37 | (1) | (1) | 5 | (14) | 0 | 26
Core deposits intangibles | 63 | 0 | 2 | 5 | 0 | 0 | 70
Other intangible fixed assets | 38 | (3) | 0 | 7 | (1) | 10 | 51
Total | 6,185 | (96) | (12) | 684 | (373) | 0 | 6,388
1 Previous-year figures adapted due to changed allocation

| Write-ups, amortization, depreciation, impairment | Carrying amount
in € million | Cumulative | hereof write- ups | hereof depreciation/ impairment | As at 31/12/2022
Tangible fixed assets | (1,672) | 1 | (246) | 1,684
Land and buildings used by the group for own purpose | (457) | 0 | (37) | 494
Office furniture, equipment and other tangible fixed assets | (667) | 1 | (96) | 332
Investment property | (163) | 0 | (10) | 389
Other leased assets (operating lease) | (105) | 0 | (17) | 95
Right-of-use assets | (280) | 0 | (87) | 374
Intangible fixed assets | (2,129) | 2 | (305) | 903
Software | (1,647) | 2 | (221) | 767
Goodwill 1 | (429) | 0 | (68) | 38
Brand | (1) | 0 | 0 | 2
Customer relationships 1 | (8) | 0 | (7) | 19
Core deposits intangibles | (10) | 0 | (6) | 60
Other intangible fixed assets | (35) | 0 | (2) | 17
Total | (3,801) | 3 | (551) | 2,587
1 Previous-year figures adapted due to changed allocation

Software

in € million | 2023 | 2022
Acquired software | 594 | 567
Internally developed software | 249 | 200

108 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Goodwill
The carrying amount of the goodwill as well as the gross amounts of and the accumulated impairment on the goodwill
developed for the cash generating units as follows:

2023 |  |  |  |  |  |  |
in € million | AKCENTA | RBRS | EQUA | RBCZ | RKAG | Other | Total
As at 1/1 | 9 | 2 | 0 | 0 | 27 | 1 | 38
Additions | 0 | 0 | 0 | 0 | 0 | 0 | 0
Merger | 0 | 0 | 0 | 0 | 0 | 0 | 0
Impairment | 0 | 0 | 0 | 0 | 0 | 0 | 0
Exchange rate changes | 0 | 0 | 0 | 0 | 0 | 0 | 0
As at 31/12 | 9 | 2 | 0 | 0 | 27 | 1 | 38
Gross amount | 9 | 10 | 0 | 60 | 54 | 306 | 438
Accumulated impairment¹ | 0 | (8) | 0 | (60) | (27) | (305) | (400)
1 Calculated with average exchange rates AKCENTA: Akcenta CZ a.s., Prague (CZ) RBRS Raiffeisen banka a.d., Novi Belgrade (RS) EQUA: Equa bank a.s., Prague (CZ) RBCZ: Raiffeisenbank a.s., Prague (CZ) RKAG: Raiffeisen Kapitalanlage-Gesellschaft m.b.H., Vienna (AT)

2022 |  |  |  |  |  |  |
in € million | AKCENTA | CASRS | EQUA | RBCZ | RKAG 2 | Other | Total
As at 1/1 | 9 | 0 | 18 | 41 | 27 | 1 | 95
Additions | 0 | 10 | 0 | 0 | 0 | 0 | 10
Merger | 0 | 0 | (18) | 18 | 0 | 0 | 0
Impairment | 0 | (8) | 0 | (60) | 0 | 0 | (68)
Exchange rate changes | 0 | 0 | 0 | 1 | 0 | 0 | 2
As at 31/12 | 9 | 2 | 0 | 0 | 27 | 1 | 38
Gross amount | 9 | 10 | 0 | 60 | 54 | 335 | 467
Accumulated impairment¹ | 0 | (8) | 0 | (60) | (27) | (334) | (429)
1 Calculated with average exchange rates AKCENTA: Akcenta CZ a.s., Prague (CZ) CASRS Crédit Agricole Srbija AD, Novi Sad (RS) EQUA: Equa bank a.s., Prague (CZ) RBCZ: Raiffeisenbank a.s., Prague (CZ) RKAG: Raiffeisen Kapitalanlage-Gesellschaft m.b.H., Vienna (AT)
2 Previous-year figures adapted due to changed allocation

Impairment test for goodwill
On each reporting date, goodwill is examined with a view to its future economic utility on the basis of cash generating units
(CGU's). A cash generating unit is defined by the management and represents the smallest identifiable group of assets of a
company that generates cash inflows from operations. Within RBI, all segments according to segment reporting are
determined as cash generating units. Legal entities within the segments form their own CGU for the purpose of impairment
testing of goodwill. The carrying amount of the relevant entity (including any assigned goodwill) is compared with its
recoverable amount. This is, as a general principle, defined as the higher of the fair value less selling costs and the amount
resulting from its value in use. The value in use is based on expected potential dividends discounted using a rate of interest
reflecting the risk involved. The estimation of the future results requires an assessment of previous as well as future
performance. The latter must consider the likely development of the relevant markets and the overall macroeconomic
environment.
Impairment tests for goodwill based on cash-generating units use a multi-year plan drawn up by the relevant management
team and approved by the bodies responsible. This covers the CGU's medium-term prospects for success taking into account
its business strategy, overall macroeconomic conditions (gross domestic product, inflation expectations, etc.) and the specific
market circumstances. The data is then used to capture the terminal value based on a going concern concept. Discounting of
the earnings relevant for the measurement, i.e. potential dividends, is undertaken using risk-adapted and country-specific
equity capital cost rates determined by means of the capital asset pricing model. The individual interest rate parameters (risk-
free interest rate, inflation difference, market risk premium, country-specific risks, and beta factors) were defined by using
external information sources. The entire planning horizon is divided into three phases with phase I covering the management
planning period of three years. Detailed planning, including macroeconomic planning data, is extrapolated in phase II, which
lasts another two years. The terminal value is then calculated in phase III based on the assumption of a going concern. In line
with IAS 36, impairment tests for goodwill are carried out during the year if a reason for impairment occurs.
Consolidated financial statements 109
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Key assumptions

| 2023 | 2022
Cash generating units | RKAG | RBRS | AKCENTA | RBCZ | RKAG | RBRS/CASRS | AKCENTA
Average discount interest rate (after tax) | 10.2% | 18.1% | 11.3% | 12.8% | 10.3% | 19.8% | 11.9%
Growth rates in phase I and II (5 years) p.a.¹ | 5.3% | 7.5% | 30.3% | 5.9% | 0.9% | 14.1% | n/a
Growth rates in phase III (terminal value) p.a. | 2.0% | 3.5% | 2.0% | 0.0% | 2.0% | 3.8% | 2.0%
1 Growth rates are based on the future development of the dividend distribution, adjusted for irregular dividend distributions due to the economic environment. RKAG: Raiffeisen Kapitalanlage-Gesellschaft m.b.H., Vienna (AT) RBRS: Raiffeisen banka a.d. Novi, Belgrade (RS) AKCENTA: Akcenta CZ a.s., Prague (CZ) RBCZ: Raiffeisenbank a.s., Prague (CZ) RBRS/CASRS: Raiffeisen banka a.d., Belgrade (RS), Crédit Agricole Srbija AD, Novi Sad (RS)

Cash generating units | Key assumptions | Management approach | Risk estimation
RKAG | RKAG is one of Austria's leading fund/ asset management companies, that has been operating internationally for many years and is a well-known participant in various European countries. The development is expected to remain stable. Furthermore, higher margins are expected, especially in the ESG environment. Administrative expenses remain stable, with the exception of slight increases in the IT area. | The assumptions of planning are based on internal and external sources. Macroeconomic assumptions of the research department were compared with data from external sources and the five-year plan and are presented to the company's managers. The budget was approved by the Supervisory Board. | The main risk of the yields lies in the development of the funds volume, which in turn depends on the market and its development. Other influencing factors include future sales capacities, customer asset allocation and the level of achievable margins.
RBRS | Serbia is one of the focus countries for the Group, where the market share has been strengthened by the acquisition of CASRS. The market is expected to grow by 4 per cent (corporate) respectively 6.5 per cent (retail) in 2024-26. Margins are projected to decline slightly due to interest rate expectations, while profits remain stable. | The assumptions are based on both internal and external sources. Macroeconomic assumptions of the research department were compared with data from external sources and the five-year plan, presented to the Board of Management and approved by the Supervisory Board. | Reference interest rates are expected to decline from 6.2 per cent in 2024 to 4 per cent in 2026. As a result, net interest income will also decline in the future. Commission result is expected to increase in 2024 and the following years due to the removal of NBS restrictions and the expansion of business activities. The earnings risk mainly relates to the interest rate and margin development of the RBRS portfolio.
AKCENTA | The Payment Service Providers (PSP) market in Central and Eastern Europe has been experiencing significant growth in recent years. Factors contributing to this growth include increasing e-commerce activities, rising demand for digital payments, and government initiatives to promote cashless transactions. The market is becoming more competitive, with both local and international PSPs expanding their operations in the region as well as traditional banks lowering fees and fx margins and thus directly competing with robust PSPs. Additionally, advancements in technology, such as mobile payments and digital wallets, are driving the growth of the PSP market in Central and Eastern Europe. In 2023 Akcenta renewed its 5 year strategy and set on the project of the comprehensive digital transformation, incl. new IT core system. | Akcenta offers competitive exchange rates and lower transaction fees compared to traditional financial institutions. It not only enables SMEs to benefit from favourable currency exchanges but also provides risk management tools such as forward contracts, options, and hedging solutions to help its clients mitigate currency risks and protect themselves from currency fluctuations. Akcenta offers guidance and support to SMEs, helping them navigate the complexities of Forex trading and manage their international transactions effectively. Its value proposition is based on cost- effective, convenient, and efficient solutions for managing their foreign exchange requirements, allowing SMEs to focus on their core business operations. | As a result of its sound, sustainable financial performance as well as profit generating capacity, Akcenta boasts a solid financial base, substantially exceeding the regulatory capital requirements. Akcenta adheres to strict compliance and regulatory standards to ensure the security and integrity of its operations. This includes implementing measures to prevent money laundering, fraud, and other financial risks.
RKAG: Raiffeisen Kapitalanlage-Gesellschaft m.b.H., Vienna (AT) RBRS: Raiffeisen banka a.d. Novi, Belgrade (RS) AKCENTA: Akcenta CZ a.s., Prague (CZ) |  |

110 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Sensitivity analysis
A sensitivity analysis was carried out based on the above-mentioned assumptions to evaluate the stability of the results of the
impairment test for goodwill. From several options for this analysis, one relevant parameter was selected, namely the cost of
equity. The following overview demonstrates to what extent an increase or decrease in the cost of equity could occur without
the value in use of cash generating units declining below the respective carrying amount (equity capital plus goodwill).

| 2023 | 2022
Maximum sensitivity | RKAG | RBRS | AKCENTA | RKAG | RBRS/CASRS | AKCENTA
Increase in discount interest rate | 13.9 PP | 2.93 PP | 0.5 PP | 10.27 PP | (0.37)PP | 1.84 PP
RKAG: Raiffeisen Kapitalanlage-Gesellschaft m.b.H., Vienna (AT) RBRS: Raiffeisen banka a.d. Novi, Belgrade (RS), AKCENTA: Akcenta CZ a.s., Prague (CZ) RBRS/CASRS: Raiffeisen banka a.d., Belgrad (RS), Crédit Agricole Srbija AD, Novi Sad (RS)

(26) Other assets

in € million | 2023 | 2022
Prepayments and other deferrals | 340 | 350
Merchandise inventory and suspense accounts for services rendered not yet charged out | 157 | 148
Non-current assets and disposal groups classified as held for sale | 12 | 3
Other assets | 743 | 659
Total | 1,253 | 1,159

Non-current assets and disposal groups classified as held for sale
Non-current assets and disposal groups are classified as held for sale when the related carrying amount will be recovered
principally through a sale transaction rather than through continuing use. This condition is only considered met if the sale is
highly probable and the asset (or disposal groups) is immediately available for sale and management has adopted a plan to
sell the asset (or disposal group). Moreover, the sale transaction must be highly probable of being recognized as a completed
sale within twelve months of the classification.
Non-current assets and disposal groups classified as held for sale are valued at the lower amount of their original carrying
amount or fair value less costs to sell and are reported under the item non-current assets and disposal groups classified as
held for sale. Income from non-current assets held for sale and discontinued operations is reported in the other result. If the
impairment expense of the discontinued operations exceeds the carrying amount of the assets which fall under the scope of
IFRS 5, there is no special provision in the IFRS on how to deal with this difference. Based on internal Accounting policy this
difference would be recognized in the item provisions for onerous contracts in the statement of financial position.
In the case that the Board of Management has adopted a plan for the sale, and aforementioned conditions are met, all assets
and liabilities of the subsidiary will be recognized as held for sale. This applies irrespective of whether the Group retains a non-
controlling interest in the former subsidiary after the sale or not. Results from discontinued business operations are reported
separately in the income statement as gains/losses from discontinued operations.
(27) Provisions
Provisions are recognized when the Group has a present obligation from a past event, where it is likely that it will be obliged to
settle, and a reliable estimate of the amount is possible. The level of provisions is the best possible estimate of expected
outflow of economic benefits at the reporting date while taking into account the risks and uncertainties underlying the
commitment to fulfill the obligation. If a provision is formed based on cash flows estimated to fulfill an obligation, the cash
flows must be discounted if the interest effect is material.
Consolidated financial statements 111
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Allocation of provisions is booked through different line items in the income statement depending on the nature of the
provision. Allocation of loan loss provisions for contingent liabilities is recorded in the income statement under the item
impairment losses on financial assets. Restructuring provisioning and other employee benefits are allocated in general
administrative expenses. Provision allocations that are not assigned to general administrative expenses are as a matter of
principle booked against other net operating income.

in € million | 2023 | 2022
Provisions for off-balance sheet items | 206 | 245
Other commitments and guarantees given according to IFRS 9 | 204 | 236
Other commitments and guarantees given according to IAS 37 | 2 | 10
Provisions for staff | 507 | 495
Pensions and other post employment defined benefit obligations | 182 | 176
Other long-term employee benefits | 47 | 44
Bonus payments | 275 | 272
Termination benefits | 3 | 4
Other provisions | 931 | 739
Pending legal issues and tax litigation | 636 | 448
Restructuring | 6 | 7
Onerous contracts | 60 | 57
Other provisions | 229 | 226
Total | 1,644 | 1,479

Provisions increased by € 166 million to € 1,644 million, primarily due to higher provisions for pending legal issues and tax
litigation (increase: € 188 million). In particular, provisions allocated in accordance with IAS 37 for mortgage loans linked to
Swiss Franc in Poland increased to € 500 million (previous year: € 307 million). Furthermore, in Croatia there was an increase
related to Swiss franc loans, from € 5 million to € 67 million.
More details are available under (46) Pending legal issues.

in € million | As at 1/1/2023 | Change in consolidated group | Allocation | Release | Usage | Transfers, exchange differences | As at 31/12/2023
Provisions for off-balance sheet items 1 | 10 | 0 | 1 | (6) | 0 | (2) | 2
Other commitments and guarantees given according to IAS 37 | 10 | 0 | 1 | (6) | 0 | (2) | 2
Provisions for staff | 495 | (5) | 238 | (10) | (181) | (30) | 507
Pensions and other post employment defined benefit obligations | 176 | 1 | 19 | (1) | (11) | (1) | 182
Other long-term employee benefits | 44 | (1) | 5 | 0 | (1) | 0 | 47
Bonus payments | 272 | (5) | 214 | (8) | (168) | (29) | 275
Termination benefits | 4 | 0 | 1 | 0 | (1) | 0 | 3
Other provisions | 739 | (2) | 1,249 | (68) | (392) | (594) | 931
Pending legal issues and tax litigation | 448 | (3) | 869 | (8) | (100) | (570) | 636
Restructuring | 7 | 0 | 2 | 0 | (3) | (1) | 6
Onerous contracts | 57 | 0 | 3 | 0 | 0 | 0 | 60
Other provisions | 226 | 0 | 375 | (60) | (289) | (23) | 229
Total | 1,243 | (7) | 1,488 | (84) | (573) | (625) | 1,441
1 Provisions for off-balance-sheet items pursuant to IFRS 9 are not included and due to a more granular presentation broken down by stages under (30) Loan commitments, financial guarantees and other commitments.

112 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | As at 1/1/2022 | Change in consolidated group | Allocation | Release | Usage | Transfers, exchange differences | As at 31/12/2022
Provisions for off-balance sheet items 1 | 3 | 0 | 9 | (2) | 0 | 0 | 10
Other commitments and guarantees given according to IAS 37 | 3 | 0 | 9 | (2) | 0 | 0 | 10
Provisions for staff | 426 | 16 | 223 | (20) | (148) | (2) | 495
Pensions and other post employment defined benefit obligations | 195 | 12 | (18) | (3) | (12) | 2 | 176
Other long-term employee benefits | 57 | 1 | (7) | (3) | (3) | (1) | 44
Bonus payments | 171 | 4 | 247 | (15) | (132) | (4) | 272
Termination benefits | 3 | 0 | 0 | 0 | (1) | 1 | 4
Other provisions | 776 | 0 | 737 | (50) | (211) | (514) | 739
Pending legal issues and tax litigation | 551 | 1 | 480 | (25) | (66) | (493) | 448
Restructuring | 17 | 0 | 0 | (7) | (4) | 1 | 7
Onerous contracts | 59 | 0 | 1 | 0 | 0 | (3) | 57
Other provisions | 149 | (1) | 256 | (19) | (140) | (18) | 226
Total | 1,205 | 16 | 969 | (72) | (358) | (516) | 1,243
1 Provisions for off-balance-sheet items pursuant to IFRS 9 are not included and due to a more granular presentation broken down by stages under (30) Loan commitments, financial guarantees and other commitments.

Pension obligations and other termination benefits
All defined benefit plans relating to so-called social capital (provisions for pensions, provisions for severance payments and
provisions for service anniversary bonuses) are measured using the Projected Unit Credit Method in accordance with IAS 19 –
Employee Benefits. The biometrical basis for the calculation of provisions for pensions, severance payments and service
anniversary bonuses for Austrian companies is provided by AVÖ 2018-P-Rechnungsgrundlagen für die Pensionsversicherung
(Computational Framework for Pension Insurance), using the relevant parameters for salaried employees. In other countries,
comparable actuarial parameters are used for calculation.
· Defined benefit pension plans in Austria and other countries
· Other post-employment benefits in Austria and other countries
· These defined benefit plans and other post-employment benefits expose the Group to actuarial risks, such as
longevity risk, currency risk, interest rate risk and market (investment) risk.
A liability and expense is recognized for termination benefits when RBI can no longer withdraw the offer of those benefits.
Where the benefits are not expected to be settled within 12 months of the reporting date they are discounted.
Funding
For pensions there are different plans: unfunded, partly funded and fully funded. The partly and fully funded plans are all
invested by Valida Pension AG. Valida Pension AG is a pension fund and is subject in particular to the provisions of the PKG
(Pension Act) and BPG (Company Pension Act).
The Group expects to pay € 581 thousand in contributions to its defined benefit plans in 2023.
Pension obligations/defined benefit pension plans
Financial status

in € million | 2023 | 2022
Defined benefit obligation (DBO) | 147 | 142
Fair value of plan assets | (37) | (37)
Net liabilities/assets | 110 | 105

Consolidated financial statements 113
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Defined benefit obligations

in € million | 2023 | 2022
Defined benefit obligation as at 1/1 | 142 | 145
Change in consolidated group | 1 | 11
Exchange differences | (2) | 0
Current service cost | 4 | 2
Interest cost | 4 | 2
Payments | (8) | (8)
Loss/gain on DBO due to past service cost | 0 | 0
Transfer | 3 | 2
Remeasurements | 5 | (13)
Defined benefit obligation as at 31/12 | 147 | 142

The change in remeasurements largely resulted from the modification of the financial parameters.
Plan assets

in € million | 2023 | 2022
Plan assets as at 1/1 | 37 | 42
Interest income | 1 | 0
Contributions to plan assets | 1 | 1
Plan payments | (2) | (2)
Transfer | 0 | (1)
Return on plan assets excl. interest income | 1 | (3)
Plan assets as at 31/12 | 37 | 37
Return on plan assets | 2 | (2)
Fair value of rights to reimbursement recognized as an asset | 10 | 10

Structure of plan assets

in per cent | 2023 | 2022
Debt securities | 33 | 28
Shares | 32 | 35
Alternative Investments | 12 | 11
Real estate | 6 | 13
Cash | 16 | 13
Total | 100 | 100

In the reporting year, most of the plan assets were quoted on an active market; less than 20 per cent were not quoted on an
active market.
Asset-Liability Matching
The pension provider Valida Pension AG has established an asset/risk management process (ARM process). According to this
process, the risk-bearing capacity of each fund is evaluated once a year based on the liability structure of investment and risk
associations, which itself is derived from the statement of financial position. Based on this risk-bearing capacity, the
investment structure of the fund is derived. When determining the investment structure, defined and documented customer
requirements are considered.
The defined investment structure is implemented in the two funds named VRG 60 and VRG 7, in which the accrued amounts for
RBI are invested with an investment concept. The weighting of predefined asset classes moves within a range according to
objective criteria, which can be derived from market trends. In times of stress, hedges of the equity component are put in
place.
114 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Actuarial assumptions
The actuarial assumptions used to calculate the net defined, long-term benefit obligation:

in per cent | 2023 | 2022
Discount rate | 3.0-8.0 | 2.7-9.3
Future pension basis increase | 0.5-3.0 | 0.5-3.2
Future pension increase | 0.5-3.0 | 0.5-3.2

The actuarial calculation of pension obligations at head office is based on a discount rate of 3.66 per cent (previous year: 3.64
per cent) p.a. and effective pensionable salary increases, and pension increases of 7.5 per cent in the first year, 4.2 per cent in
the second year and 3.1 per cent in the third year and 3.0 per cent in the subsequent years (previous year: 8.0 per cent in the
first year, 5.1 per cent in the second year and 3.2 per cent in subsequent years).
The longevity assumptions used to calculate the net defined benefit obligation:

Years | 2023 | 2022
Longevity at age 65 for current pensioners - males | 23.5 | 23.4
Longevity at age 65 for current pensioners - females | 26.0 | 26.1
Longevity at age 65 for current members aged 45 - males | 26.2 | 25.8
Longevity at age 65 for current members aged 45 - females | 28.4 | 28.3

The weighted average duration of the net defined benefit obligation was 9.6 years (previous year: 11.0 years).
Sensitivity analysis
Changes at the reporting date to one of the relevant actuarial assumptions, holding other assumptions constant, would have
affected the defined benefit obligation by the amounts shown below:

in € million | 2023 | 2022
| Increase | Decrease | Increase | Decrease
Discount rate (1 percentage point change) | (13) | 15 | (12) | 14
Future salary growth (0.5 percentage change) | 1 | (1) | 1 | (1)
Future pension increase (0.25 percentage change) | 3 | (3) | 3 | (1)
Remaining life expectancy (change 1 year) | 7 | (7) | 7 | (7)

Other termination benefits

in € million | 2023 | 2022
Defined benefit obligation as at 1/1 | 71 | 92
Change in consolidated group | 0 | 0
Current service cost | 3 | 5
Interest cost | 3 | 1
Payments | (4) | (6)
Loss/gain on DBO due to past service cost | 0 | 0
Transfers | 0 | 0
Remeasurements | 0 | (22)
Defined benefit obligation as at 31/12 | 72 | 71

Consolidated financial statements 115
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Actuarial assumptions
The long-term actuarial assumptions used to calculate the other termination benefits:

in per cent | 2023 | 2022
Discount rate | 2.6-4.0 | 2.6-4.0
Additional future salary increase for employees | 3.2-5.1 | 3.2-5.1

Employee benefit expenses
Details of employee benefit expenses (expenses for defined benefit pension plans, other benefits due to termination of
employment) are stated under (7) General administrative expenses.
(28) Other liabilities

in € million | 2023 | 2022
Provisions for overdue vacations | 74 | 72
Liabilities from insurance activities | 280 | 271
Deferred income and accrued expenses | 564 | 509
Sundry liabilities | 330 | 363
Total | 1,248 | 1,215

Insurance business
RBI’s insurance business consists of pension and other insurance products in Croatia and Belarus. Due to the existence of
insurance risk and investment risk in these products, it is necessary to apply IFRS 17 for the accounting of the resulting
liabilities. All assets related to the provision of pension products are accounted for under IFRS 9.
The following table shows an analysis of the change in insurance contract liabilities:

in € million | Estimates of the present value of the future cash flows | Risk adjustment | Contractual service margin | Total
As at 1/1/2023 | 203 | 6 | 55 | 264
Insurance service result | 23 | 1 | (27) | (3)
Insurance finance expenses | 6 | 0 | 0 | 6
Total changes in the profit and loss | 29 | 1 | (27) | 3
Premiums received | 50 | 0 | 0 | 50
Claims, benefits and other expenses paid | (36) | 0 | 0 | (36)
Total cash flows | 14 | 0 | 0 | 14
Effect of exchange rate changes | (1) | 0 | 0 | (1)
As at 31/12/2023 | 246 | 7 | 28 | 280

This table presents the development of the liability from the beginning of the period considering the net cash flows and P&L
effects. From the IFRS 17 view, the total liability is split into three parts. The first part contains mainly the best estimate of the
reserve for future liabilities, i.e. the present value of future annuities and future expenses. On top of that an additional risk
adjustment is added, which represents the non-financial components of the reserve (e.g. longevity, mortality, expense
assumption). The reserve plus risk adjustment are the liability (cash outflow) towards third persons. The contractual service
margin is the expected future profit.
116 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Analysis of the development of liabilities for remaining coverage and for incurred claims:

in € million | Liabilities for remaining coverage | Liabilities for incurred claims | Total
| Excluding onerous contracts component | Onerous contracts component
As at 1/1/2023 | 262 | 2 | 0 | 264
Insurance revenue | (38) | 0 | 0 | (38)
Insurance service expenses | 0 | 0 | 35 | 35
Insurance service result | (38) | 0 | 36 | (3)
Insurance finance expenses | 6 | 0 | 0 | 6
Total changes in the profit and loss | (32) | 0 | 36 | 3
Premiums received | 50 | 0 | 0 | 50
Claims, benefits and other expenses paid | 0 | 0 | (35) | (36)
Total cash flows | 50 | 0 | (35) | 14
Effect of exchange rate changes | (1) | 0 | 0 | (1)
As at 31/12/2023 | 279 | 2 | 0 | 280

Liabilities for remaining coverage relate to future payouts and liabilities for incurred claims relate to past claims. The onerous
contract component occurs when pricing is too low due to market development and the contracts becoming onerous.
Insurance revenue consists mainly of revenue for coverage provided in the period and revenue from release of risk adjustment
in the period. Insurance service expenses consist of claims and other insurance service expenses as well as changes in cash
flows and risk adjustments that relate to coverage provided in the period and in the past. The insurance finance expenses
relate to the unwinding of discount rates and the change in discount rates.
Fulfillment cash flows
Fulfillment cash flows comprise estimates of future cash flows, an adjustment to reflect the time value of money and the
financial risks related to the future cash flows (discounting) and a risk adjustment for non-financial risk. The time value of
money and financial risks consist of the risk-free rate which is derived from government bonds with a credit risk adjustment.
On top of the risk-free rate the illiquidity premium is added. The illiquidity premium is derived from the spread of government
and corporate bonds of same credit quality and the illiquidity characteristic of the portfolio.
The following table provides information on the yield curves used to discount estimated future cash flows:

| 1 year | 5 years | 10 years | 20 years | 30 years
Croatia | 4.2% | 3.5% | 3.7% | 4.0% | 4.1%
Belarus | 11.6% | 12.2% | 11.4% | 10.2% | 9.1%

The risk adjustment for non-financial risk is the compensation required for bearing the uncertainty about the amount and
timing of the cash flows that arises from non-financial risks in insurance contracts. The risk margin is calculated based on a
cost of capital approach.
The mortality tables used are composed out of the official ones from the Croatian Bureau of Statistics and the National
Statistical portal of the Republic of Belarus. The calculation of the probability of termination and of the expected expenses is
based on historical data. Forecasted investment income is calculated based on companies’ current investment portfolio.
Risks in the insurance business
RBI’s insurance business comprises two main lines of business: pension insurance, where interest rate and future expense risk
are the main risks, and life insurance, where interest rate, mortality and termination risk are significant.
· Interest rate risk – the risk of change of the market observable rates
· Mortality risk – the risk of loss or adverse changes of insurance obligations’ value because of mortality rate changes
· Longevity risk – the risk that future expenses for pension payments will increase due to decrease of mortality rates
· Future cost risk – the risk of increase of future expenses has an impact on the contractual service margin
· Termination risk – due to possible termination of contracts.
Consolidated financial statements 117
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
RBI does not use reinsurance contracts to mitigate the risk but mitigates the risk by portfolio mix.
Sensitivity to the above risks is very low due to the absorbing effect of the contractual service margin and small amount of
onerous contracts, therefore, it is not shown here.
(29) Equity and non-controlling interests
RBI applies IAS 32 Financial Instruments: Presentation, to decide whether to classify as financial liability or equity. Financial
instruments issued are classified as liabilities if the contractual agreement results in RBI being committed to either deliver cash
or another financial asset or a variable number of equity shares to the holder of the instrument. If this is not the case the
instrument is classified as an equity instrument and the proceeds, net of transaction costs, are recognized in equity.

in € million | 2023 | 2022
Consolidated equity | 17,009 | 16,027
Subscribed capital | 1,002 | 1,002
Capital reserves | 4,988 | 4,990
Retained earnings | 15,600 | 13,637
hereof consolidated profit/loss | 2,386 | 3,627
Cumulative other comprehensive income | (4,580) | (3,601)
Non-controlling interests | 1,231 | 1,127
Additional tier 1 | 1,610 | 1,610
Total | 19,849 | 18,764

The development of equity is shown in chapter statement of changes in equity.
The list of all companies which were included in the scope of consolidation for the first time can be found in chapter
consolidated group.
The consolidated return on equity amounted to 14.8 per cent in the financial year (previous year: 26.8 per cent). This decreased
due to the 17 per cent increased average equity base and the lower consolidated profit. The return on total assets calculated in
accordance with § 64 (1) 19 BWG was 1.29 per cent (previous year: 1.83 per cent).
Subscribed capital
As at 31 December 2023, the company’s share capital amounted to € 1,003,265,844.05 and was divided into 328,939,621 voting
common bearer shares. As at 31 December 2023, 573,938 (31 December 2022: 510,450) of those were own shares, and
consequently 328,365,683 shares were outstanding at the reporting date.
Own shares
At the reporting date, own shares of RBI AG are deducted directly from equity. Gains and losses on own shares have no impact
on the income statement.
The Annual General Meeting held on 31 March 2022 authorized the Management Board pursuant to § 65 (1) 8, § 65 (1a) and § 65
(1b) of the AktG to purchase own shares and to retire them if appropriate without requiring any further prior resolutions to be
passed by the Annual General Meeting, though with the approval of the purchase by the Supervisory Board can also be
effected off-exchange under the exclusion of the shareholders’ pro rata tender right. Own shares, whether already purchased
or to be purchased, may not collectively exceed 10 per cent of the company’s share capital. The authorization to purchase own
shares expires 30 months after the date of the Annual General Meeting resolution, i.e. until 30 September 2024. The acquisition
price for repurchasing the shares may be no lower than € 3.05 per share and no higher than 10 per cent above the average
unweighted closing price over the 10 trading days prior to exercising this authorization. The authorization may be exercised in
full or in part or also in several partial amounts, for one or more purposes – with the exception of securities trading – by the
company, by a subsidiary (§ 189a (7) of the UGB) or by third parties for the account of the company or a subsidiary.
The Management Board was further authorized, pursuant to § 65 (1b) of the AktG, to decide, with the approval of the
Supervisory Board, on the sale of own shares by means other than the stock exchange or a public tender, to the full or partial
exclusion of shareholders’ subscription rights, and to stipulate the terms of sale. Shareholders’ subscription rights may only be
excluded if the own shares are used to pay for a contribution in kind, to acquire enterprises, businesses, operations or stakes in
one or several companies in Austria or abroad. Furthermore, shareholders’ subscription rights may be excluded in the event
that convertible bonds are issued in future, in order that (own) shares may be issued to such convertible bond creditors that
have exercised their right of conversion into or subscription to shares in the company, and also in the event of a conversion
obligation stipulated in the convertible bonds’ issuance conditions in order to fulfil this conversion obligation. This authorization
may be exercised in whole, in part or in several partial amounts for one or more purposes by the company, a subsidiary (§ 189a
118 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
7 UGB) or by third parties for the account of the company or a subsidiary and remains in force for five years from the date of
this resolution, i.e. until 31 March 2027. Since that time, there were no own shares purchased based on this authorization from
March 2022.
The Annual General Meeting of 31 March 2022 also authorized the Management Board, under the provisions of § 65 (1) 7 of the
AktG, to purchase own shares for the purpose of securities trading, which may also be conducted off-market, during a period
of 30 months from the date of the resolution (i.e. until 30 September 2024), provided that the trading portfolio of shares
purchased for this purpose does not at the end of any given day exceed 5 per cent of the company's respective share capital.
The consideration for each share to be acquired must not be less than half the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition and must not exceed twice the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition. This authorization may be exercised in full or in part or also in several partial
amounts by the company, by a subsidiary (§ 189a (7) UGB) or by third parties acting for the account of the company or a
subsidiary.
Authorized capital
Pursuant to § 169 of the Austrian Stock Corporation Act (AktG), the Management Board has been authorized since the Annual
General Meeting of 13 June 2019 to increase the share capital with the approval of the Supervisory Board – in one or more
tranches – by up to € 501,632,920.50 through the issuance of up to 164,469,810 new voting common bearer shares in exchange
for contributions in cash and/or in kind (including by way of the right of indirect subscription by a bank pursuant to § 153 (6) of
the AktG) by 2 August 2024 at the latest and to fix the offering price and terms of the issue with the approval of the
Supervisory Board. The Management Board is further authorized to exclude shareholders’ subscription rights with the approval
of the Supervisory Board (i) if the capital increase is carried out in exchange for contributions in kind, or (ii) if the capital
increase is carried out in exchange for contributions in cash and the shares issued under the exclusion of subscription rights do
not exceed 10 per cent of the company’s share capital (exclusion of subscription rights). The (i) utilization of authorized capital
with exclusion of the statutory subscription right in the event of a capital increase in return for a contribution in cash, and the
(ii) implementation of the conditional capital resolved upon in the Annual General Meeting on 20 October 2020 in order to grant
conversion or subscription rights to convertible bond creditors may not exceed 10 per cent in total of the share capital of the
company. The utilization of the authorized capital in the form of a capital increase in return for a contribution in kind is not
covered by this restriction. No use has been made to date of the authority granted in June 2019 to utilize the authorized
capital.
Dividend
Due to the ongoing war in Ukraine and the resulting geopolitical and economic uncertainty, the Management Board and
Supervisory Board proposed to the Annual General Meeting on 30 March 2023 that the net profit for 2022 be carried forward to
new account. After the volatile market environment in the spring, it was deemed prudent to wait for further developments in
the financial year 2023 in terms of cautious capital and liquidity management. The extraordinary General Meeting decided on
21 November 2023, due to the positive development in the financial year 2023, the distribution of a dividend of € 0.80 for each
share that was entitled to a dividend for the 2022 financial year.
Dividend proposal
The Management Board will purpose to the Annual General Meeting on 4 April 2024, the distribution of a dividend of € 1.25 per
share. This would result in a maximum amount of € 411 million based on the issued shares.
Number of shares outstanding

Number of shares | 2023 | 2022
Number of shares issued as at 1/1 | 328,939,621 | 328,939,621
New shares issued | 0 | 0
Number of shares issued as at 31/12 | 328,939,621 | 328,939,621
Own shares as at 1/1 | 510,450 | 322,204
Purchase of own shares | 63,488 | 188,246
Sale of own shares | 0 | 0
Less own shares as at 31/12 | 573,938 | 510,450
Number of shares outstanding as at 31/12 | 328,365,683 | 328,429,171

Consolidated financial statements 119
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Additional tier 1 capital
On 5 July 2017, RBI AG issued perpetual additional tier 1 capital (AT1) with a nominal value of € 650,000 thousand. The interest
rate was until 14 December 2022 6.125 per cent p.a. and was reset thereafter at 8.659 per cent. RBI placed another issue of
perpetual additional tier 1 capital (AT1) with a volume of € 500,000 thousand on 24 January 2018. The discretionary coupon on
this issue is 4.5 per cent p.a. until mid-June 2025, after which it will be reset. On 29 July 2020, RBI placed another perpetual
additional tier 1 capital (AT1) instrument in the amount of € 500,000 thousand. The discretionary coupon on this issue is 6 per
cent p.a. until December 2026, after which point it will be reset. Due to the terms and conditions of issue, the additional tier 1
capital is classified as equity under IAS 32. Own shares, which have a nominal value of € 28,200 thousand, were also deducted
from the capital. The nominal value per security for all tranches is € 200 thousand.

Number of AT1 securities | 2023 | 2022
Number of AT1 securities issued as at 1/1 | 8,250 | 8,250
New AT1 securities issued | 0 | 0
Number of AT1 securities issued as at 31/12 | 8,250 | 8,250
Own AT1 securities as at 1/1 | 138 | 80
Purchase of own AT1 securities | 102 | 217
Sale of own AT1 securities | (99) | (159)
Less own AT1 securities as at 31/12 | 141 | 138
Number of AT1 securities outstanding as at 31/12 | 8,109 | 8,112

Development of cumulative other comprehensive income of Group equity (without
non-controlling interests)
Other comprehensive income comprises all income and expenses directly recognized in equity according to IFRS standards.
Income and expenses recognized directly in equity that are reclassified in the income statement are reported separately from
income and expenses recognized directly in equity that are not reclassified in the income statement. Currency differences
resulting from the translation of equity in subsidiaries held in foreign currency, changes resulting from the hedging of net
investments in a foreign entity (capital hedge), the effective part of a cash flow hedge, changes resulting from valuation of
financial assets (debt instruments) of the category FVOCI, proportionate other comprehensive income from associates valued
at equity as well as deferred taxes on the mentioned items are recognized in other comprehensive income. Revaluations of
defined benefit plans, valuation changes of financial assets (equity instruments) of the category FVOCI, valuation changes on
account of the change in the own default risk of financial liabilities at fair value, proportionate other comprehensive income
from associates as well as deferred taxes on the mentioned items are reported in other comprehensive income and are not
reclassified to the income statement.

in € million | Remeasurements reserve acc. to IAS 19 | Exchange differences | Net investment hedge | Cash flow hedge
As at 1/1/2022 | (40) | (3,473) | 178 | (29)
Unrealized net gains/losses of the period | 34 | 0 | 0 | 0
Items that may be reclassified subsequently to profit or loss | 0 | (33) | (39) | (41)
Net gains/losses reclassified to income statement | 0 | 7 | 0 | 0
Reclassification of the valuation reserve of financial assets | 0 | 0 | 0 | 0
As at 31/12/2022 | (6) | (3,500) | 138 | (70)
Impact of adopting IFRS 17 | 0 | 0 | 0 | 0
As at 1/1/2023 | (6) | (3,500) | 138 | (70)
Unrealized net gains/losses of the period | (2) | 0 | 0 | 0
Items that may be reclassified subsequently to profit or loss | 0 | (1,130) | 37 | (3)
Net gains/losses reclassified to income statement | 0 | 0 | 0 | 0
Reclassification of the valuation reserve of financial assets | 0 | 0 | 0 | 0
As at 31/12/2023 | (9) | (4,629) | 175 | (73)
Deferred taxes | 3 | 0 | 0 | 21
As at 31/12/2023 net | (5) | (4,629) | 175 | (52)

120 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | At Fair Value OCI | Fair Value Option | At equity | Total
As at 1/1/2022 | 147 | (55) | (7) | (3,280)
Unrealized net gains/losses of the period | (59) | 61 | 25 | 60
Items that may be reclassified subsequently to profit or loss | (108) | 0 | (202) | (422)
Net gains/losses reclassified to income statement | 0 | 0 | 0 | 7
Reclassification of the valuation reserve of financial assets | 3 | 0 | 0 | 3
As at 31/12/2022 | (16) | 6 | (184) | (3,632)
Impact of adopting IFRS 17 | 0 | 0 | 50 | 50
As at 1/1/2023 | (16) | 6 | (134) | (3,582)
Unrealized net gains/losses of the period | (1) | 6 | (2) | 0
Items that may be reclassified subsequently to profit or loss | 69 | 0 | 6 | (1,020)
Net gains/losses reclassified to income statement | 0 | 0 | 0 | 0
Reclassification of the valuation reserve of financial assets | 0 | 0 | 0 | 0
As at 31/12/2023 | 52 | 12 | (130) | (4,602)
Deferred taxes | (4) | (3) | 4 | 22
As at 31/12/2023 net | 47 | 9 | (126) | (4,580)

Development of deferred taxes included in other comprehensive income:

in € million | 1/1/2022 | Development | 31/12/2022 | Development | 2023
Remeasurements reserve acc. to IAS 19 | 2 | 1 | 2 | 1 | 3
Exchange differences | 0 | 0 | 0 | 0 | 0
Net investment hedge | 0 | 0 | 0 | 0 | 0
Cash flow hedge | 6 | 13 | 19 | 2 | 21
At fair value OCI | (2) | 9 | 8 | (12) | (4)
Fair value option | 0 | (1) | (1) | (1) | (3)
At equity | 2 | 1 | 3 | 1 | 4
Deferred taxes total | 8 | 23 | 31 | (9) | 22

The changes in fair value of designated liabilities resulting from changes in RBI's own default risk amounted to € 6 million in the
reporting period (previous year: € 61 million). The difference between the current fair value of these designated liabilities and
the contractually agreed payment amount for the date of final maturity amounted to € 85 million (previous year: € 81 million).
There were no significant transfers within equity or derecognition of liabilities measured at fair value in the reporting period.
Non-controlling interests
The following table contains financial information on the Group's subsidiaries in which there are significant non-controlling
interests. The amounts shown relate to non-controlling interests that were not eliminated.

2023 in € million | Share of voting rights and equity of non- controlling interests | Net assets of non-controlling interests | Profit/loss of non-controlling interests | Other comprehensive income of non- controlling interests | Total comprehensive income of non- controlling interests
Raiffeisen Bank JSC, Kiev (UA) | 31.8% | 163 | 39 | (12) | 27
Raiffeisenbank a.s., Prague (CZ) | 25.0% | 545 | 57 | (9) | 48
Tatra banka a.s., Bratislava (SK) | 21.2% | 330 | 50 | 1 | 51
Priorbank JSC, Minsk (BY) | 12.3% | 58 | 13 | (11) | 2
Valida Pension AG, Vienna (AT) | 42.6% | 80 | 3 | 0 | 3
Other | n/a | 55 | 30 | 0 | 30
Total |  | 1,231 | 192 | (31) | 161

Consolidated financial statements 121
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 in € million | Share of voting rights and equity of non- controlling interests | Net assets of non-controlling interests | Profit/loss of non-controlling interests | Other comprehensive income of non- controlling interests | Total comprehensive income of non- controlling interests
Raiffeisen Bank JSC, Kiev (UA) | 31.8% | 136 | 21 | (33) | (12)
Raiffeisenbank a.s., Prague (CZ) | 25.0% | 532 | 79 | 12 | 91
Tatra banka a.s., Bratislava (SK) | 21.2% | 300 | 41 | (3) | 39
Priorbank JSC, Minsk (BY) | 12.3% | 56 | 14 | (1) | 13
Valida Pension AG, Vienna (AT) | 42.6% | 77 | 6 | 0 | 6
Other | n/a | 26 | 10 | 1 | 11
Total |  | 1,127 | 170 | (24) | 147

As opposed to the above stated financial information which only relates to significant non-controlling interests, the following
table contains financial information of the significant individual subsidiaries (including controlling interests):

2023 in € million | Raiffeisen Bank JSC, Kiev (UA) | Raiffeisenbank a.s., Prague (CZ) | Tatra banka a.s., Bratislava (SK) | Priorbank JSC, Minsk (BY) | Valida Pension AG, Vienna (AT)
Operating income | 532 | 732 | 589 | 216 | 33
Profit/loss after tax | 121 | 229 | 237 | 106 | 8
Other comprehensive income | (37) | (36) | 5 | (88) | 0
Total comprehensive income | 84 | 193 | 243 | 18 | 8
Current assets | 3,680 | 12,290 | 8,221 | 2,110 | 85
Non-current assets | 793 | 15,093 | 13,852 | 220 | 237
Short-term liabilities | 3,942 | 22,866 | 18,047 | 1,832 | 10
Long-term liabilities | 18 | 2,338 | 2,472 | 23 | 124
Net assets | 512 | 2,178 | 1,553 | 476 | 188
Net cash from operating activities | 377 | 2,825 | 317 | 161 | 59
Net cash from investing activities | (445) | (2,393) | (648) | 213 | 0
Net cash from financing activities | (3) | (160) | (122) | (1) | (10)
Effect of exchange rate changes | (27) | 0 | (4) | (171) | 0
Net increase in cash and cash equivalents | (97) | 271 | (457) | 202 | 49
Dividends paid to non-controlling interests during the year 1 | 0 | 34 | 21 | 0 | 0
1 Included in net cash from financing activities

2022 in € million | Raiffeisen Bank JSC, Kiew (UA) | Raiffeisenbank a.s., Prag (CZ) | Tatra banka a.s., Bratislava (SK) | Priorbank JSC, Minsk (BY) | Valida Pension AG, Wien (AT)
Operating income | 523 | 754 | 508 | 247 | 35
Profit/loss after tax | 65 | 314 | 194 | 117 | 13
Other comprehensive income | (102) | 48 | (12) | (11) | 0
Total comprehensive income | (37) | 362 | 182 | 105 | 13
Current assets | 3,661 | 11,812 | 8,661 | 1,972 | 91
Non-current assets | 598 | 13,123 | 12,941 | 587 | 231
Short-term liabilities | 3,807 | 20,698 | 16,446 | 2,077 | 10
Long-term liabilities | 23 | 2,109 | 3,741 | 24 | 131
Net assets | 428 | 2,127 | 1,415 | 458 | 181
Net cash from operating activities | 388 | 501 | 1,237 | 1,159 | (4)
Net cash from investing activities | (339) | (296) | (655) | (257) | (2)
Net cash from financing activities | (3) | (38) | (134) | (1) | 0
Effect of exchange rate changes | (57) | 24 | (1) | 2 | 0
Net increase in cash and cash equivalents | (11) | 191 | 448 | 903 | (7)
Dividends paid to non-controlling interests during the year 1 | 0 | 2 | 24 | 0 | 0
1 Included in net cash from financing activities

Significant restrictions
For Raiffeisenbank a.s., Prague, a syndicate contract exists between RBI AG and the joint shareholder. The syndicate contract
regulates especially purchase options between direct and indirect shareholders. The syndicate contract expires automatically
if control over the company changes – also in the case of a takeover bid.
The European Bank for Reconstruction and Development (EBRD) participated in the capital increase of Raiffeisen Bank JSC, Kiev,
which took place in December 2015. Within the course of this transaction, RBI agreed with EBRD – if EBRD makes a
122 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
corresponding request to RBI within a time window between the sixth and eighth year after EBRD acquired shares in Raiffeisen
Bank JSC, Kiev – to offer ERBD RBI shares commensurate in value in exchange for the Raiffeisen Bank JSC, Kiev, shares held by
EBRD in a so-called share swap. The execution of this transaction is subject to approvals from regulatory authorities, the
Annual General Meeting and other committees.
Notes of financial instruments
(30) Loan commitments, financial guarantees and other commitments
Financial guarantees
According to IFRS 9, a financial guarantee is a contract under which the guarantor is obliged to make certain payments that
compensate the party to whom the guarantee is issued for losses arising in the event that a particular debtor does not fulfill
payment obligations on time as stipulated in the original terms of a debt instrument. At the date of recognition of a financial
guarantee, the initial fair value corresponds under market conditions to the premium at the date of signature of the contract.
In contrast to the presentation of impairments of financial assets, expected loan defaults are shown as a provision on the
liabilities side.
Contingent liabilities and commitments
This item mainly includes contingent liabilities from undrawn loan commitments. Loan commitments must be reported when a
credit risk may occur. These include commitments to provide loans, to purchase securities or to provide guarantees and
acceptances. Loan loss provisions for loan commitments are reported under provisions for liabilities and charges. Often, loan
commitments are only partially drawn and thus comprise a drawn and an undrawn commitment. If it is not possible to
separately identify the expected credit losses applicable to a drawn commitment and those to an undrawn commitment,
these are shown together with the impairments of the financial asset, in accordance with IFRS 7. The total expected credit
losses are shown as a provision if they exceed the gross carrying amount of the financial asset. Major contingent liabilities
from legal disputes are shown under (46) Pending legal issues.

in € million | 2023 | 2022
Loan commitments given | 36,601 | 37,193
Financial guarantees given | 9,761 | 9,370
Other commitments given | 4,939 | 4,580
Total | 51,301 | 51,143
Provisions for off-balance sheet items according to IFRS 9 | (204) | (236)

The decrease in provisions for off-balance sheet risks in accordance with IFRS 9 was mainly attributable to Russia in the
amount of € 13 million and to head office in the amount of € 18 million and was mainly related to provisions for non-financial
corporations. In addition to the provisions presented for off-balance sheet risks in accordance with IFRS 9, provisions of € 2
million were recognized for other commitments made in accordance with IAS 37 (previous year: € 10 million).
Nominal value and provisions for off-balance sheet liabilities from commitments and financial guarantees according to IFRS 9
shown by counterparties and stages – in accordance with § 51 (13) of the Austrian Banking Act (BWG):

2023 | Nominal amount | Provisions for off-balance sheet items according to IFRS 9 | ECL coverage ratio
in € million | Stage 1 | Stage 2 | Stage 3 | Stage 1 | Stage 2 | Stage 3 | Stage 1 | Stage 2 | Stage 3
Central banks | 0 | 0 | 0 | 0 | 0 | 0 | 0.2% | - | -
General governments | 219 | 4 | 20 | 0 | 0 | 0 | 0.0% | 3.8% | 0.0%
Banks | 2,142 | 260 | 0 | 0 | (1) | 0 | 0.0% | 0.5% | -
Other financial corporations | 5,999 | 511 | 4 | (10) | (5) | (3) | 0.2% | 0.9% | 68.7%
Non-financial corporations | 30,883 | 4,915 | 109 | (38) | (82) | (36) | 0.1% | 1.7% | 33.2%
Households | 5,334 | 886 | 15 | (11) | (8) | (10) | 0.2% | 0.9% | 66.9%
Total | 44,577 | 6,576 | 149 | (58) | (96) | (49) | 0.1% | 1.5% | 33.2%

Consolidated financial statements 123
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Nominal amount | Provisions for off-balance sheet items according to IFRS 9 | ECL coverage ratio
in € million | Stage 1 | Stage 2 | Stage 3 | Stage 1 | Stage 2 | Stage 3 | Stage 1 | Stage 2 | Stage 3
Central banks | 0 | 0 | 0 | 0 | 0 | 0 | 0.1% | - | -
General governments | 317 | 6 | 41 | 0 | 0 | 0 | 0.0% | 2.7% | 0.0%
Banks | 1,967 | 307 | 10 | 0 | (5) | (1) | 0.0% | 1.5% | 10.0%
Other financial corporations | 5,350 | 1,235 | 7 | (5) | (6) | (1) | 0.1% | 0.5% | 18.1%
Non-financial corporations | 27,874 | 6,878 | 152 | (45) | (94) | (43) | 0.2% | 1.4% | 28.0%
Households | 5,939 | 1,043 | 16 | (14) | (10) | (12) | 0.2% | 0.9% | 72.3%
Total | 41,447 | 9,470 | 227 | (64) | (115) | (56) | 0.2% | 1.2% | 24.9%

Development of provisions for loan commitments, financial guarantees and other
commitments given:

| Stage 1 | Stage 2 | Stage 3 | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL |
As at 1/1/2023 | 64 | 115 | 56 | 236
Increases due to origination and acquisition | 46 | 33 | 4 | 83
Decreases due to derecognition | (20) | (41) | (10) | (72)
Changes due to change in credit risk (net) | (28) | (5) | 1 | (32)
Decrease due to write-offs | 0 | 0 | 0 | 0
Changes due to model/risk parameters | 0 | 0 | 0 | 0
Change in consolidated group | 0 | 0 | 0 | 0
Foreign exchange and other | (5) | (5) | (2) | (11)
As at 31/12/2023 | 58 | 96 | 49 | 204

| Stage 1 | Stage 2 | Stage 3 | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL |
As at 1/1/2022 | 43 | 84 | 58 | 185
Increases due to origination and acquisition | 42 | 27 | 5 | 73
Decreases due to derecognition | (14) | (24) | (8) | (45)
Changes due to change in credit risk (net) | (3) | 29 | 3 | 29
Decrease due to write-offs | 0 | 0 | (2) | (2)
Changes due to model/risk parameters | 0 | 1 | 0 | 0
Change in consolidated group | 0 | 0 | 0 | 0
Foreign exchange and other | (3) | (1) | 0 | (5)
As at 31/12/2022 | 64 | 115 | 56 | 236

Nominal values of off-balance sheet commitments by rating categories and stages:

2023 | Stage 1 | Stage 2 | Stage 3 | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL |
Excellent | 415 | 73 | 0 | 488
Strong | 18,297 | 1,320 | 0 | 19,616
Good | 18,929 | 3,009 | 0 | 21,938
Satisfactory | 4,969 | 1,687 | 0 | 6,656
Substandard | 92 | 414 | 0 | 506
Credit impaired | 0 | 0 | 148 | 148
Not rated | 1,875 | 73 | 0 | 1,948
Nominal amount | 44,577 | 6,576 | 149 | 51,301
Provisions for off-balance sheet items according to IFRS 9 | (58) | (96) | (49) | (204)
Nominal amount after provisions | 44,518 | 6,480 | 99 | 51,098

124 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Stage 1 | Stage 2 | Stage 3 | Total
in € million | 12-month ECL | Lifetime ECL | Lifetime ECL |
Excellent | 2,158 | 127 | 0 | 2,285
Strong | 15,967 | 3,093 | 0 | 19,059
Good | 16,450 | 3,883 | 0 | 20,333
Satisfactory | 4,723 | 1,860 | 0 | 6,583
Substandard | 228 | 441 | 0 | 669
Credit impaired | 0 | 0 | 226 | 226
Not rated | 1,921 | 66 | 1 | 1,987
Nominal amount | 41,447 | 9,470 | 227 | 51,143
Provisions for off-balance sheet items according to IFRS 9 | (64) | (115) | (56) | (236)
Nominal amount after provisions | 41,383 | 9,355 | 170 | 50,908

The category not rated includes off-balance sheet commitments for some retail customers for whom no ratings are available.
The rating is therefore based on qualitative factors.
(31) Expected credit losses
Expected credit losses from financial instruments should reflect an unbiased and probability-weighted amount that is
determined by evaluating a range of possible outcomes, the time value of money and reasonable and supportable information
that is available without undue cost or effort at the reporting date about past events, current conditions and forecasts of
future economic conditions.
General approach
The measurement of impairment for expected credit loss on financial assets measured at amortized cost and fair value
through other comprehensive income is an area that requires the use of models and assumptions about future economic
conditions and payment behavior. Judgments are required in applying the accounting requirements for measuring expected
credit losses, inter alia:
· Determining criteria for a significant increase in credit risk
· Choosing appropriate models and assumptions for the measurement of expected credit losses
· Consideration of risk factors beyond the current models
· Establishing the number and relative weightings of forward-looking scenarios for each type of product/market and
the associated expected credit losses
· Establishing groups of similar financial assets for the purposes of measuring expected credit losses.
Credit risk is the risk of suffering financial loss should customers, clients or market counterparties fail to fulfil their contractual
obligations or fail to do so on time. Credit risk arises mainly from interbank, commercial and personal loans, and loan
commitments, but can also arise from financial guarantees given, such as, credit guarantees, letters of credit, and
acceptances.
Other credit risks arise from investments in debt securities and from trading activities (trading credit risks), as well as from
settlement balances with market counterparties and reverse repurchase agreements.
Models are applied in order to estimate the likelihood of defaults occurring, the associated default ratios and the exposure at
default. RBI measures credit risks using the probability of default (PD), exposure at default (EAD) and loss given default (LGD).
ESG factors are not yet explicitly included in ECL modelling. However, they are taken into account in the calculation of the
overlays as “Other special risk factors” or “Post-model adjustments”.
Consolidated financial statements 125
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Significant increase in the credit risk
RBI considers a financial instrument to have experienced a significant increase in credit risk when one or more of the following
quantitative, qualitative or backstop criteria have been met:
Quantitative criteria
RBI’s rating systems incorporate all available quantitative and qualitative information relevant for forecasting the credit risk
into the PD. This metric is based primarily on a statistical selection and weighting of all available indicators. In addition, the PD
adjusted in accordance with IFRS 9 requirements takes into account not only historical information and the current economic
environment, but also, in particular, forward-looking information such as the forecast for the development of macroeconomic
conditions. As a consequence, RBI uses the PD as a frame of reference for assessing whether the credit risk of a financial
instrument has risen significantly since the date of its initial recognition. By embedding the review of the relative transfer
criterion within the robust processes and procedures of the bank’s Group-wide credit risk management framework, the bank
ensures that a significant increase in the credit risk is identified in a reliable and timely manner based on objective criteria. The
review to determine whether the credit default risk as at the financial reporting date has risen significantly since the initial
recognition of the respective financial instrument is performed as at the reporting date. This review compares the observed
probability of default over the residual maturity of the financial instrument (Lifetime PD) against the lifetime PD over the same
period as expected on the date of recognition.
RBI uses quantitative criteria as the primary indicator of significant increase in credit risk for all material portfolios. For
quantitative staging RBI compares the lifetime PD curve at reporting date with the forward lifetime PD curve at the date of
initial recognition. Given the different nature of products between non-retail and retail customers, the methods for assessing
potential significant increases in credit risk also differ slightly.
In order to make the two curves for credit risk of non-retail customers comparable, the PDs are scaled down to annualized PDs.
A significant increase in credit risk is considered to have occurred if the PD increase was 250 per cent or greater. For longer
maturities the threshold of 250 per cent is reduced to account for a maturity effect.
For retail exposures, the remaining cumulative PDs are compared as the logit difference (logit is in statistics the natural
logarithm of a probability) between lifetime PD at reporting date and lifetime PD at origination conditional to survival up to the
reporting date. A significant increase in credit risk is considered to have occurred once this logit difference is above a certain
threshold. The threshold levels are calculated separately for each portfolio which is covered by individual rating-based lifetime
PD models. Based on historical data, the thresholds are estimated as a specific quantile of the distribution of the above-
mentioned logit differences on the worsening portfolio (defined by country and product such as mortgage loans, credit cards
and SME loans). That usually translates to a PD increase between 150 and up to 250 per cent, dependent on the default
behavior of the different portfolios.
RBI has developed an adjusted methodology for retail exposures following the implementation of the ECB/EBA IRB repair
package on internal (Pillar 1) models. It has already been implemented in the Croatian subsidiary in 2021 and was rolled out to
all of the remaining subsidiaries in 2022 and 2023. The effects on expected credit losses at group level were minimal for the
most part. The existing approach was adjusted to account for the underlying change in the pillar 1 calibration philosophy,
which, while still following a hybrid approach (mix of stable over the credit cycle and following the cycle), is more focused on
stability. Due to the higher stability of the rating classification of individual loan claims, this leads to smaller differences on the
logits and therefore the quantile will be chosen based on three criteria. The quantile should be still in range of 150 per cent to
250 per cent relative increase; observed volatility of the Stage 2 share over time as well as the historic observed levels of Stage
2 on portfolio level should be the guidance. The general reference values are defined on product level and range from 65 per
cent to 75 per cent based on the experience gained during method development for the available selected portfolios.
According to the existing methodology, 50 per cent of the PD with the greatest deterioration over their lifetime were
considered significant.
Qualitative criteria
RBI uses qualitative criteria in addition to quantitative criteria to recognize a significant increase in credit risk for all material
portfolios.
For the corporate customer, sovereign, bank and project finance portfolios, a transfer to Stage 2 takes place if the borrower
meets one or more of the following criteria:
· Detection of first signs of credit deterioration in the early warning system
· Changes in contract terms as a forbearance measure
· External risk factors with a potentially significant impact on the client’s repayment ability
The assessment of a significant increase in credit risk incorporates forward-looking information and is performed on a monthly
basis at an individual transaction level for all corporate customer, sovereign, bank and project finance portfolios held by RBI.
126 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
For retail portfolios, a Stage 2 transfer takes place if the borrower meets one or more of the following qualitative criteria:
· Forbearance flag active
· Default of material exposure (> 20 per cent of total exposure) of the same customer on another product (PI
segment)
· Holistic approach – applicable for cases where new forward-looking information becomes available for a segment
or portion of the portfolio and this information is not yet captured in the rating system. If such cases are identified,
management measures this portfolio with lifetime expected credit losses (as a collective assessment).
The assessment of significant increase in credit risk incorporates forward-looking information and is performed on a monthly
basis at an individual transaction level for all retail portfolios held by RBI.
Backstop
A backstop is applied, and the financial instrument considered to have experienced a significant increase in credit risk if
contractual payments are more than 30 days overdue. In a few limited cases, financial assets which are more than 30 days
overdue may not show a significantly higher credit risk.
Low credit risk exemption
In selected cases for sovereign debt securities, RBI makes use of the low credit risk exemption. All securities which are
presented as low credit risk have a rating equivalent to investment grade or better, i.e. minimum S&P BBB-, Moody’s Baa3 or
Fitch BBB-. This exemption does not apply to the lending business.
Definition of default and credit-impaired assets
RBI uses the same definition of default for the purposes of calculating expected credit losses under IFRS 9 as for its CRR capital
reporting (Basel III). This definition also places a defaulted receivable in Stage 3.
Default is assessed by referring to quantitative and qualitative triggers. The condition for default is, firstly, when contractual
payments are more than 90 days past due. Secondly, borrowers are considered to be in default if they are in significant
financial difficulty and any credit obligation is unlikely to be repaid in full. The definition of default has been applied
consistently to model the probability of default (PD), exposure at default (EAD) and loss given default (LGD) throughout RBI’s
expected loss calculations.
Explanation of inputs, assumptions and estimation techniques
The expected credit loss is measured on either a twelve-month or lifetime basis depending on whether a significant increase in
credit risk has occurred since initial recognition or whether an asset is considered to be credit-impaired. Forward-looking
economic information is also included in determining the twelve-month and lifetime PD, EAD and LGD. These assumptions vary
by product type. Expected credit losses are the discounted product of the probability of default (PD), loss given default (LGD),
exposure at default (EAD) and discount factor (D).
Probability of Default (PD)
The probability of default represents the likelihood of a borrower defaulting on its financial obligation either over the next
twelve months or over the remaining lifetime of the obligation. In general, the lifetime probability of default is calculated using
the regulatory twelve-month probability of default, stripped of any conservative adjustments, as a starting point. Thereafter
various statistical methods are used to generate an estimate of how the default profile will develop from the point of initial
recognition throughout the lifetime of the loan or portfolio of loans. The default profile is based on historical observed data.
Different models have been used to estimate the default profile of outstanding lending amounts and these can be grouped
into the following categories:
· Corporate customers, project finance and financial institutions: The default profile is generated using a parametric
survival regression (Weibull) approach. Forward-looking information is incorporated into the probability of default
using the Vasicek one factor model. The default rate calibration is based on Kaplan Maier methodology with
withdrawal adjustment.
· Retail lending and mortgage loans: The default profile is generated using parametric survival regression in a
competing risk framework. Forward-looking information is incorporated into the probability of default using satellite
models.
· Sovereigns, local and regional governments, insurance companies and collective investment undertakings: The
default profile is generated using a transition matrix approach. Forward-looking information is incorporated into the
probability of default using the Vasicek one factor model.
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In the limited circumstances where some inputs are not fully available, grouping, averaging and benchmarking of inputs are
used for the calculation.
Loss Given Default (LGD)
Loss given default represents RBI’s expectation of the extent of loss on a defaulted exposure. Loss given default is expressed
as a percentage loss per unit of exposure at the time of default.
Different models are used to estimate the loss given default of outstanding lending amounts and these can be grouped into
the following categories:
· Corporate customers, project finance, financial institutions, local and regional governments, insurance companies:
The loss given default is generated by discounting cash flows collected during the workout process. Forward-looking
information is incorporated into the loss given default using the Vasicek model.
· Retail lending and mortgage loans: The loss given default is generated by stripping the downturn adjustments and
other margins of conservatism form the regulatory loss given default. Forward-looking information is incorporated
into the loss given default using various satellite models.
· Sovereigns: The loss given default is found by using market implied sources.
In the limited circumstances where some inputs are not fully available, alternative recovery models, benchmarking of inputs
and expert judgment are used for the calculation.
Exposure at Default (EAD)
Exposure at default is based on the amount RBI expects to be owed at the time of default. The twelve-month and lifetime
EADs are determined based on the expected payment profile, which varies by contract type. For amortizing products and bullet
repayment loans, this is based on the contractual repayments owed by the borrower over a twelve-month or lifetime basis. If
not already taken into account in the PD estimate over the loan term, early (full) repayment/refinance assumptions are also
considered in the calculation.
For revolving products, the exposure at default is predicted by taking current drawn balance and adding a credit conversion
factor which allows for the expected drawdown of the remaining limit by the time of default. The prudential regulatory
margins are removed from the credit conversion factor. In the limited circumstances where some inputs are not fully available
benchmarking of inputs is used for the calculation.
Discount factor (D)
In principle, for financial assets and assets off the statement of financial position which are not leasing or POCI, the discount
factor used in the expected credit loss calculation is derived from the effective interest rate or an approximation thereof.
Calculation
For loans in Stage 1 and 2, the expected credit loss is the product of PD, LGD and EAD multiplied by the probability not to
default prior to the considered time period. The latter is expressed by the survivorship function S. This calculates future values
of expected credit losses, which are then discounted back to the reporting date and summed. The calculated values of
expected credit losses are then weighted by forward-looking scenario.
Different models have been used to estimate the provisions in Stage 3, and these can be grouped into the following categories:
· Corporate customers, project finance, sovereigns, financial institutions, local and regional governments, insurance
companies and collective investment undertakings: Stage 3 provisions are calculated by workout managers who
discount expected cash flows by the appropriate effective interest rate.
· For retail loans, Stage 3 impairments are determined for the majority of Group units by calculating the statistically
derived best estimate of expected loss adjusted for indirect costs.
128 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Shared credit risk characteristics
Stage 1, Stage 2 and Stage 3 provisions for retail customers are measured on a collective basis. For non-retail business in Stage
3, most of the provisions are individually assessed. For expected credit losses modelled on a collective basis, a grouping of
exposures is performed on the basis of shared credit risk characteristics so that the exposures within each group are similar.
Retail exposure characteristics are grouped according to country, customer classification (households and SMEs), product (e.g.
mortgage, personal loans, overdraft facilities or credit cards), PD rating grade and LGD pool. Each combination of the above
characteristics is considered as a group with a uniform expected loss profile.
Non-retail exposure characteristics are assigned to a probability of default according to rating grade and customer segment.
This groups customer types into individual assessment models. For the determination of LGD and EAD parameters, the
portfolio is grouped by country and product.
Forward-looking information
As a rule, the risk parameters specific to IFRS 9 are estimated not only on historical default information but also particularly on
the current economic environment and forward-looking information. This assessment primarily involves regularly reviewing the
effects which the bank’s macroeconomic forecasts will have regarding the amount of the ECL and including these effects in
the determination of the ECL.
The assessment of significant increases in credit risk and the calculation of expected credit losses both incorporate forward-
looking information. RBI has performed historical analysis and identified the key economic variables impacting credit risk and
expected credit losses for each portfolio.
These economic variables and their associated impact on the probability of default, loss given default and exposure at default
vary by category. Forecasts of these economic variables (the base economic scenario) are provided by Raiffeisen Research on a
quarterly basis and provide the best estimate view of the economy over the next three years. Beyond three years, no
macroeconomic adjustment is carried out. That means that after three years, to project the economic variables for the full
remaining lifetime of each instrument, a mean reversion approach has been used, which means that economic variables tend
to revert to either a long-term average rate or a long-term average growth rate until maturity. The impact of these economic
variables on the probability of default, loss given default and exposure at default has been determined by performing
statistical regression to understand the impact changes in these variables have had historically on default rates and on the
components of loss given default and exposure at default.
In addition to the base economic scenario, Raiffeisen Research also estimates an optimistic and a pessimistic scenario to
ensure that the non-linearity of the ECL, depending on macroeconomic conditions, is captured.
In both the pessimistic and optimistic scenarios, the methodology was adjusted as a result of the high level of uncertainty
related to the current geopolitical situation, specifically the war in Ukraine. As part of these revisions, variables such as the
multiplier were set to reflect the higher weighting of the downside risks to the baseline GDP scenarios, thereby reflecting the
asymmetrical character of such risks. As with any economic forecast, the projections and likelihoods of occurrence are subject
to a high degree of inherent uncertainty; therefore, the actual outcomes may be significantly different from those projected.
RBI considers these forecasts to represent its best estimate of the future outcomes and cover any potential non-linearities and
asymmetries within RBI’s different portfolios.
The most significant assumptions used as a starting point for the expected credit loss estimates at year-end are shown below
(source: Raiffeisen Research, November 2023).
Since 10-year government bonds are not issued either in Ukraine or Belarus, there are no long-term reference rates in these
countries. Due to the current circumstances in Ukraine, no macroeconomic assumptions are currently being made regarding
real estate prices. Belarus also lacks a short-term reference rate.
Consolidated financial statements 129
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

|  | Real GDP | Unemployment
|  | 2024 | 2025 | 2026 | 2024 | 2025 | 2026
| Upside scenario | 4.3% | 3.6% | 3.6% | 6.3% | 6.3% | 6.2%
Croatia | Base | 2.5% | 2.6% | 2.6% | 6.7% | 6.5% | 6.4%
| Downside scenario | (0.5)% | 0.9% | 0.9% | 8.7% | 7.6% | 7.5%
| Upside scenario | 8.7% | 8.3% | 7.8% | 11.7% | 8.9% | 7.9%
Ukraine | Base | 5.4% | 6.5% | 6.0% | 12.0% | 9.0% | 8.0%
| Downside scenario | 0.1% | 3.5% | 3.0% | 13.2% | 9.7% | 8.7%
| Upside scenario | 3.8% | 3.0% | 3.0% | 3.9% | 4.0% | 4.0%
Belarus | Base | 2.0% | 2.0% | 2.0% | 4.0% | 4.0% | 4.0%
| Downside scenario | (0.7)% | 0.5% | 0.5% | 4.4% | 4.2% | 4.2%
| Upside scenario | 1.6% | 1.9% | 2.0% | 5.0% | 4.9% | 4.8%
Austria | Base | 0.6% | 1.4% | 1.4% | 5.1% | 4.9% | 4.8%
| Downside scenario | (0.9)% | 0.6% | 0.6% | 5.5% | 5.1% | 5.0%
| Upside scenario | 4.2% | 4.3% | 4.3% | 4.9% | 5.2% | 6.0%
Poland | Base | 2.7% | 3.5% | 3.5% | 5.4% | 5.5% | 6.3%
| Downside scenario | 1.4% | 2.8% | 2.8% | 6.8% | 6.3% | 7.1%
| Upside scenario | 3.2% | 1.8% | 1.8% | 3.3% | 3.9% | 3.9%
Russia | Base | 1.5% | 0.9% | 0.9% | 3.5% | 4.0% | 4.0%
| Downside scenario | (1.0)% | 0.0% | 1.0% | 4.4% | 4.5% | 4.5%
| Upside scenario | 4.4% | 4.4% | 3.9% | 5.2% | 5.1% | 4.8%
Romania | Base | 2.8% | 3.5% | 3.0% | 5.4% | 5.2% | 4.9%
| Downside scenario | 0.4% | 2.2% | 1.7% | 6.0% | 5.5% | 5.2%
| Upside scenario | 2.9% | 2.9% | 2.8% | 5.0% | 5.1% | 5.0%
Slovakia | Base | 1.6% | 2.2% | 2.1% | 5.5% | 5.4% | 5.3%
| Downside scenario | (0.5)% | 1.0% | 0.9% | 7.8% | 6.7% | 6.6%
| Upside scenario | 3.3% | 3.7% | 3.4% | 3.5% | 3.4% | 3.1%
Czech Republic | Base | 2.1% | 3.0% | 2.7% | 3.8% | 3.5% | 3.2%
| Downside scenario | 0.3% | 2.0% | 1.7% | 4.7% | 4.0% | 3.7%
| Upside scenario | 4.3% | 4.7% | 5.2% | 3.5% | 3.6% | 3.5%
Hungary | Base | 3.0% | 4.0% | 4.5% | 3.8% | 3.7% | 3.6%
| Downside scenario | 1.1% | 2.9% | 3.5% | 5.1% | 4.4% | 4.3%

|  | Long-term bond rate | Real estate prices
|  | 2024 | 2025 | 2026 | 2024 | 2025 | 2026
| Upside scenario | 2.2% | 2.4% | 2.4% | 4.5% | 4.2% | 4.2%
Croatia | Base | 3.6% | 3.2% | 3.2% | 1.5% | 2.5% | 2.5%
| Downside scenario | 6.2% | 4.6% | 4.6% | (2.4)% | 0.3% | 0.3%
| Upside scenario | n/a | n/a | n/a | n/a | n/a | n/a
Ukraine | Base | n/a | n/a | n/a | n/a | n/a | n/a
| Downside scenario | n/a | n/a | n/a | n/a | n/a | n/a
| Upside scenario | n/a | n/a | n/a | 11.9% | 8.7% | 8.7%
Belarus | Base | n/a | n/a | n/a | 7.0% | 6.0% | 6.0%
| Downside scenario | n/a | n/a | n/a | 0.9% | 2.6% | 2.6%
| Upside scenario | 1.8% | 1.9% | 1.8% | (6.6)% | 1.8% | 1.8%
Austria | Base | 3.1% | 2.6% | 2.5% | (8.0)% | 1.0% | 1.0%
| Downside scenario | 4.6% | 3.4% | 3.3% | (9.9)% | 0.0% | 0.0%
| Upside scenario | 3.8% | 4.1% | 3.1% | 0.6% | 4.2% | 4.2%
Poland | Base | 5.5% | 5.0% | 4.0% | (1.5)% | 3.0% | 3.0%
| Downside scenario | 7.6% | 6.1% | 5.1% | (4.3)% | 1.5% | 1.5%
| Upside scenario | 10.7% | 7.7% | 7.7% | 2.0% | 3.8% | 3.8%
Russia | Base | 11.7% | 8.3% | 8.2% | (3.0)% | 1.0% | 1.0%
| Downside scenario | 14.4% | 9.8% | 9.8% | (9.3)% | (2.5)% | (2.5)%
| Upside scenario | 5.3% | 5.3% | 4.3% | 3.9% | 4.8% | 4.8%
Romania | Base | 6.8% | 6.1% | 5.2% | 1.5% | 3.5% | 3.5%
| Downside scenario | 9.5% | 7.6% | 6.7% | (1.6)% | 1.8% | 1.8%
| Upside scenario | 2.4% | 2.5% | 2.4% | 2.8% | 5.4% | 5.4%
Slovakia | Base | 3.6% | 3.2% | 3.1% | (1.5)% | 3.0% | 3.0%
| Downside scenario | 5.8% | 4.4% | 4.3% | (7.1)% | (0.1)% | (0.1)%
| Upside scenario | 2.6% | 2.7% | 2.6% | 1.3% | 4.6% | 4.6%
Czech Republic | Base | 3.8% | 3.4% | 3.3% | (1.5)% | 3.0% | 3.0%
| Downside scenario | 6.0% | 4.6% | 4.5% | (5.2)% | 1.0% | 1.0%
| Upside scenario | 4.7% | 5.1% | 5.0% | 1.6% | 5.5% | 5.5%
Hungary | Base | 6.2% | 6.0% | 5.9% | (2.0)% | 3.5% | 3.5%
| Downside scenario | 9.0% | 7.5% | 7.4% | (6.7)% | 0.9% | 0.9%

130 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

|  | Consumer price index | Short-term interest rate
|  | 2024 | 2025 | 2026 | 2024 | 2025 | 2026
| Upside scenario | 1.2% | 1.5% | 0.9% | 2.6% | 2.7% | 2.3%
Croatia | Base | 3.3% | 2.6% | 2.0% | 3.8% | 3.3% | 3.0%
| Downside scenario | 4.4% | 3.2% | 2.6% | 4.7% | 3.8% | 3.4%
| Upside scenario | (1.0)% | 3.6% | 1.6% | 17.7% | 13.6% | 10.2%
Ukraine | Base | 7.9% | 8.5% | 6.5% | 20.8% | 15.4% | 11.9%
| Downside scenario | 12.5% | 11.1% | 9.1% | 25.6% | 18.0% | 14.6%
| Upside scenario | (7.9)% | (0.2)% | (1.3)% | n/a | n/a | n/a
Belarus | Base | 8.0% | 8.6% | 7.5% | n/a | n/a | n/a
| Downside scenario | 16.3% | 13.2% | 12.1% | n/a | n/a | n/a
| Upside scenario | 2.5% | 2.0% | 1.8% | 2.6% | 2.7% | 2.3%
Austria | Base | 3.8% | 2.8% | 2.5% | 3.8% | 3.3% | 3.0%
| Downside scenario | 4.5% | 3.2% | 2.9% | 4.7% | 3.8% | 3.4%
| Upside scenario | 2.5% | 0.8% | 1.4% | 3.6% | 3.6% | 2.1%
Poland | Base | 5.3% | 2.4% | 3.0% | 5.6% | 4.7% | 3.2%
| Downside scenario | 6.8% | 3.2% | 3.8% | 7.8% | 5.9% | 4.5%
| Upside scenario | 2.0% | 3.0% | 3.0% | 11.8% | 7.2% | 6.7%
Russia | Base | 6.4% | 4.1% | 4.0% | 12.8% | 7.7% | 7.3%
| Downside scenario | 8.7% | 5.4% | 4.0% | 15.3% | 9.1% | 8.6%
| Upside scenario | 3.8% | 2.3% | 1.5% | 3.8% | 3.8% | 2.5%
Romania | Base | 6.8% | 4.0% | 3.2% | 6.2% | 5.1% | 3.8%
| Downside scenario | 8.3% | 4.9% | 4.0% | 8.0% | 6.1% | 4.8%
| Upside scenario | 2.1% | 0.7% | 0.7% | 2.6% | 2.7% | 2.3%
Slovakia | Base | 5.2% | 2.4% | 2.4% | 3.8% | 3.3% | 3.0%
| Downside scenario | 6.7% | 3.2% | 3.2% | 4.7% | 3.8% | 3.4%
| Upside scenario | 0.5% | 0.8% | 0.6% | 4.9% | 3.4% | 2.7%
Czech Republic | Base | 3.1% | 2.2% | 2.0% | 5.7% | 3.8% | 3.1%
| Downside scenario | 4.4% | 3.0% | 2.7% | 6.5% | 4.3% | 3.5%
| Upside scenario | 3.0% | 1.6% | 1.4% | 6.8% | 5.1% | 4.5%
Hungary | Base | 5.8% | 3.2% | 3.0% | 7.3% | 5.4% | 4.8%
| Downside scenario | 7.3% | 4.0% | 3.8% | 10.0% | 7.0% | 6.0%

For the development of a macroeconomic model, a variety of relevant macroeconomic variables were considered. The model
employed is a linear regression model with the aim of explaining changes in or the level of the default rate. The following types
of macro variables were considered as drivers of the credit cycle: real GDP growth, unemployment rate, 3-month money
market rate, 10-year government bond yield, housing price index, FX rates, and the HICP inflation rate. For each country (or
portfolio in case of retail exposure), a relevant set is determined based on the ability to explain historically observed default
rates. Through the cycle, PDs are overlaid with the results of the macro-economic model to reflect the current and expected
state of economy. For corporate customers, additionally the condition of the credit cycle is also taken into account depending
on the industry. While no further adjustment is made to the effect of the macro models for corporate customers in industries
with a neutral outlook, the expected credit risk is assumed as additionally increased for corporate customers in industries with
a poor outlook. For non-retail exposure for LGD, the macro model is applied on the underlying cure rates, i.e. a positive macro-
economic outlook drives up the cure rates and this reduces the LGD. For retail exposures, the workout LGD is modelled in a
similar manner to the default rates either directly or as well via the components like cure rate, loss given cure as well as loss
given non-cure. The long-run average LGDs are overlaid with the results of the macro models to reflect current and expected
state of economy. The weightings assigned to each scenario at the end of the reporting year-end are as follows: 25 per cent
optimistic, 50 per cent base and 25 per cent pessimistic scenarios.
For corporate customers, the following risks and complications resulting from current economic and political developments are
included in the macroeconomic models: High inflation rates by historical standards are currently triggering significant increases
in key interest rates in many countries, leading to higher financing costs for companies. This development is incorporated into
the models of major parts of the portfolio through a change in the 3-month money market rate and the yield on government
bonds, resulting in an increase in expected default risk. While high inflation rates may be associated with higher default risk in
bivariant analyses, the underlying drivers of higher default risk are actually higher interest rates as a result of higher inflation
and economic growth trending downwards, which often occur simultaneously. These drivers are directly captured in the
economic growth and interest rate models. In macroeconomic terms, the years 2020 and 2021 were characterized by extremely
high volatility, starting with a strong decline in real GDP followed by a similar rate of positive economic growth. In contrast to
comparable recessions after the great financial crisis, these developments have not been met by a wave of insolvencies and
defaults, which can be attributed to two factors. For one, the COVID-driven recession primarily consisted of a temporary
suspension of economic activity, which did not necessitate significant structural adjustments. Furthermore, massive political
measures were taken to support the economy in order to avoid long-term consequences stemming from events such as
unemployment and insolvencies. These developments underscore how the relationship between macroeconomic indicators
and credit risk are influenced by circumstances that are difficult to capture by quantitative means. In order to avoid implicit
distortions in the macroeconomic regression models caused by the correlation of events during the COVID pandemic,
observations from the years 2020 and 2021 were not incorporated into the model. The development of real GDP during the
COVID pandemic also showed how models need to take a sufficiently long history of economic developments into
consideration in order to differentiate between strong economic growth immediately following a massive recession (which
leads to no notable reduction in the average default risk) and generally strong economic growth (which does lead to a
Consolidated financial statements 131
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
reduction in default risk). For segments with a longer period of historical data, current models are able to make such a
differentiation, which leads to more accurate projections.
The core assumption underlying the application of macroeconomic credit risk models is that the empirical correlations
between macroeconomic indicators and default risk can be extrapolated to future. In the case of the war in Ukraine, such an
assumption should be critically examined. The empirical correlation between these two factors can be characterized by a
direct but transitory rise in default risk. Due to the uncertainty surrounding the extent to which such a correlation can be
applied to the current situation, the empirical regression model for corporate customers is averaged with the results of a
second model, in which the rise in default risk resulting from a recession is strongly delayed.
Overlays and other risk factors
In situations where the existing input parameters, assumptions and modelling do not cover all relevant risk factors, post-model
adjustments and specific risk factors are the most important types of overlays. This is generally the case if there are
temporary circumstances, time restrictions to adequately incorporate relevant new information into the rating and if individual
loans within a loan portfolio develop differently than originally expected. In view of the given circumstances, in particular the
war in Ukraine and the economic dislocations it has caused, it is necessary to reflect additional risks in the impairments. All of
these adjustments are approved locally by the subsidiaries and centrally by the Group Risk Committee (GRC). There are
portfolio-specific adjustments due to the war and associated sanctions, which are presented in the category geopolitical risk.
For the central models in the corporate segment, the additional risk was considered using the risk factors, while in the local
retail segment the risks were applied on top of the models. For retail exposures, post-model adjustments are the main types of
overlays applied for the calculation of the expected credit losses. Generally, post-model adjustments are only a temporary
solution to avoid potential distortions. They are temporary and typically not valid for more than one to two years. In contrast
to the post-model adjustments, the other risk factors have a somewhat longer time horizon, as sanction risks, for example, can
exist for longer. In addition, retail relevant ECL overlays are subject to earlier in-model adjustments due to a shorter time
horizon. The overlays are shown in the table below and split according to the relevant categories.

2023 | Modeled ECL | Other special risk factors | Post-model adjustments | Total
in € million |  | Macroeconomic risk | Geopolitical risk | Macroeconomic risk | Geopolitical risk |
Central banks | 0 | 0 | 0 | 0 | 0 | 0
General governments | 86 | 1 | 10 | 0 | 0 | 97
Banks | 5 | 0 | 15 | 0 | 0 | 20
Other financial corporations | 126 | 0 | 0 | 0 | 0 | 126
Non-financial corporations | 163 | 239 | 382 | 10 | 4 | 797
Households | 360 | 0 | 0 | 96 | 9 | 466
Total | 740 | 239 | 407 | 106 | 13 | 1,505

2022 | Modeled ECL | Other special risk factors | Post-model adjustments | Total
in € million |  | COVID-19 related | Spill-over effects | Russia/Ukraine war | COVID-19 related | Other |
Central banks | 0 | 0 | 0 | 0 | 0 | 0 | 0
General governments | 46 | 0 | 1 | 15 | 0 | 0 | 61
Banks | 1 | 0 | 0 | 14 | 0 | 0 | 15
Other financial corporations | 163 | 0 | 0 | 0 | 0 | 0 | 163
Non-financial corporations | 150 | 10 | 251 | 374 | 3 | 15 | 801
Households | 446 | 0 | 0 | 0 | 3 | 45 | 495
Total | 805 | 10 | 251 | 403 | 6 | 60 | 1,535

The overlays and other risk factors resulted in additional Stage 1 and Stage 2 provisions of € 765 million (previous year: € 729
million). Of this amount, € 420 million (previous year: € 413 million) related to geopolitical risk, € 345 million (previous year: € 301
million) to macroeconomic risk (spill-over effects and other). At the end of 2023, n o additional provisions for COVID-19 were
included (previous year: € 16 million). An amount of € 13 million was recognized in the spill-over effects due to climate risks. Of
this amount, € 4 million relates to corporate customers and € 9 million to retail customers.
132 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other special risk factors
For corporate customers, additional impairments were recognized in the amount of € 239 million (previous year: € 261 million)
for macroeconomic effects. At year-end 2023, these effects only included the so called spill-over effects whereas in the
previous year COVID-19 related effects were also included (previous year: € 10 million). These risks are not included in the
country-specific branch matrix. Macroeconomic risk, so called spill-over effects, comprises expected downgrades of corporate
clients due to circumstances such as higher energy prices, inflation, supply chain disruptions and due to lower revenues and
higher costs because of the higher energy costs. Additional impairments in the amount of € 406 million (previous year: € 403
million) were recognized for EU and US sanctions against Russia and Belarus (€ 342 million) and for the effects of the war in
Ukraine (€ 64 million). These impairments were recognized in response to the outbreak of war, the sanctions imposed and the
uncertainties that have ensued, and based on RBI’s internal monitoring and control policies. The exposures were also
transferred to Stage 2 for other special risk factors that represent a significant increase in credit risk. Recognition of additional
provisions in the amount of € 64 million (previous year: € 38 million) in Ukraine resulted from the modelling of the ongoing
destruction of the country’s energy infrastructure, ensuing blackouts, the continued shelling and an extension of loan
maturities.
For corporate customers we consider the possibility of a short-term disorderly scenario where carbon emissions are more
expensive and fossil energy prices are higher to take account of climate and environmental risks. While for a diversified
portfolio, like to RBI Group´s, the effects tend net out to a large degree, however there is an elevated risk in some sectors.
These are sectors with customers with low environmental scores such as oil and gas construction. Higher probability of
defaults for these sectors lead to an increase in the expected credit losses.
Post-model adjustments
During the last several quarters the retail customers were severely exposed to increasing inflationary pressure, which impacted
their ability to cover their loans obligations. As part of the IFRS 9 framework, there are PD and LGD macro models at country
and product level, which serve the need to address these high risks stemming from the macroeconomic environment. However,
for certain countries and portfolios where the macroeconomic models either lag behind the key macroeconomic variables
(inflation, interest rates, unemployment, etc.) or are not part of the model, post-model adjustments are implemented for
identified high risk customer group. The latter involve a qualitative assessment of exposures for the expected significant
increase in credit risk and their subsequent transfer from Stage 1 to Stage 2 as well as in particular cases increase of the PD
and/or LGD estimates respectively. The criteria for identifying such credit exposures is based on information from the loan
application and historical payment behavior and is subsequently refined using stressed macroeconomic variables. The post-
model adjustments are reversed either after the risks have materialized by transferring the affected receivables to Stage 3 or
if the expected risks do not materialize.
For the Ukrainian retail portfolio, which has been fully reclassified as Stage 2 since the beginning of the war, the assessment of
provision coverage is based on local expert judgement, which is obtained from the regular contact with individual customers by
the debt collection department. Furthermore, structured customer surveys are carried out to keep up to date with the needs
and potential issues that could influence the repayment ability of the customers. For assets and customers located in occupied
regions or territories, which run a high risk of hostilities or occupation, risk parameters were increased to take into account
higher expected future losses due to the above-mentioned surveys. In addition, the scenario-based approach mentioned above
for the quantification of potential future losses from the very dynamic situation of the war in the Ukraine was also applied to
retail exposures, leading to additional impairments in the amount of € 13 million (previous year: € 10 million). There is currently
ongoing redevelopment of the PD, LGD and macro models in the PI segment, which would reflect the increased default rates
over the last one-and-half years from one side and the new customer behavior from another side.
In a first step, a top down assessment of mortgage collateral for retail customers was carried out to consider climate and
environmental risks, which pose a very high physical risk (flooding, landslides, wildfires). In particular land around large rivers
such as the Danube leads to a higher risk for mortgage collateral. Based on quantitative and qualitative data mortgages
showing elevated risk, the loans were transferred into stage 2 on a collective basis, leading to a higher expected credit loss.
Over the next few years we expect to develop and include the above climate-related matters into the expected credit loss
parameters. We consider the climate related credit risks for micro clients to be immaterial.
Consolidated financial statements 133
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Sensitivity analysis
To simulate a range for potential changes to estimates and the related change in impairments, the following sensitivity
analyses of the most significant assumptions affecting the expected impairments were performed as follows.
The sensitivity analysis involved a recalculation of the impairments for expected credit losses in the existing models. The risk
factors and post-model adjustments – except for the Stage 1 simulations – are fully included in all scenarios and are not
subject to further adjustments. As a result of the complexity of the model, many drivers are not mutually exclusive.
The tables below provide a comparison between the reported accumulated impairment for expected credit losses for financial
assets in Stage 1 and Stage 2 (weighted by 25 per cent optimistic, 50 per cent baseline and 25 per cent pessimistic scenarios),
and then each scenario weighted by 100 per cent on its own. The optimistic and pessimistic scenarios do not reflect extreme
cases in the sample space of the 25 per cent optimistic and pessimistic scenarios, but rather an economically plausible proxy.
This means that these scenarios are at around 25 per cent and 75 per cent respectively on the distribution curve. In general,
IFRS 9 specific estimates of risk parameters take historical default information into account and particularly the current
economic environment. The effects of the estimates based on macroeconomic forecasts are shown in the forward-looking
component. This information is provided for illustrative purposes.

2023 | Accumulated impairment (Stage 1 and 2)
in € million | Simulated scenario | Point in time component | Forward-looking component
100% Optimistic | 1,389 | 1,386 | 2
100% Base | 1,491 | 1,386 | 104
100% Pessimistic | 1,648 | 1,386 | 262
Weighted average (25/50/25%) | 1,505 | 1,386 | 118

2022 | Accumulated impairment (Stage 1 and 2)
in € million | Simulated scenario | Point in time component | Forward-looking component
100% Optimistic | 1,396 | 1,282 | 114
100% Base | 1,507 | 1,282 | 225
100% Pessimistic | 1,732 | 1,282 | 450
Weighted average (25/50/25%) | 1,535 | 1,282 | 252

Overall, the macroeconomic scenarios are currently worse than the long-term average, leading to an increase of the forward-
looking component of € 118 million.
The positive scenario, which is presented in the table below, follows the premise that all exposures are classified as Stage 1 and
all macroeconomic and geopolitical risks are not relevant.
The table below shows the impact of staging on accumulated impairment for financial assets on the assumption that all
accumulated impairment is measured based on twelve-month expected losses (Stage 1).

| Accumulated impairment (Stage 1 and 2)
in € million | 2023 | 2022
Accumulated impairment if 100% in Stage 1 | 647 | 613
Weighted average (25/50/25%) | 1,505 | 1,535
Additional amounts in Stage 2 due to staging | 857 | 921

The negative scenario assumes that all exposures are classified as Stage 2. As a result, all macroeconomic and geopolitical
risks are considered in this analysis.
The table below shows the impact of staging on accumulated impairment for financial assets on the assumption that all
accumulated impairment is measured based on lifetime expected losses (Stage 2).

| Accumulated impairment (Stage 1 and 2)
in € million | 2023 | 2022
Accumulated impairment if 100% in Stage 2 | 2,151 | 2,232
Weighted average (25/50/25%) | 1,505 | 1,535
Additional amounts in Stage 2 | 646 | 697

134 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The table below provides a comparison between the reported accumulated impairment for expected credit losses for financial
assets in Stage 3 and the pessimistic scenario weighted by 100 per cent. The pessimistic scenario does not reflect an extreme
case from the result range of the 25 per cent most pessimistic scenarios, but an economically plausible representative of it.

| Accumulated impairment (Stage 3)
in € million | 2023 | 2022
Pessimistic scenario | 2,115 | 2,038
Weighted average | 1,721 | 1,729
Increase in provisions due to pessimistic scenario | 394 | 310

Derecognition of financial assets
Loans and debt securities are written-off (either partially or fully) where there is no expectation of payment or recovery. This
happens when the borrower no longer has income from operations and collateral values cannot generate sufficient cash flows.
For the exposure of companies in bankruptcy, loans are written down to the value of the collateral if the company no longer
generates cash flows from its operating business. The retail business takes qualitative factors into account. In cases where no
payment has been made for one year, the outstanding amounts are written-off even though derecognized assets may remain
subject to enforcement activities. For the exposure of companies in gone concern cases, loans are written down to the value of
the collateral if the company no longer generates cash flows from its operating business. The contractual amount outstanding
on financial assets that were written off and are still subject to enforcement activity was € 1,425 million (previous year: € 1,484
million).
Derecognition of financial liabilities
The Group derecognizes a financial liability if the obligations of the Group have been paid, expired, or revoked. The income or
expense from the repurchase of own liabilities is shown in the notes under (6) Other net operating income. The repurchase of
own bonds also falls under derecognition of financial liabilities. Differences on repurchase between the carrying amount of the
liability (including premiums and discounts) and the purchase price are reported in the income statement under other net
operating income unless they are liabilities designated at fair value. If the Group repurchases financial liabilities that are
accounted for using the fair value option, fair value changes resulting from a deterioration of the Group’s creditworthiness
(and thus a change in the default risk of the financial liability) are recognized through other comprehensive income and not
reclassified to profit or loss.
The following table shows the gross carrying amount and impairment of the financial assets – amortized cost and financial
assets – fair value through other comprehensive income that have moved in the reporting period from expected twelve-month
losses (Stage 1) to expected lifetime losses (Stages 2 and 3) or vice versa:

2023 | Gross carrying amount | Impairment | ECL coverage ratio
in € million | 12-month ECL | Lifetime ECL | 12-month ECL | Lifetime ECL | 12-month ECL | Lifetime ECL
Movement from 12-month ECL to lifetime ECL | (10,261) | 10,261 | (66) | 721 | 0.6% | 7.0%
Central banks | (47) | 47 | 0 | 0 | 0.0% | 0.0%
General governments | (103) | 103 | (1) | 1 | 0.9% | 1.2%
Banks | (826) | 826 | 0 | 2 | 0.0% | 0.3%
Other financial corporations | (713) | 713 | (4) | 49 | 0.5% | 6.9%
Non-financial corporations | (3,306) | 3,306 | (29) | 405 | 0.9% | 12.2%
Households | (5,266) | 5,266 | (32) | 265 | 0.6% | 5.0%
Movement from lifetime ECL to 12- month ECL | 4,688 | (4,688) | 22 | (159) | 0.5% | 3.4%
Central banks | 0 | 0 | 0 | 0 | - | -
General governments | 97 | (97) | 0 | 0 | 0.1% | 0.3%
Banks | 24 | (24) | 0 | 0 | 0.0% | 0.1%
Other financial corporations | 168 | (168) | 0 | (1) | 0.1% | 0.5%
Non-financial corporations | 2,316 | (2,316) | 13 | (74) | 0.6% | 3.2%
Households | 2,083 | (2,083) | 8 | (84) | 0.4% | 4.0%

Consolidated financial statements 135
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The increase in expected credit losses arising from the measurement of the loss allowance moving from twelve-month
expected credit losses to lifetime losses was € 655 million (previous year: € 733 million). The decrease in expected credit losses
arising from the measurement of the loss allowance moving from lifetime losses to twelve-month expected credit losses was
€ 137 million (previous year: € 156 million).

2022 | Gross carrying amount | Impairment | ECL coverage ratio
in € million | 12-month ECL | Lifetime ECL | 12-month ECL | Lifetime ECL | 12-month ECL | Lifetime ECL
Movement from 12-month ECL to lifetime ECL | (11,451) | 11,451 | (48) | 781 | 0.4% | 6.8%
Central banks | (138) | 138 | 0 | 0 | 0.0% | 0.0%
General governments | (817) | 817 | (4) | 36 | 0.5% | 4.5%
Banks | (232) | 232 | 0 | 13 | 0.0% | 5.7%
Other financial corporations | (864) | 864 | (1) | 50 | 0.1% | 5.8%
Non-financial corporations | (5,329) | 5,329 | (24) | 380 | 0.5% | 7.1%
Households | (4,071) | 4,071 | (18) | 302 | 0.5% | 7.4%
Movement from lifetime ECL to 12- month ECL | 8,335 | (8,335) | 37 | (193) | 0.4% | 2.3%
Central banks | 0 | 0 | 0 | 0 | - | -
General governments | 45 | (45) | 0 | 0 | 0.1% | 0.6%
Banks | 54 | (54) | 0 | 0 | 0.0% | 0.1%
Other financial corporations | 559 | (559) | 6 | (11) | 1.0% | 1.9%
Non-financial corporations | 2,509 | (2,509) | 19 | (76) | 0.8% | 3.0%
Households | 5,168 | (5,168) | 12 | (106) | 0.2% | 2.1%

(32) Collateral and maximum exposure to credit risk
The following table contains details of the maximum exposure as the basis for the following disclosures regarding collateral:

2023 | Maximum exposure to credit risk
in € million | Not subject to impairment standards | Subject to impairment standards | hereof loans and advances non-trading as well as loan commitments, financial guarantees and other commitments
Financial assets - amortized cost | 0 | 142,405 | 116,468
Financial assets - fair value through other comprehensive income¹ | 0 | 2,864 | 0
Non-trading financial assets - mandatorily fair value through profit/loss | 941 | 0 | 567
Financial assets - designated fair value through profit/loss | 185 | 0 | 0
Financial assets - held for trading | 5,357 | 0 | 0
On-balance | 6,483 | 145,268 | 117,036
Loan commitments, financial guarantees and other commitments | 0 | 51,301 | 51,301
Total | 6,483 | 196,569 | 168,337
1 Gross carrying amount is defined according to FINREP Annex V 1.34(b)

2022 | Maximum exposure to credit risk
in € million | Not subject to impairment standards | Subject to impairment standards | hereof loans and advances non-trading as well as loan commitments, financial guarantees and other commitments
Financial assets - amortized cost | 0 | 140,561 | 121,443
Financial assets - fair value through other comprehensive income¹ | 0 | 3,160 | 0
Non-trading financial assets - mandatorily fair value through profit/loss | 751 | 0 | 475
Financial assets - designated fair value through profit/loss | 84 | 0 | 0
Financial assets - held for trading | 6,124 | 0 | 0
On-balance | 6,958 | 143,720 | 121,918
Loan commitments, financial guarantees and other commitments | 0 | 51,143 | 51,143
Total | 6,958 | 194,864 | 173,061
1 Gross carrying amount is defined according to FINREP Annex V 1.34(b)

136 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
RBI employs a range of policies to mitigate credit risk, the most common of which is the acceptance of collateral for loans and
advances provided. A valuation of collateral is performed during the credit approval process. This is then reviewed periodically
using various validation processes. The main types of collateral which are accepted in RBI are residential and commercial real
estate collateral, financial collateral, guarantees and movable goods. Long-term financing is generally secured, and revolving
credit facilities are generally unsecured. Debt securities are mainly unsecured. Derivatives can be secured by cash or master
netting agreements. Collateral from leasing business primarily consist of the value of the leased assets themselves. Items
shown in cash and cash equivalents are considered to have negligible credit risk. Collateral is taken into account uniformly on
the basis of Group directives. The Group directives regarding obtaining collateral were not significantly changed during the
reporting period; however, they are updated on a yearly basis.
The collateral values shown in the tables are capped at the maximum value of the gross carrying amount of the financial
asset. The following table shows non-trading loans and advances as well as loan commitments, financial guarantees and
other commitments that are subject to impairment:

2023 | Maximum exposure to credit risk | Fair value of collateral | Credit risk exposure net of collateral
in € million
Central banks | 7,860 | 6,415 | 1,444
General governments | 2,151 | 929 | 1,222
Banks | 6,857 | 4,868 | 1,989
Other financial corporations | 10,723 | 4,453 | 6,270
Non-financial corporations | 48,645 | 21,603 | 27,042
Households | 40,799 | 27,134 | 13,665
Loan commitments, financial guarantees and other commitments | 51,301 | 6,113 | 45,188
Total | 168,337 | 71,516 | 96,821

2022 | Maximum exposure to credit risk | Fair value of collateral | Credit risk exposure net of collateral
in € million
Central banks | 8,814 | 6,849 | 1,965
General governments | 2,150 | 1,026 | 1,124
Banks | 6,915 | 4,708 | 2,207
Other financial corporations | 11,538 | 4,166 | 7,372
Non-financial corporations | 50,439 | 22,260 | 28,179
Households | 42,063 | 27,838 | 14,225
Loan commitments, financial guarantees and other commitments | 51,143 | 7,743 | 43,400
Total | 173,061 | 74,590 | 98,471

More than half of collateral which can be considered by RBI relate to loans collateralized by immovable property and of this
more than 70 per cent is residential immovable property. Additional collateral mainly comes from guarantees received which
include reverse repo and securities lending business, among other things.
Details of the maximum exposure from financial assets in Stage 3 and the corresponding collateral:

2023 | Maximum exposure to credit risk (Stage 3) | Fair value of collateral (Stage 3) | Credit risk exposure net of collateral (Stage 3) | Impairment (Stage 3)
in € million
Central banks | 0 | 0 | 0 | 0
General governments | 178 | 178 | 0 | (5)
Banks | 4 | 0 | 4 | (2)
Other financial corporations | 286 | 163 | 124 | (89)
Non-financial corporations | 1,741 | 609 | 1,132 | (926)
Households | 1,007 | 226 | 781 | (649)
Loan commitments, financial guarantees and other commitments | 149 | 28 | 121 | (49)
Total | 3,365 | 1,203 | 2,162 | (1,719)

Consolidated financial statements 137
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Maximum exposure to credit risk (Stage 3) | Fair value of collateral (Stage 3) | Credit risk exposure net of collateral (Stage 3) | Impairment (Stage 3)
in € million
Central banks | 0 | 0 | 0 | 0
General governments | 169 | 165 | 5 | (5)
Banks | 4 | 0 | 4 | (4)
Other financial corporations | 75 | 6 | 69 | (34)
Non-financial corporations | 1,477 | 354 | 1,123 | (941)
Households | 1,047 | 226 | 821 | (688)
Loan commitments, financial guarantees and other commitments | 227 | 27 | 200 | (56)
Total | 2,999 | 778 | 2,222 | (1,728)

RBI holds an immaterial amount of repossessed assets on the statement of financial position.
(33) Offsetting of financial assets and liabilities
The disclosures set out in the tables below include financial assets and financial liabilities that are offset in the Group’s
statement of financial position or are subject to an enforceable/unenforceable master netting arrangement or similar
agreement that covers similar financial instruments, irrespective of whether they are offset in the statement of financial
position or not.
Where the borrower and lender are the same, offsetting of loans and liabilities with matching maturities and currencies occurs
if a legal right, by contract or otherwise, exists and offsetting is in line with the actually expected course of the business.
Similar agreements include derivative clearing agreements, global master repurchase agreements, and global master
securities lending agreements. Similar financial instruments include derivatives, sales and repurchase agreements, reverse sale
and repurchase agreements, and securities borrowing and lending agreements.
Some of the agreements are not set-off in the statement of financial position. This is because they create, for the parties to
the agreement, a right of set-off of recognized amounts that is enforceable only following an event of default, insolvency or
bankruptcy of the Group or the counterparties or following other predetermined events. In addition, the Group and its
counterparties do not intend to settle on a net basis or to realize the assets and settle the liabilities simultaneously. The Group
receives and gives collaterals in the form of cash and marketable securities.

2023 | Gross amount | Net amount recognized financial assets | Amounts from global netting agreements | Net- amount
in € million | recognized financial assets | recognized financial liabilities set-off
Financial instruments | Cash collateral received
Derivatives (legally enforceable) | 7,072 | 2,671 | 4,401 | 3,915 | 16 | 470
Reverse repurchase, securities lending and similar agreements (legally enforceable) | 16,840 | 0 | 16,840 | 16,598 | 0 | 242
Total | 23,912 | 2,671 | 21,241 | 20,513 | 16 | 712

2023 | Gross amount | Net amount recognized financial liabilities | Amounts from global netting agreements | Net- amount
in € million | recognized financial liabilities | recognized financial assets set-off
Financial instruments | Cash collateral received
Derivatives (legally enforceable) | 6,950 | 2,671 | 4,279 | 3,748 | 33 | 498
Reverse repurchase, securities lending and similar agreements (legally enforceable) | 3,282 | 0 | 3,282 | 3,265 | 0 | 17
Total | 10,232 | 2,671 | 7,561 | 7,013 | 33 | 515

In 2023, assets which were not subject to legally enforceable netting agreements amounted to € 177,000 million (previous year:
€ 185,928 million), of which an immaterial part was accounted for by derivative financial instruments and cash balances from
reverse repo business. Liabilities which were not subject to legally enforceable netting agreements totaled € 170,830 million in
2023 (previous year: € 179,925 million), of which only an immaterial part was accounted for by derivative financial instruments
and cash deposits from repo business.
138 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Gross amount | Net amount recognized financial assets | Amounts from global netting agreements | Net- amount
in € million | recognized financial assets | recognized financial liabilities set-off
Financial instruments | Cash collateral received
Derivatives (legally enforceable) | 9,753 | 4,039 | 5,715 | 5,025 | 53 | 637
Reverse repurchase, securities lending and similar agreements (legally enforceable) | 15,414 | 0 | 15,414 | 15,167 | 0 | 247
Total | 25,168 | 4,039 | 21,129 | 20,192 | 53 | 884

2022 | Gross amount | Net amount recognized financial liabilities | Amounts from global netting agreements | Net- amount
in € million | recognized financial liabilities | recognized financial assets set-off
Financial instruments | Cash collateral received
Derivatives (legally enforceable) | 9,777 | 4,039 | 5,738 | 5,008 | 47 | 684
Reverse repurchase, securities lending and similar agreements (legally enforceable) | 2,629 | 0 | 2,629 | 2,527 | 0 | 102
Total | 12,407 | 4,039 | 8,368 | 7,534 | 47 | 786

(34) Securitization (RBI as originator)
RBI securitizes various financial assets by placing risks from these financial assets in the form of portfolios. This is done on a
case-by-case basis by transferring the portfolio-based risks to special purpose vehicles (SPV) or structured entities (SE) that
issue securities to investors. The assets transferred may be derecognized fully or partly. The most relevant type of transaction
for RBI consists of synthetic securitizations that are reflected in the form of a transfer of risks in the existence of portfolio
guarantees received from a third party. Depending on which tranche is placed externally, RBI may, as the originator, also retain
rights to securitized financial assets in the form of senior or subordinated tranches, interest claims or other residual claims
(retained rights).
The objective of the Group’s securitization transactions is to relieve Group regulatory total capital and to use additional
refinancing sources.
The following transactions for all or at least some tranches were executed with external contractual partners, were still active
in the reporting year 2023 and resulted in a credit risk mitigation which led to a reduction in risk-weighted assets in regulatory
reporting. The stated amounts represent the securitized portfolio and the underlying receivables as well as the externally
placed tranche at the balance sheet date.

in € million | Date of contract | End of maturity | Max. volume | Securitized portfolio | Outstanding portfolio 2 | Portfolio | Externally placed tranche | Amount of the externally placed tranche
Synthetic Transaction ROOF RBCZ 2023 | June 2023 | June 2033 | 960 | 935 | 2,815 | Corporate loans | Mezzanine | 60
Synthetic Transaction ROOF HR MORTGAGES 2023 | Dec. 2023 | Nov. 2035 | 660 | 660 | 694 | Mortgage loans | Mezzanine | 61
Synthetic Transaction ROOF CORPORATE 2023 | Sept. 2023 | Oct. 2033 | 1,852 | 1,852 | 7,759 | Corporate loans | Mezzanine | 102
Synthetic Transaction ROOF CROATIA 2022 | Dec. 2022 | June 2034 | 366 | 362 | 628 | Corporate loans | Mezzanine | 26
Synthetic Transaction ROOF HUNGARY 2022 | Dec. 2022 | March 2035 | 596 | 596 | 627 | Building society loans | Mezzanine | 76
Synthetic Transaction ROOF ROMANIA 2022 | Nov. 2022 | June 2039 | 307 | 293 | 312 | Corporate loans | Mezzanine | 26
Synthetic Transaction ROOF CORPORATE 2022 | June 2022 | Dec. 2032 | 1,818 | 1,818 | 7,325 | Corporate loans | Mezzanine | 100
Synthetic Transaction ROOF CORPORATE 2021 | Dec. 2021 | Dec. 2031 | 4,080 | 4,062 | 8,142 | Corporate loans | Mezzanine | 216
Synthetic Transaction ROOF CRE 2019 1 | Oct. 2019 | Sept. 2029 | 1,262 | 995 | 2,885 | Corporate customer, Project finance | Mezzanine | 75
Synthetic Transaction EIF Western Balkans EDIF Serbia | Nov. 2018 | Dec. 2028 | 20 | 2 | 3 | SME loans | Junior | 0
Synthetic Transaction EIF COSME Serbia | Dec. 2020 | June 2034 | 64 | 16 | 32 | SME loans | Junior | 2
Synthetic Transaction State Guarantee Serbia | May 2020 | April 2024 | 147 | 15 | 19 | SME loans | Junior | 5
Synthetic Transaction EIF DCFTA Ukraine | Dec. 2017 | Dec. 2031 | 176 | 50 | 71 | SME loans | Junior | 10

Consolidated financial statements 139
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | Date of contract | End of maturity | Max. volume | Securitized portfolio | Outstanding portfolio 2 | Portfolio | Externally placed tranche | Amount of the externally placed tranche
Synthetic Transaction EIF JEREMIE Romania | Dec. 2010 | Dec. 2025 | 173 | 0 | 0 | SME loans | Junior | 0
Synthetic Transaction EIF JEREMIE Slovakia | March 2013 | June 2025 | 60 | 0 | 1 | SME loans | Junior | 1
Synthetic Transaction EIF Western Balkans EDIF Albania | Dec. 2016 | June 2028 | 17 | 2 | 2 | SME loans | Junior | 2
Synthetic Transaction EIF Western Balkans EDIF Croatia | April 2025 | May 2023 | 20 | 0 | 0 | SME loans | Junior | 0
Synthetic Transaction EIF COSME Romania | April 2017 | Dec. 2034 | 434 | 71 | 96 | SME loans | Junior | 15
Synthetic Transaction EIF EASI Romania | July 2020 | Dec. 2032 | 65 | 14 | 16 | SME loans | Junior | 10
Synthetic Transaction EBRD Unfunded RSF Ukraine | Oct. 2023 | Dec. 2029 | 50 | 10 | 20 | Corporate and SME loans | Junior | 5
1 Junior tranche held in the Group 2 Outstanding portfolio (securitized and non-securitized) SME: Small and medium-sized enterprises

The synthetic ROOF transactions are split into a senior, a mezzanine and a junior tranche. The credit risk of the mezzanine
tranche is guaranteed by either institutional investors or supranationals, while the credit risk of the junior and senior tranches
is retained. The following transactions were already active at the beginning of the year and are not terminated as of end of
the year: ROOF CRE 2019, ROOF Corporate 2021, ROOF Corporate 2022, ROOF HUNGARY 2022, ROOF CROATIA 2022 and ROOF
ROMANIA 2022.
In 2023 three new ROOF transactions were realized.
Raiffeisenbank a.s., Prague, executed ROOF RBCZ 2023. The credit risk of the mezzanine tranche is guaranteed, and cash
collateralized, by institutional investors, while the credit risk of the junior and senior tranches is retained.
RBI AG executed ROOF CORPORATE 2023. The credit risk of the mezzanine tranche is guaranteed, and cash collateralized, by
institutional investors, while the credit risk of the junior and senior tranches is retained.
Raiffeisenbank Austria d.d., Zagreb, executed ROOF HR MORTGAGES 2023. The credit risk of the mezzanine tranche is
guaranteed by institutional investors, while the credit risk of the junior and senior tranches is retained.
As part of the EBRD Unfunded Risk Sharing Facility program, Raiffeisen Bank JSC, Kiev, signed a portfolio guarantee agreement
which was funded by the EU and which is aimed to facilitate access to finance for private corporate companies under the
Resilience and Livelihood Framework and the SME Competitiveness in Eastern Partnership program.
As part of the Western Balkans Enterprise Development and Innovation Facility, Raiffeisen Bank Serbia, Belgrade, signed a
portfolio guarantee agreement which was funded by the EU and which is aimed at providing access to finance for small and
medium-sized enterprises. Significant risk transfer for this transaction is being recognized from year-end 2022 onwards.
As part of the COSME initiative, Raiffeisen Bank Serbia, Belgrade, signed a portfolio guarantee agreement in 2020, which was
funded by the EU and which is aimed at providing access to finance for small and medium-sized enterprises. Significant risk
transfer for this transaction is being recognized from year-end 2022 onwards.
As part of a State Guarantee initiative, Raiffeisen Bank Serbia, Belgrade, signed a portfolio guarantee agreement in 2020, which
was funded by the Serbian National Bank, and which is aimed at providing support during the COVID-19 crisis. Significant risk
transfer for this transaction is being recognized from January 2021 onwards.
As part of the DCFTA initiative, Raiffeisen Bank JSC, Kiev, signed a portfolio guarantee agreement in 2017, which was funded by
the EU and which is aimed at providing access to finance for small and medium-sized enterprises. Significant risk transfer for
this transaction is being recognized from year-end 2021 on-wards.
As part of the JEREMIE initiative, the participating subsidiaries (Raiffeisenbank S.A., Bucharest, and Tatra banka a.s., Bratislava)
have received guarantees from the European Investment Fund (EIF) to support lending to small and medium-sized enterprises.
Since 2016 the Slovakian JEREMIE transaction has been converted into a funded credit guarantee via a Slovakian state-owned
fund, EIF is no longer part of the transaction.
As part of the Western Balkans Enterprise Development and Innovation Facility, Raiffeisenbank Sh.a., Tirana, signed a portfolio
guarantee agreement which was funded by the EU and which, like the JEREMIE initiatives, is aimed at providing access to
finance for small and medium-sized enterprises.
140 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
As part of the COSME initiative, Raiffeisenbank S.A., Bucharest, signed a portfolio guarantee agreement in 2017, which was
funded by the EU and which, like the JEREMIE initiatives, is aimed at providing access to finance for small and medium-sized
enterprises. Significant risk transfer for this transaction is being recognized from year-end 2020 onwards.
As part of the EaSI initiative, Raiffeisenbank S.A., Bucharest, signed a portfolio guarantee agreement which was funded by the
EU and which, like the JEREMIE initiatives, is aimed at providing access to finance for small and medium-sized enterprises.
The synthetic transaction ROOF MORTGAGES 2020 was terminated by 31 December 2023.
The Western Balkans Enterprise Development and Innovation Facility by Raiffeisenbank Austria d.d., Zagreb, was terminated in
May 2023.
In addition to the early termination of the ROOF MORTGAGES 2020 transaction, a reimbursement asset of € 22 million was
recognized for the ROOF CRE 2019 transaction, reflecting a deterioration of the underlying portfolio. The reimbursement asset
mirrors the potential claim against the guarantor of the mezzanine tranche.
(35) Transferred assets
The Group enters into transactions that result in the transfer of trading assets, financial investments and loans and advances
to customers. The transferred financial assets continue to be recognized in their entirety or to the extent of the Group’s
continuing involvement or are derecognized in their entirety. The Group transfers financial assets that are not derecognized in
their entirety or for which the Group has continuing involvement primarily through sale and repurchase of securities, securities
lending, and securitization activities.
Transferred financial assets not derecognized
Sale and repurchase agreements are transactions in which the Group sells a security and simultaneously agrees to repurchase
it at a fixed price on a future date. The Group continues to recognize the securities in their entirety in the statement of
financial position because it retains substantially all of the risks and rewards of ownership. The cash consideration received is
recognized as a financial asset and a financial liability is recognized for the obligation to pay the repurchase price. Because the
Group sells the contractual rights to the cash flows of the securities, it does not have the ability to use the transferred assets
during the term of the arrangement.
Securities lending agreements are transactions in which the Group lends securities for a fee and receives cash as collateral.
The Group continues to recognize the securities in their entirety in the statement of financial position because it retains
substantially all of the risks and rewards of ownership. The cash received is recognized as a financial asset and a financial
liability is recognized for the obligation to repay it. Because as part of the lending arrangement the Group sells the contractual
rights to the cash flows of the securities, it does not have the ability to use the transferred assets during the term of the
arrangement.
Loans and advances to customers are sold by the Group to securitization vehicles that in turn issue notes to investors
collateralized by the purchased assets. In the securitizations in which the Group transfers loans and advances to an
unconsolidated securitization vehicle, it retains some credit risk while transferring some credit risk, prepayment, and interest
rate risk to the vehicle. The Group therefore does not retain or transfer substantially all of the risks and rewards of such assets.

2023 | Transferred assets | Associated liabilities
in € million | Carrying amount | hereof securitizations | hereof repurchase agreements | Carrying amount | hereof securitizations | hereof repurchase agreements
Financial assets - held for trading | 42 | 0 | 42 | 42 | 0 | 42
Financial assets - fair value through other comprehensive income | 0 | 0 | 0 | 0 | 0 | 0
Financial assets - amortized cost | 2,071 | 83 | 1,988 | 1,919 | 67 | 1,852
Total | 2,112 | 83 | 2,030 | 1,961 | 67 | 1,893

Consolidated financial statements 141
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

2022 | Transferred assets | Associated liabilities
in € million | Carrying amount | hereof securitizations | hereof repurchase agreements | Carrying amount | hereof securitizations | hereof repurchase agreements
Financial assets - held for trading | 0 | 0 | 0 | 0 | 0 | 0
Financial assets - fair value through other comprehensive income | 0 | 0 | 0 | 0 | 0 | 0
Financial assets - amortized cost | 877 | 0 | 877 | 804 | 0 | 804
Total | 877 | 0 | 877 | 804 | 0 | 804

The Group currently has no securitization transactions in which financial assets are partly derecognized.
(36) Assets pledged as collateral and received financial assets
The Group pledges assets mainly for repurchase agreements, securities lending agreements as well as other lending
arrangements and for margining purposes in relation to derivative liabilities. The table below contains assets from repo
business, securities lending business, securitizations, debentures transferred as collateral of liabilities or guarantees (i.e.
collateralized deposits):

| 2023 | 2022
in € million | Pledged | Otherwise restricted with liabilities | Pledged | Otherwise restricted with liabilities
Financial assets - held for trading | 46 | 0 | 41 | 0
Non-trading financial assets - mandatorily fair value through profit/loss | 13 | 0 | 15 | 0
Financial assets - designated fair value through profit/loss | 0 | 0 | 0 | 0
Financial assets - fair value through other comprehensive income | 441 | 57 | 389 | 0
Financial assets - amortized cost | 15,818 | 1,428 | 20,151 | 2,182
Total | 16,318 | 1,485 | 20,596 | 2,182

Statutory, contractual, or regulatory requirements as well as protective rights of non-controlling interests might restrict the
ability of the Group to access and transfer assets freely to or from other Group entities and settle liabilities. As at the reporting
date, the Group has not granted any material protective rights associated with non-controlling interests and therefore these
were not a source of significant restrictions.
The following products restrict the Group in the use of its assets: repurchase agreements, securities lending contracts as well
as other lending contracts for margining purposes in relation to derivative liabilities, securitizations, and various insurance
activities. The table below shows assets pledged as collateral, which are therefore connected to a liability. These assets are
restricted from usage to secure funding, for legal or other reasons.

in € million | 2023 | 2022
Securities and other financial assets accepted as collateral which can be sold or repledged | 20,697 | 19,763
hereof which have been sold or repledged | 3,698 | 3,179

The Group received collaterals which can be sold or repledged even if no default occurs in the course of reverse repo business,
securities lending business, derivative and other transactions.
142 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(37) Breakdown of remaining terms of maturity

Assets | Current assets | Non-current assets
2023 | Due at call or without maturity | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
in € million
Cash, balances at central banks and other demand deposits | 39,380 | 3,854 | 0 | 0 | 0
Financial assets - amortized cost | 9,419 | 20,093 | 16,243 | 47,573 | 45,975
Financial assets - fair value through other comprehensive income | 121 | 214 | 628 | 1,200 | 829
Non-trading financial assets - mandatorily fair value through profit/loss | 167 | 18 | 64 | 112 | 588
Financial assets - designated fair value through profit/ loss | 1 | 7 | 0 | 175 | 2
Financial assets - held for trading | 376 | 1,828 | 191 | 1,598 | 1,790
Hedge accounting | (367) | 22 | 70 | 440 | 630
Investments in subsidiaries and associates | 820 | — | — | — | —
Tangible fixed assets | 1,672 | — | — | — | —
Intangible fixed assets | 970 | — | — | — | —
Current tax assets | 69 | — | — | — | —
Deferred tax assets | 91 | 0 | 14 | 110 | 2
Non-current assets and disposal groups classified as held for sale | 12 | 0 | 0 | 0 | 0
Other assets | 468 | 714 | 47 | 9 | 3
Total | 53,200 | 26,750 | 17,256 | 51,215 | 49,819

Liabilities | Short-term liabilities | Long-term liabilities
2023 | Due at call or without maturity | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
in € million
Financial liabilities - amortized cost | 83,195 | 27,514 | 13,514 | 32,209 | 8,278
Financial liabilities - designated fair value through profit/ loss | 0 | 26 | 96 | 829 | 137
Financial liabilities - held for trading | 22 | 1,087 | 573 | 4,113 | 2,667
Hedge accounting | (520) | 27 | 56 | 831 | 558
Provisions for liabilities and charges | 918 | 30 | 172 | 203 | 323
Current tax liabilities | 99 | 125 | 18 | 0 | 0
Deferred tax liabilities | 31 | 1 | 8 | 1 | 2
Liabilities included in disposal groups classified as held for sale | 0 | 0 | 0 | 0 | 0
Other liabilities | 671 | 323 | 59 | 91 | 104
Subtotal | 84,416 | 29,133 | 14,497 | 38,278 | 12,068
Equity | 19,849 | 0 | 0 | 0 | 0
Total | 104,265 | 29,133 | 14,497 | 38,278 | 12,068

Consolidated financial statements 143
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Assets | Current assets | Non-current assets
2022 | Due at call or without maturity | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
in € million
Cash, balances at central banks and other demand deposits | 48,093 | 5,590 | 0 | 0 | 0
Financial assets - amortized cost | 10,132 | 19,904 | 17,756 | 46,642 | 42,996
Financial assets - fair value through other comprehensive income | 143 | 254 | 597 | 1,434 | 775
Non-trading financial assets - mandatorily fair value through profit/loss | 159 | 20 | 53 | 110 | 414
Financial assets - designated fair value through profit/ loss | 0 | 0 | 9 | 72 | 4
Financial assets - held for trading | 313 | 1,420 | 167 | 2,237 | 2,273
Hedge accounting | (934) | 9 | 43 | 572 | 970
Investments in subsidiaries and associates | 713 | — | — | — | —
Tangible fixed assets | 1,684 | — | — | — | —
Intangible fixed assets | 903 | — | — | — | —
Current tax assets | 100 | — | — | — | —
Deferred tax assets | 112 | 0 | 15 | 141 | 2
Non-current assets and disposal groups classified as held for sale | 3 | 0 | 0 | 0 | 0
Other assets | 489 | 613 | 42 | 12 | 1
Total | 61,911 | 27,810 | 18,681 | 51,220 | 47,435

Liabilities | Short-term liabilities | Long-term liabilities
2022 | Due at call or without maturity | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
in € million
Financial liabilities - amortized cost | 90,377 | 21,030 | 24,029 | 27,031 | 12,675
Financial liabilities - designated fair value through profit/ loss | 0 | 12 | 144 | 665 | 130
Financial liabilities - held for trading | 17 | 774 | 503 | 4,059 | 3,101
Hedge accounting | (1,217) | 42 | 82 | 1,155 | 774
Provisions for liabilities and charges | 762 | 25 | 204 | 104 | 384
Current tax liabilities | 95 | 85 | 2 | 0 | 0
Deferred tax liabilities | 22 | 0 | 12 | 0 | 2
Liabilities included in disposal groups classified as held for sale | 0 | 0 | 0 | 0 | 0
Other liabilities | 666 | 320 | 43 | 86 | 101
Subtotal | 90,722 | 22,288 | 25,018 | 33,099 | 17,166
Equity | 18,764 | 0 | 0 | 0 | 0
Total | 109,486 | 22,288 | 25,018 | 33,099 | 17,166

(38) Foreign assets/liabilities

in € million | 2023 | 2022 1
Assets | 158,529 | 157,236
Equity and liabilities | 125,020 | 131,573
1 Previous-year figures adapted

144 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Risk report
Active risk management is a core competency of RBI. In order to effectively identify, measure, and manage risks the Group con-
tinues to develop its comprehensive risk management system. Risk management is an integral part of overall bank manage-
ment. Particularly, in addition to legal and regulatory requirements, it considers the nature, scale, and complexity of the Group’s
business activities and the resulting risks. The figures below refer to the regulatory scope of consolidation pursuant to CRR,
which differs slightly from the scope of consolidation pursuant to IFRS. In terms of risk, the companies in the IFRS scope of con-
solidation that are not included therein are covered by the participation risk.
The risk report describes the principles and organization of risk management and describes current risk exposure in all material
risk categories.
(39) Risk management principles
The Group has a system of risk principles and procedures in place for measuring and monitoring risk, which is aimed at control-
ling and managing material risks in the Group. The risk policy and risk management principles are laid out by the Management
Board. These are regularly reported and discussed in the Supervisory Board committees. The principles include the following
risk policies:
· Risk awareness: A risk culture is promoted which consciously deals with the risks inherent in banking business, in
particular through the transparent presentation of information and the use of suitable tools.
· Risk appetite: Risk-taking is cautious and requires a predefined minimum return on the risk.
· Risk management: State-of-the-art risk management and risk controlling technologies are used which are
commensurate with the materiality of the risks; risk data and risk report technologies are also effectively combined.
· Regulatory requirements: All provisions and requirements of the supervisory authorities relating to risk management
are taken into account and complied with.
· Integrated risk management: Credit, country, market, liquidity, and operational risks are managed as key risks on a
Group-wide basis. For this purpose, these risks are measured, limited, aggregated, and compared to available risk
coverage capital.
· Standardized methodologies: Risk measurement and risk limitation methods are standardized Group-wide in order
to en-sure a consistent and coherent approach to risk management. This forms the basis for consistent overall bank
management across all countries and business lines in RBI.
· Continuous planning: Risk strategies and risk capital are reviewed and approved in the course of the annual
budgeting and planning process, whereby special attention is also paid to preventing risk concentrations.
· Independent control: A clear personnel and organizational separation is maintained between business operations
and all risk management or risk control activities.
· Ex ante and ex post control: Risks are consistently measured within the scope of product selling and in risk-adjusted
performance measurement. Thereby it is ensured that business in general is conducted only under risk-return
considerations and that there are no incentives for taking high risks.
· New business areas: New products and market launches are subject to a prior, specific risk analysis and risk
assessment and are decided on by the relevant committees.
Individual risk management units of the Group develop detailed risk strategies, which set more concrete risk targets and spe-
cific standards in compliance with these general principles. The overall Group risk strategy is derived from the Group’s business
strategy and the risk appetite and adds risk-relevant aspects to the planned business structure and strategic development.
These aspects include for example structural limits and capital ratio targets which have to be met in the budgeting process
and in the scope of business decisions. More specific targets for individual risk categories are set in detailed risk strategies. The
credit risk strategy of the Group, for instance, sets credit portfolio limits for individual countries, segments and industries and
defines the credit approval authority for limit applications.
Consolidated financial statements 145
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(40) Organization of risk management
The Management Board of the Group ensures the proper organization and ongoing development of risk management. It de-
cides which procedures are to be employed for identifying, measuring, and monitoring risks, and makes steering decisions ac-
cording to the risk reports and analyses. The Management Board is supported in undertaking these tasks by independent risk
management units and special committees.
Risk management functions are performed on different levels in the Group. RBI AG develops and implements the relevant con-
cepts as the parent credit institution and in cooperation with the subsidiaries of the Group. The central risk management units
are responsible for the adequate and appropriate implementation of the Group’s risk management processes. Particularly,
they establish common Group directives and set business-specific standards, tools, and practices for all Group entities. ESG
risks (Environmental, Social and Governance) were implemented and managed within the framework of a project that spans
business lines and includes all risk areas. In the future, ESG risk management will be integrated into the respective risk
management units of RBI.

| Supervisory Board Executive Committee of the Supervisory Board Risk Committee of the Supervisory Board |
Central and local risk management functions and committees · for all risk categories · for all Group units | Raiffeisen Bank International (Management Board) |
Credit Management (Corporate customers, Banks and Sovereigns, Retail) Credit Portfolio Management Risk Controlling (Credit, Market, Liquidity and Operational Risks) Special Exposures Management |  |  | Group Risk Committee Group Asset/Liability Committee Market Risk Committee Credit Committees Problem Loan Committee Securitization Committee Group Oerational Risk Management & Controls Committee Group Security Committee Data Governance Board Contingency/Recovery/Resolution Committee |
Local risk management units and committees · for all risk categories · for all Group units |  |  |  |  |
Banks and leasing companies |  |  | Specialist units |

| Consolidation level |  | Group functions |  | Committees |  | Division/department

In addition, local risk management units are established in the different Group entities of RBI. They implement the risk policies
for specific risk types and take active steering decisions within the approved risk budgets in order to achieve the targets set in
the business policy. For this purpose, they monitor resulting risks using standardized measurement tools and report them to
central risk management units via defined interfaces.
The central Group Risk Controlling division assumes the independent risk controlling function required by banking law. Its re-
sponsibilities include developing the Group-wide framework for overall bank risk management (integrating all risk types) and
preparing independent reports on the risk profile for the Supervisory Board’s Risk Committee, the Group Management Board
and the heads of individual business units. It also measures the required risk coverage capital for different Group units and cal-
culates the utilization of the allocated risk capital budgets in the internal capital adequacy framework.
Risk committees
The Group Risk Committee is the most senior decision-making body for all the Group’s risk-related topic areas. It decides on
the risk management methods and on the control concepts used for the overall Group and for key subdivisions, and is
responsible for ongoing development and implementation of methods and parameters for risk quantification and for refining
steering instruments. This also includes setting the risk appetite and the various risk budgets and limits at overall bank level as
well as monitoring the current risk situation with respect to internal capital adequacy and the corresponding risk limits. It
approves risk management and control activities (such as the allocation of risk capital) and advises the Management Board in
these matters. The Group Risk Committee’s scope of responsibility also includes resolution-related topics and decisions
reflecting the respective SRB guidelines and requirements.
The Group Asset/Liability Committee assesses and manages the statement of financial position structure and liquidity risk and
defines the standards for internal funds transfer pricing. In this context it plays an important role in planning long-term
funding and hedging structural interest rate and foreign exchange risks. The Group Capital Management Committee is a sub-
committee of the Group Asset/Liability Committee and analyses, controls and manages the regulatory capital ratios as well as
the structural currency and interest rate risk of the Group’s capital position.
146 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The Market Risk Committee controls market risks arising from trading and banking book transactions and establishes
corresponding limits and processes. Particularly, it relies on profit and loss reports, the risks calculated and the limit utilization,
as well as the results of scenario analyses and stress tests with respect to market risks.
The Credit Committees are staffed by front office and back office representatives, with the staff assignments depending on
the type of customer (corporate customers, banks, sovereigns and retail). The committees decide upon the specific lending
criteria for the different customer segments and countries and make all credit decisions concerning those segments and
countries in connection with the credit approval process (depending on rating and exposure size).
The Problem Loan Committee is the most important committee in the evaluation and decision-making process concerning
problem loans. Its chairman is the Chief Risk Officer (CRO). Further members with voting rights are those members of the
Management Board responsible for the customer divisions, the Chief Financial Officer (CFO), and the relevant division and
depart-mental managers from risk management and special exposures management.
The Securitization Committee is the decision-making committee for limit requests in relation to securitization positions within
the specific decision-making authority framework. It develops proposals for modifications to the securitization strategy for the
Management Board. In addition, the Securitization Committee offers a platform for exchanging information regarding
securitization positions and market developments.
The Group Operational Risk Management & Controls Committee comprises representatives of the business areas (retail,
market and corporate customers) and representatives from Compliance (including financial crime), Internal Control System,
Operations, Security, IT Risk Management and Risk Controlling, under chairmanship of the CRO. This committee is responsible
for managing the Group’s operational risk (including conduct risk). It derives and sets the operational risk strategy based on the
risk profile and the business strategy and makes decisions regarding actions, controls and risk acceptance.
The Group Security Committee is responsible for the implementation of and compliance with the Security Policy and the IT Risk
Management Policy within the Group. This includes, inter alia, approving the Security Policy and the IT Risk Management Policy,
defining key performance indicators and key risk indicators, which must be reported on at Group level and in the local security
committees, and defining and checking the risk appetite in relation to IT risk and security.
The Data Governance Board is the Group’s higher-level decision-making body for all subject areas relating to data governance.
This also includes in particular topics relating to data quality as well as to compliance with the BCBS 239 principles.
The Contingency/Recovery/Resolution Committee is a decision-making body convened by the Management Board. The
composition of the committee varies as circumstances require depending on the intensity and focus of the specific
requirements pertaining to the situation (e.g. capital and/or liquidity). The core task of the committee is to maintain or recover
financial stability in accordance with BaSAG (Austrian Banking Recovery and Resolution Act) and BRRD (Banking Recovery and
Resolution Directive) in the event of a critical financial situation.
Quality assurance and internal audit
Quality assurance with respect to risk management refers to ensuring the integrity, soundness, and accuracy of processes,
models, calculations, and data sources. This is to ensure that the Group adheres to all legal requirements and that it can
achieve the highest standards in risk management-related operations. Two very important functions in assuring independent
oversight are performed by the divisions Audit and Compliance. Independent internal auditing is a legal requirement and a cen-
tral pillar of the internal control system. Internal Audit periodically assesses all business processes and contributes considerably
to securing and improving them. It sends its reports directly to the Management Board, which discusses them on a regular ba-
sis in its board meetings. The Compliance Office is responsible for all issues concerning compliance with legal requirements in
addition to and as an integral part of the internal control system. Thereby compliance with existing regulations in daily opera-
tions is monitored. The comprehensive risk management control function is one of the key responsibilities of the Supervisory
Board’s Risk Committee, which for this purpose uses the analyses and reports prepared by Audit, Compliance, and Risk Control-
ling.
Consolidated financial statements 147
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(41) Overall group risk management
Maintaining an adequate level of capital is a core objective of the Group. Capital requirements are monitored regularly based
on the risk level as measured by internal models, and in choosing appropriate models the materiality of risks annually assessed
is considered. This concept of overall bank risk management provides for meeting capital requirements from both a regulatory
perspective (normative perspective) and from economic points of view (economic perspective). Thus it covers the quantitative
aspects of the Internal Capital Adequacy Assessment Process (ICAAP) as legally required and as described in the ICAAP Directive
published by the European Central Bank. The full ICAAP process of the Group is audited during the supervisory review process
for RBI credit institution group (RBI-Kreditinstitutsgruppe) on an annual basis.
The Risk Appetite Framework (RAF) limits the Group’s overall risk in accordance with the Group’s strategic business objectives
and allocates the risk capital calculated to the different risk categories and business areas. The primary aim of the RAF is to
limit risk, particularly in adverse scenarios and for major singular risks in such a way as to guarantee compliance with regula-
tory minimum ratios. The Risk Appetite Framework is, therefore, closely linked with the ICAAP and the ILAAP (Internal Liquidity
Adequacy Assessment Process) and sets the concentration risk limits for the risk types identified as significant in the risk as-
sessment. There is also a connection to the recovery plan as the risk capacity and risk tolerance limits in the RAF are aligned
with the corresponding trigger monitoring limits. In addition, the risk appetite decided by the Management Board and the
Group’s risk strategy and its implementation are reported regularly to the Supervisory Board’s Risk Committee.

Approach | Risk | Measurement technique | Confidence level
Economic perspective |  |  |
Economic capital | Risk that unexpected losses from the economic point of view exceed the internal capital | The unexpected loss for the risk horizon of one year (economic capital) may not exceed the current value of the tier 1 capital. | 99.90 per cent
Normative perspective |  |  |
Stress scenarios | Risk of falling below a sustainable tier 1 ratio throughout an economic cycle | Capital and earnings projection for a three-year planning period based on assumptions of a significant downturn in the economy | Around 95 per cent, based on potential management decisions to reduce risk temporarily or raise additional equity capital

Economic perspective – economic capital approach
In this approach, risks are measured based on economic capital, which represents a comparable risk indicator across all risk
types. Economic capital is calculated as the sum of unexpected losses stemming from different Group units and different risk
categories. In addition, a general buffer is held to cover risk types not explicitly quantified.
The Group uses a confidence level of 99.90 per cent to calculate economic capital. The economic capital recorded a slight
increase to € 8,826 million compared to year-end 2022. The strong increase in credit risk to sovereigns was primarily due to
rating downgrades, increased exposure and concentration effects. This increase was partly offset by the decline in credit risk
related to retail and corporate customers. During the year 2022, climate risk was implemented as a deduction from internal
capital in the ICAAP.
148 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Risk contribution of individual risk types to economic capital:

in € million | 2023 | Share | 2022 | Share
Credit risk corporate customers | 1,481 | 16.8 % | 1,653 | 19.1 %
Credit risk retail customers | 1,388 | 15.7 % | 1,610 | 18.7 %
FX risk capital position | 1,343 | 15.2 % | 1,312 | 15.2 %
Credit risk sovereigns | 1,159 | 13.1 % | 595 | 6.9 %
Market risk | 840 | 9.5 % | 929 | 10.8 %
Operational risk | 757 | 8.6 % | 799 | 9.3 %
Participation risk | 735 | 8.3 % | 646 | 7.5 %
Owned property risk | 322 | 3.6 % | 306 | 3.5 %
Credit risk banks | 300 | 3.4 % | 348 | 4.0 %
Liquidity risk | 66 | 0.7 % | 0 | 0.0 %
CVA risk | 16 | 0.2 % | 22 | 0.3 %
Risk buffer | 420 | 4.8 % | 411 | 4.8 %
Total | 8,826 | 100.0 % | 8,632 | 100.0 %

Regional allocation of economic capital by Group unit domicile:

in € million | 2023 | Share | 2022 | Share
Central Europe | 2,548 | 28.9 % | 1,952 | 22.6 %
Austria | 2,395 | 27.1 % | 2,208 | 25.6 %
Eastern Europe | 2,282 | 25.9 % | 2,634 | 30.5 %
Southeastern Europe | 1,601 | 18.1 % | 1,839 | 21.3 %
Total | 8,826 | 100.0 % | 8,632 | 100.0 %

In the risk capital allocation as at 31 December 2023, there was a reduction in the segments Eastern Europe (Russia, Ukraine,
Belarus) and Southeastern Europe compared to year-end 2022. In contrast, the economic capital for Austria and Central Europe
segment increased.
Economic capital is an important instrument in overall bank risk management. Economic capital limits are allocated to
individual business areas during the annual budgeting process and are supplemented in day-to-day management by volume,
sensitivity, and value-at-risk limits. The Group planning process is undertaken on a revolving basis for the coming three years
and incorporates future changes in economic capital as well as available internal capital. Economic capital thus substantially
influences plans for future lending activities and the overall limit for market risk.
Risk-adjusted performance measurement is also based on the indicator for economic capital. The profitability of a business
unit is examined in relation to the amount of economic capital attributed to the unit in question (risk-adjusted profit in relation
to risk-adjusted capital, RORAC), which yields a comparable performance indicator for all business units in the Group. That indi-
cator is used in turn as a key figure in overall bank management and for future capital allocation, and influences the
remunera-tion paid to the Group’s executive management.
Normative perspective – stress scenarios
The analysis of the stress scenarios in the normative perspective of the ICAAP is intended to ensure that the Group has suffi-
ciently high capital ratios at the end of the multi-year planning period, even in a severe macroeconomic downturn scenario.
The analysis is based on a multi-year macroeconomic stress test where hypothetical market developments in a severe but re-
alistic economic downturn scenario are simulated. The risk parameters used include interest rates, foreign exchange rates and
securities prices, as well as changes in default probabilities and rating migrations in the credit portfolio.
The integrated stress test focuses primarily on the capital ratios at the end of the multi-year observation period. These should
not fall below a sustainable level, meaning that they should not require the bank to substantially increase capital or to signifi-
cantly reduce its business activities. The current minimum amount of capital is therefore determined by the size of a potential
economic downturn. The downturn scenario assumed incorporates recognition of the necessary loan loss provisions and po-
tential pro-cyclical effects (which increase the minimum regulatory capital requirement) along with the impact of foreign ex-
change rate fluctuations and other valuation and earnings effects. Regulatory changes that are already known are considered
for the planning period.
This perspective thus also complements traditional risk measurement methods based on the value-at-risk concept (which is in
general based on historical data). Therefore, it can account for exceptional market situations that have not been observed in
the past, and permits estimation of the potential impact of such developments. The stress test also allows for analyzing risk
concentrations (e.g. individual positions, industries, or geographical regions) and gives insight into profitability, liquidity situa-
tion, and solvency under extreme situations. Building on these analyses, risk management in the Group actively contributes to
portfolio diversification, for example via limits for the total credit exposure to individual industry segments and countries and
through ongoing updates to lending standards.
Consolidated financial statements 149
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
ESG – Risks
The following sections give a brief overview of ESG risks including climate-related risks and environmental risks on financial
instruments in RBI, including information about the nature and extent of risks arising from financial instruments and how RBI
manages those risks.
Nature of risks arising from financial instruments
Environmental, social and governance (ESG risks) risks can manifest themselves in negative financial impacts as well as
reputational damages of RBI, its customers, other counterparties, or assets RBI is invested in. These risks are viewed as cross-
dimensional risks that may impact the traditional risk types (market, operational, credit, liquidity risks).
Please refer to RBI Sustainability Report (Chapter Identification & definition of ESG risks) for a more detailed explanation of the
ESG risks and its transmission channels to traditional risk types (liquidity, operational including litigation and reputational risks,
market and credit risks.
Extent of ESG risks arising from financial instruments
Currently RBI continues to focus on tackling climate and environmental risks and its related components (transition and
physical risks). In parallel, the necessary steps are taken in order to address the increasing risks related to the circular economy
and biodiversity loss (see the related chapters in the RBI Sustainability Report).
Transition risk: The initial transition risk assessment was carried out on the basis of the Financed Greenhouse Gas Emissions
calculation, as shown in RBI’s Sustainability Report. The main risks were distributed across the utilities, oil & gas, agricultural
products, chemical, construction and steel & ferrous metals sectors. RBI’s transition risk has also been evaluated as part of
ICAAP materiality assessment during the reporting year.
Physical risk: A materiality assessment of RBI’s exposure to physical risk has been performed during the reporting year as part
of the ICAAP process, and furthermore exposure vulnerable to physical risks is subject to pillar 3 ESG disclosure since year end
2022 onwards. Potential impact of physical risks is part of the RBI’s internal ESG score model and is furthermore considered
during the collateral valuation process or as Post-model-adjustments. As of the materiality assessment 2023, with cut-off date
31.12.2022, moderate transition risk was identified on long-term (>10 years) for credit and operational risk only. Transmission of
other transitional and physical risks were assessed at a low level for RBI.
Please refer to RBI’s Sustainability Report (Chapter RBI’s climate and environmental business strategy), for detailed description
of the internal methodology applied for climate and environmental risks materiality assessment.
As a signatory to the Principles for Responsible Banking, RBI also carried out a first impact analysis in 2021 and 2022 using the
UNEP FI tool. In 2023, the sustainability impact of Raiffeisen Capital Management´s portfolio was analyzed. The results are
published in the RBI Sustainability Report. The analyses identified climate change and circular economy as important focus
areas within internal steering.
How the company manages the ESG risks arising from financial instruments
A climate and environmental risk specific materiality assessment was the base for the implementation in the ICAAP framework
and is expected to be refined over the next years as methodologies are being further developed and common practices evolve.
The first calculation of the financed greenhouse gas emissions and the performance of the impact analysis (part of the RBI
Group’s commitment as a signatory to the Principles for Responsible Banking) identified those industries prone to transition
risks and where measures need to be set in place in order to align the portfolio to the Paris Agreement.
Science-based climate targets (SBTs) were set for RBI, as approved by the SBT initiative in September 2022. Work has been
done on the development of corresponding sector-specific policies. The SBTs are set on a medium-term basis, whereas the
sectoral polices aim to address short-term operational implementation leading to the fulfillment of these commitments.
In the reporting year, special policies (in addition to the ones already existing for gambling and nuclear power) have been
approved for thermal coal, tobacco, oil and gas, and steel, real estate and construction. During 2023 the customer clustering
has been automatized and is based on the internally developed total ESG score and volume targets have been set (this relates
to oil and gas, steel, real estate and construction). The resulting commitments, based on voluntary commitments and in
accordance with regulations, are approved via the Group Risk Committee (GRC) and the RBI Management Board.
On the operational side, the corporate lending process has been enhanced to reflect on the ESG related risk, thus addressing
ESG in the 3 lines of defense model.
150 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(42) Credit risk
Credit risk is the largest risk for the Group’s business. Credit risk means the risk of suffering financial loss should any of the
Group’s customers or counterparties fail to fulfil their contractual obligations to the Group. Credit risk arises mainly from loans
and advances to banks, loans and advances to customers, lending commitments and financial guarantees given. The Group is
also exposed to other credit risks arising from investments in debt securities and other exposures associated with trading ac-
tivities, derivatives, settlement agreements and reverse repo transactions.
Limit application process
In the non-retail area, each lending transaction runs through the limit application process before a decision is made. This pro-
cess covers – besides new lending – increases in existing limits, rollovers, overdrafts, and changes in the risk profile of a bor-
rower (e.g. with respect to the financial situation of the borrower, the agreed terms and conditions, or the collateral furnished)
compared to the time of the original lending decision. It is also used when setting counterparty limits for trading and new issu-
ance operations as well as other credit limits, and for equity investments subject to credit risk.
Credit decisions are made within the context of a competence authority hierarchy based on the size and type of the loan.
Approval from the business and the credit risk management divisions is always required when making individual limit decisions
or performing regular rating renewals. If the individual decision-making parties disagree, the potential transaction is decided
upon by the next higher-ranking credit authority.
The whole limit application process is based on defined uniform principles and rules. Account management for multinational
customers doing business with more than one RBI Group unit simultaneously is supported by the Global Account Management
System, for example. This is made possible by Group-wide unique customer identification in the non-retail asset classes.
The limit application process in the retail division is automated to a great degree due to the high number of applications and
relatively low exposure amounts. Limit applications are often assessed and approved in central processing centers based on
credit score cards. This process is facilitated by the respective IT systems.
Credit portfolio management
Credit portfolio management in the Group is, among other aspects, based on the credit portfolio strategy which is in turn
based on the business and risk strategy. The strategy selected is used to limit the exposure amount in different countries, in-
dustries or product types and thus prevents undesired risk concentrations. Additionally, the long-term potentials of different
markets are continuously analyzed. This allows for an early strategic repositioning of future lending activities.
Consolidated financial statements 151
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Reconciliation of figures from the IFRS consolidated financial statements to credit
exposure (according to CRR)
The following table shows the reconciliation of the gross carrying amounts of the items on the statement of financial position
to the credit exposure (banking and trading book positions), which is used in portfolio management. It includes both exposures
on and off the statement of financial position before the application of credit-conversion factors, and thus represents the
total credit exposure. It is not reduced by the effects of credit risk mitigation such as guarantees or physical collateral, effects
that are, however, considered in the total assessment of credit risk. The total credit exposure is also used – if not explicitly
stated otherwise – for referring to exposures in all subsequent tables in the risk report. The reasons for the differences in the
values used for internal portfolio management and for external financial accounting are the different scopes of consolidation
(regulatory versus accounting rules according to IFRS) and differences in the classification and presentation of exposure
volumes, especially in the case of repo transactions and derivatives, particularly SA-CCR (standardized approach for measuring
counterparty credit risk).

in € million | 2023 | 2022
Cash, balances at central banks and other demand deposits | 39,109 | 48,587
Financial assets - amortized cost | 142,405 | 140,561
Financial assets - fair value through other comprehensive income | 2,864 | 3,160
Non-trading financial assets - mandatorily fair value through profit/loss | 941 | 751
Financial assets - designated fair value through profit/loss | 185 | 84
Financial assets - held for trading | 5,357 | 6,124
Hedge accounting | 795 | 661
Current tax assets | 69 | 100
Deferred tax assets | 218 | 269
Other assets | 1,083 | 912
Loan commitments given | 36,601 | 37,193
Financial guarantees given | 9,761 | 9,370
Other commitments given | 4,939 | 4,580
Reconciliation difference | (7,338) | (6,399)
Credit exposure | 236,988 | 245,953
Around € 3.3 billion of the reconciliation difference was attributable to the SA-CCR-Netting.

The detailed credit portfolio analysis shows the breakdown by rating category. Customer rating assessments are performed
separately for different asset classes using internal risk classification models (rating and scoring models), which are validated
by a central organizational unit. The default probabilities assigned to individual rating grades are calculated separately for
each asset class. However, the use of a master scale enables rating grades to be compared even across business segments.
Rating models in the non-retail asset classes – corporates, banks and sovereigns – are uniform in all Group units and rank cre-
ditworthiness in 27 grades of the master scale. For retail asset classes, country specific scorecards are developed based on
uniform Group standards. Tools are used to produce and validate ratings (e.g. business valuation tools, rating and default
data-bases).
Credit exposure by asset classes (rating models):

in € million | 2023 | 2022
Corporate customers | 87,530 | 90,300
Project finance | 9,412 | 9,268
Retail customers | 48,396 | 50,412
Banks | 30,751 | 32,156
Sovereigns | 60,898 | 63,816
Total | 236,988 | 245,953

152 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Credit portfolio – Corporate customers
The internal rating models for corporate customers take into account qualitative parameters, various ratios from the state-
ment of financial position, and profit ratios covering different aspects of customer creditworthiness for various industries and
countries. In addition, the model for smaller corporates also includes an account behavior component.
The following table shows the credit exposure according to internal corporate rating (large corporates, mid-market and small
corporates). For presentation purposes, the individual grades of the rating scale have been combined into nine main rating
grades.

in € million | Lower PD bound in % | Upper PD bound in % | 2023 | Share | 2022 | Share
1 | Minimal risk | > 0.0000 % | ≤ 0.0300 % | 1,745 | 2.0 % | 2,716 | 3.0 %
2 | Excellent credit standing | > 0.0300 % | ≤ 0.0751 % | 7,496 | 8.6 % | 7,374 | 8.2 %
3 | Very good credit standing | > 0.0751 % | ≤ 0.1878 % | 21,036 | 24.0 % | 21,867 | 24.2 %
4 | Good credit standing | > 0.1878 % | ≤ 0.4694 % | 22,233 | 25.4 % | 21,709 | 24.0 %
5 | Sound credit standing | > 0.4694 % | ≤ 1.1735 % | 16,477 | 18.8 % | 16,627 | 18.4 %
6 | Acceptable credit standing | > 1.1735 % | ≤ 2.9338 % | 10,841 | 12.4 % | 11,000 | 12.2 %
7 | Marginal credit standing | > 2.9338 % | ≤ 7.3344 % | 3,320 | 3.8 % | 3,677 | 4.1 %
8 | Weak credit standing/sub-standard | > 7.3344 % | ≤ 18.3360 % | 1,229 | 1.4 % | 2,070 | 2.3 %
9 | Very weak credit standing/doubtful | > 18.3360 % | < 100 % | 1,196 | 1.4 % | 1,706 | 1.9 %
10 | Default | 100 % | 100 % | 1,846 | 2.1 % | 1,427 | 1.6 %
NR | Not rated |  |  | 110 | 0.1 % | 128 | 0.1 %
Total |  |  | 87,530 | 100.0 % | 90,300 | 100.0 %

The credit exposure to corporate customers decreased € 2,770 million to € 87,530 million compared to year-end 2022.
Decreases were recorded in Russia with € 3,187 (partly due to currency effects), Austria, France and Ireland, which were partly
offset by increases in the Czech Republic, Germany, Croatia and Slovakia. In Russia, exposure volumes have been reduced since
the beginning of the Russian war in Ukraine, which was enhanced by the devaluation of the Russian ruble.
The largest decline was recorded in rating grade 1, which was due to rating downgrades of individual Austrian customers and
reduced credit exposures in Ireland. The decline in rating grade 8 resulted from both rating upgrades of individual Slovakian
customers to rating grade 7 and the reduction of credit exposure in Russia. The decrease in rating grade 3 was due to reduced
credit exposures in Germany and Hungary (partly due to rating downgrades to rating grade 4) as well as in Great Britain and
Russia. In rating grade 9, the decline resulted from a reduction in credit exposure and from rating upgrades of individual
customers in Russia. The increase in defaulted loans was due to defaulted financing in the real estate sector.
The five grades rating model for project finance is based on the slotting criteria in accordance with EBA/RTS/2016/02. In June
2023, the model parameters for real estate financing were adjusted based on the current macroeconomic parameters
(especially inflation expectations).

in € million | 2023 | Share | 2022 | Share
6.1 | Excellent project risk profile – very low risk | 5,453 | 57.9 % | 4,857 | 52.4 %
6.2 | Good project risk profile – low risk | 3,075 | 32.7 % | 3,617 | 39.0 %
6.3 | Acceptable project risk profile – average risk | 316 | 3.4 % | 423 | 4.6 %
6.4 | Poor project risk profile – high risk | 250 | 2.7 % | 94 | 1.0 %
6.5 | Default | 316 | 3.4 % | 264 | 2.8 %
NR | Not rated | 2 | 0.0 % | 13 | 0.1 %
Total | 9,412 | 100.0 % | 9,268 | 100.0 %

The € 144 million increase in project finance was mainly attributable to increases in the Czech Republic and Hungary, which
were partly offset by Russia.
The rise in rating grade 6.1 was due to the increase in credit financing in the Czech Republic and Germany, and to rating
upgrades of individual customers from rating grade 6.2 in Germany, the Czech Republic and Russia. In addition, the decline in
rating grade 6.2 was due to rating downgrades of individual customers in rating grade 6.3, in Romania, in rating grade 6.4 in
Germany and in rating grade 6.5 in Austria.
Consolidated financial statements 153
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Breakdown by country of risk of the credit exposure to corporate customers and project finance structured by region, taking
into account the guarantor:

in € million | 2023 | Share | 2022 | Share
Central Europe | 26,754 | 27.6 % | 25,596 | 25.7 %
Western Europe | 24,365 | 25.1 % | 25,093 | 25.2 %
Austria | 18,805 | 19.4 % | 19,125 | 19.2 %
Southeastern Europe | 15,031 | 15.5 % | 14,464 | 14.5 %
Eastern Europe | 8,088 | 8.3 % | 11,625 | 11.7 %
Asia | 2,156 | 2.2 % | 1,918 | 1.9 %
Other | 1,742 | 1.8 % | 1,748 | 1.8 %
Total | 96,942 | 100.0 % | 99,569 | 100.0 %

The decline in Eastern Europe resulted from reduced credit and facility financing as well as guarantees given in Russia, partly
currency related due to the devaluation of the Russian ruble. In addition, credit financing decreased in Ukraine. The decrease in
Western Europe was mainly due to reduced credit financing in France and Ireland. The increase in Central Europe essentially
resulted from the increase in facility financing in the Czech Republic, Hungary and Slovakia. In Southeastern Europe, the rise
was due to an increase in facility financing and guarantees in Croatia and Romania.
Credit exposure to corporates and project finance by industry of the original customer:

in € million | 2023 | Share | 2022 | Share
Manufacturing | 23,549 | 24.3 % | 24,711 | 24.8 %
Wholesale and retail trade | 20,486 | 21.1 % | 20,800 | 20.9 %
Real estate | 12,737 | 13.1 % | 12,943 | 13.0 %
Financial intermediation | 8,783 | 9.1 % | 9,191 | 9.2 %
Construction | 6,066 | 6.3 % | 6,156 | 6.2 %
Electricity, gas, steam and hot water supply | 6,195 | 6.4 % | 5,580 | 5.6 %
Transport, storage and communication | 3,751 | 3.9 % | 3,743 | 3.8 %
Freelance/technical services | 2,700 | 2.8 % | 2,870 | 2.9 %
Other industries | 12,674 | 13.1 % | 13,574 | 13.6 %
Total | 96,942 | 100.0 % | 99,569 | 100.0 %

Credit portfolio – Retail customers
Retail customers are subdivided into private individuals and small and medium-sized entities (SMEs). For retail customers a
two-fold scoring system is used, consisting of the initial and ad-hoc scoring based on customer data and of the behavioral
scoring based on account data.

in € million | 2023 | Share | 2022 | Share
Retail customers – private individuals | 45,194 | 93.4 % | 47,338 | 93.9 %
Retail customers – small and medium-sized entities | 3,203 | 6.6 % | 3,074 | 6.1 %
Total | 48,396 | 100.0 % | 50,412 | 100.0 %

Credit exposure to retail customers by internal rating:

in € million | Lower PD bound in % | Upper PD bound in % | 2023 | Share | 2022 | Share
0.5 | Minimal risk | > 0.00 % | ≤ 0.17 % | 8,575 | 17.7 % | 11,488 | 22.8 %
1.0 | Excellent credit standing | > 0.17 % | ≤ 0.35 % | 7,881 | 16.3 % | 9,574 | 19.0 %
1.5 | Very good credit standing | > 0.35 % | ≤ 0.69 % | 8,404 | 17.4 % | 8,851 | 17.6 %
2.0 | Good credit standing | > 0.69 % | ≤ 1.37 % | 7,424 | 15.3 % | 6,210 | 12.3 %
2.5 | Sound credit standing | > 1.37 % | ≤ 2.70 % | 5,127 | 10.6 % | 3,919 | 7.8 %
3.0 | Acceptable credit standing | > 2.70 % | ≤ 5.26 % | 2,932 | 6.1 % | 2,403 | 4.8 %
3.5 | Marginal credit standing | > 5.26 % | ≤ 10.00 % | 1,361 | 2.8 % | 1,189 | 2.4 %
4.0 | Weak credit standing/sub-standard | > 10.00 % | ≤ 18.18 % | 666 | 1.4 % | 535 | 1.1 %
4.5 | Very weak credit standing/doubtful | > 18.18 % | < 100 % | 886 | 1.8 % | 652 | 1.3 %
5.0 | Default | 100 % | 100 % | 1,215 | 2.5 % | 1,286 | 2.6 %
NR | Not rated |  |  | 3,924 | 8.1 % | 4,305 | 8.5 %
Total |  |  | 48,396 | 100.0 % | 50,412 | 100.0 %

154 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The declines in rating grades 0.5 and 1.0 were due to rating downgrades of Romanian and Russian clients. The not rated credit
exposure includes credit card limits in Austria and retail customers in Serbia, Hungary and Croatia. These customers either do
not have an internal rating due to the acquisition, or are part of portfolios under permanent partial use or portfolios for which
PD model are in implementation process. In case of leasing units, creditworthiness is assessed based on scorecard models.
Credit exposure to retail customers by segments:

2023 |  |  |  |
in € million | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets
Retail customers – private individuals | 21,741 | 10,139 | 4,386 | 8,928
Retail customers – small and medium-sized entities | 1,850 | 1,194 | 159 | 0
Total | 23,591 | 11,333 | 4,545 | 8,928
hereof non-performing exposure | 535 | 411 | 228 | 46

2022 |  |  |  |
in € million | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets
Retail customers – private individuals | 22,600 | 10,031 | 5,819 | 8,888
Retail customers – small and medium-sized entities | 1,766 | 1,105 | 202 | 0
Total | 24,366 | 11,137 | 6,021 | 8,888
hereof non-performing exposure | 540 | 386 | 321 | 45

Credit exposure to retail customers decreased by € 2,016 million in 2023. The largest decline of € 1,476 million was recorded in
Eastern Europe and primarily attributable to reduced loan volumes in Russia (mainly due to the development of the Russian
ruble). In addition, there was a decrease of € 775 million in Central Europe mainly due to litigation provisions for mortgage loans
in Poland.
Retail credit exposure by products:

in € million | 2023 | Share | 2022 | Share
Mortgage loans | 28,081 | 58.0 % | 29,990 | 59.5 %
Personal loans | 10,742 | 22.2 % | 10,993 | 21.8 %
Credit cards | 5,237 | 10.8 % | 5,215 | 10.3 %
SME financing | 2,437 | 5.0 % | 2,370 | 4.7 %
Overdraft | 1,219 | 2.5 % | 1,204 | 2.4 %
Car loans | 681 | 1.4 % | 640 | 1.3 %
Total | 48,396 | 100.0 % | 50,412 | 100.0 %

2023 |  |  |  |
in € million | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets
Mortgage loans | 16,146 | 3,449 | 1,533 | 6,953
Personal loans | 4,075 | 4,956 | 1,354 | 356
Credit cards | 1,373 | 1,274 | 1,184 | 1,406
SME financing | 1,024 | 1,043 | 232 | 137
Overdraft | 569 | 343 | 232 | 75
Car loans | 404 | 267 | 10 | 0
Total | 23,591 | 11,333 | 4,545 | 8,928

2022 |  |  |  |
in € million | Central Europe | Southeastern Europe | Eastern Europe | Group Corporates & Markets
Mortgage loans | 17,354 | 3,566 | 2,328 | 6,742
Personal loans | 3,774 | 4,833 | 2,101 | 284
Credit cards | 1,383 | 1,113 | 1,123 | 1,596
SME financing | 950 | 1,015 | 243 | 163
Overdraft | 546 | 345 | 209 | 104
Car loans | 358 | 265 | 17 | 0
Total | 24,366 | 11,137 | 6,021 | 8,888

Consolidated financial statements 155
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Credit portfolio – Banks
The following table shows the credit exposure by internal rating for banks (excluding central banks). Due to the small number
of customers (or observable defaults), the default probabilities of individual rating grades in this asset class are calculated
based on a combination of internal and external data. In May 2023, the rating model for credit institutions was adjusted in
accordance to the EBA guidelines after approval of ECB.

in € million | Lower PD bound in % | Upper PD bound in % | 2023 | Share | 2022 | Share
1 | Minimal risk | > 0.0000 % | ≤ 0.0300 % | 3,731 | 12.1 % | 7,233 | 22.5 %
2 | Excellent credit standing | > 0.0300 % | ≤ 0.0751 % | 4,268 | 13.9 % | 9,373 | 29.1 %
3 | Very good credit standing | > 0.0751 % | ≤ 0.1878 % | 15,471 | 50.3 % | 10,270 | 31.9 %
4 | Good credit standing | > 0.1878 % | ≤ 0.4694 % | 2,549 | 8.3 % | 499 | 1.6 %
5 | Sound credit standing | > 0.4694 % | ≤ 1.1735 % | 316 | 1.0 % | 127 | 0.4 %
6 | Acceptable credit standing | > 1.1735 % | ≤ 2.9338 % | 3,890 | 12.6 % | 3,780 | 11.8 %
7 | Marginal credit standing | > 2.9338 % | ≤ 7.3344 % | 259 | 0.8 % | 435 | 1.4 %
8 | Weak credit standing/sub-standard | > 7.3344 % | ≤ 18.3360 % | 112 | 0.4 % | 35 | 0.1 %
9 | Very weak credit standing/doubtful | > 18.3360 % | < 100 % | 150 | 0.5 % | 385 | 1.2 %
10 | Default | 100 % | 100 % | 4 | 0.0 % | 16 | 0.0 %
NR | Not rated |  |  | 2 | 0.0 % | 4 | 0.0 %
Total |  |  | 30,751 | 100.0 % | 32,156 | 100.0 %

Credit exposure to banks decreased primarily due to the decrease in loans and advances in China and the USA. This decline was
partly offset by an increase in repo transactions in France, Ireland, Spain, Italy and Great Britain.
Rating grade 2 recorded the largest decrease due to reduced loans and advances in China and due to rating downgrades of
individual Chinese, Austrian, German and Irish banks to rating grade 3. In addition, the increase in rating grade 3 resulted from
rating downgrades of individual Austrian banks from rating grade 1. Additionally, rating grade 1 recorded a decline in loans and
advances with American banks. The increase in rating grade 4 was mainly due to the rating downgrade of an Italian bank from
rating grade 3. The rating shifts are mainly due to the rating model change for credit institutions described above.
Credit exposure to banks (excluding central banks) by products:

in € million | 2023 | Share | 2022 | Share
Western Europe | 14,744 | 47.9 % | 12,431 | 38.7 %
Eastern Europe | 4,202 | 13.7 % | 4,576 | 14.2 %
Austria | 3,539 | 11.5 % | 3,400 | 10.6 %
Asia | 2,451 | 8.0 % | 4,043 | 12.6 %
Central Europe | 1,257 | 4.1 % | 1,142 | 3.6 %
Southeastern Europe | 458 | 1.5 % | 400 | 1.2 %
Other | 4,100 | 13.3 % | 6,165 | 19.2 %
Total | 30,751 | 100.0 % | 32,156 | 100.0 %

Credit exposure to banks (excluding central banks) by products:

in € million | 2023 | Share | 2022 | Share
Repo | 14,003 | 45.5 % | 12,049 | 37.5 %
Loans and advances | 8,559 | 27.8 % | 12,124 | 37.7 %
Bonds | 5,300 | 17.2 % | 4,950 | 15.4 %
Money market | 1,532 | 5.0 % | 1,515 | 4.7 %
Derivatives | 496 | 1.6 % | 534 | 1.7 %
Other | 862 | 2.8 % | 984 | 3.1 %
Total | 30,751 | 100.0 % | 32,156 | 100.0 %

156 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Credit portfolio – Sovereigns
Another asset class is formed by central governments, central banks, and regional municipalities as well as other public sector
entities. The credit exposure to sovereigns includes local and regional governments.
Credit exposure to sovereigns (including central banks) by internal rating:

in € million | Lower PD bound in % | Upper PD bound in % | 2023 | Share | 2022 | Share
1 | Minimal risk | > 0.0000 % | ≤ 0.0300 % | 9,182 | 15.1 % | 36,204 | 56.7 %
2 | Excellent credit standing | > 0.0300 % | ≤ 0.0751 % | 22,846 | 37.5 % | 12,860 | 20.2 %
3 | Very good credit standing | > 0.0751 % | ≤ 0.1878 % | 15,800 | 25.9 % | 6,398 | 10.0 %
4 | Good credit standing | > 0.1878 % | ≤ 0.4694 % | 6,512 | 10.7 % | 4,433 | 6.9 %
5 | Sound credit standing | > 0.4694 % | ≤ 1.1735 % | 2,235 | 3.7 % | 545 | 0.9 %
6 | Acceptable credit standing | > 1.1735 % | ≤ 2.9338 % | 2,359 | 3.9 % | 1,220 | 1.9 %
7 | Marginal credit standing | > 2.9338 % | ≤ 7.3344 % | 14 | 0.0 % | 24 | 0.0 %
8 | Weak credit standing/sub-standard | > 7.3344 % | ≤ 18.3360 % | 5 | 0.0 % | 0 | 0.0 %
9 | Very weak credit standing/doubtful | > 18.3360 % | < 100 % | 1,780 | 2.9 % | 1,768 | 2.8 %
10 | Default | 100 % | 100 % | 164 | 0.3 % | 362 | 0.6 %
NR | Not rated |  |  | 0 | 0.0 % | 2 | 0.0 %
Total |  |  | 60,898 | 100.0 % | 63,816 | 100.0 %

Rating grade 1 recorded the largest decrease, which was mainly due to the rating downgrades of Austria and the Czech
Republic, as well as the Austrian national bank. This decline was the reason for the increase in rating grade 2, which was partly
offset by rating downgrades of Slovakia and the Hungarian national bank to rating grade 3. In addition, the increase in rating
grade 3 was due to the rating upgrade of Croatia from rating grade 4. The increase in rating grade 4 was mainly a result of
rating downgrades of Hungary and Romania from rating grade 3. The rise in rating grade 5 resulted mainly from the rating
downgrade of Serbia from rating grade 4.
Credit exposure to sovereigns (including central banks) by product:

in € million | 2023 | Share | 2022 | Share
Bonds | 23,595 | 38.7 % | 17,662 | 27.7 %
Money market | 17,774 | 29.2 % | 26,803 | 42.0 %
Loans and advances | 12,435 | 20.4 % | 12,135 | 19.0 %
Repo | 6,677 | 11.0 % | 6,663 | 10.4 %
Derivatives | 70 | 0.1 % | 162 | 0.3 %
Other | 347 | 0.6 % | 391 | 0.6 %
Total | 60,898 | 100.0 % | 63,816 | 100.0 %

The decline in money market transactions resulted mainly from the reduction at the Austrian. Hungarian and Slovakian
national bank and was partly offset by an increase in money market transactions with the Croatian national bank. Bond
portfolio mainly increased in the Czech Republic, Slovakia, Austria and in Hungary.
Non-investment grade credit exposure to sovereigns (rating grade 5 and below):

in € million | 2023 | Share | 2022 | Share
Russia | 2,013 | 30.7 % | 1,239 | 31.6 %
Serbia | 1,740 | 26.5 % | 0 | 0.0 %
Ukraine | 1,585 | 24.2 % | 1,312 | 33.5 %
Bosnia and Herzegovina | 494 | 7.5 % | 186 | 4.7 %
Albania | 452 | 6.9 % | 527 | 13.5 %
Belarus | 196 | 3.0 % | 603 | 15.4 %
Other | 80 | 1.2 % | 53 | 1.3 %
Total | 6,558 | 100.0 % | 3,921 | 100.0 %

The exposure mainly includes deposits of Group units at local central banks in Central, Eastern, and Southeastern Europe. The
deposits serve to fulfil the respective minimum reserve requirements and act as a vehicle for short-term investment of excess
liquidity and are therefore inextricably linked with business activity in these countries, as well as government bonds.
Consolidated financial statements 157
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Country risk
Country risk includes transfer and convertibility risk, as well
as political risk and macroeconomic risk in a broader
sense. For RBI, it arises from cross-border transactions and
operations in foreign countries via its subsidiaries.
Activities in core markets are given particular attention in
this respect. Active country risk management is ensured
across the Group based on the country risk policy regularly
approved by the Management Board. This policy is part of
the credit portfolio limit system and sets a strict limitation
on cross-border risk exposure to individual countries in
order to avoid risk concentrations. At the same time, the
policy is designed to incentivize risk-taking within the RBI’s
core markets. The limit levels for individual countries are
established using an internal model based on pillars such
as the Group’s own capitalization, the internal sovereign
rating, and the size and dynamics of the country and its
banking sector.
Country risk is also reflected in product pricing and in risk-adjusted performance measurement via the internal funds transfer
pricing system. In this way, RBI provides the business units with an incentive to mitigate country risk (e.g. by taking out
insurance with export credit insurance organizations or seeking guarantors in third countries). The insights gained from the
country risk analysis are not only used for limiting the total cross-border exposure, but also for managing the total credit
exposure in each individual country (i.e. including the exposure funded by local deposits). RBI thus gears its business activities to
the expected macroeconomic trends within the different markets, which promotes broad diversification of its credit portfolio.
Concentration risk
The credit portfolio of the Group is well diversified in terms of geographical region and industry. Single name concentrations
are also actively managed (based on the concept of groups of connected customers) by way of limits and regular reporting. As
a result, portfolio granularity is high. The regional breakdown of the exposures reflects the broad diversification of credit busi-
ness in the Group’s European markets.
Credit exposures across all asset classes by the borrower’s country of risk, grouped by regions:

in € million | 2023 | Share | 2022 | Share
Central Europe | 75,237 | 31.7 % | 71,413 | 29.0 %
Czech Republic | 34,094 | 14.4 % | 31,738 | 12.9 %
Slovakia | 24,822 | 10.5 % | 24,085 | 9.8 %
Hungary | 12,326 | 5.2 % | 11,169 | 4.5 %
Poland | 3,241 | 1.4 % | 3,922 | 1.6 %
Other | 754 | 0.3 % | 498 | 0.2 %
Austria | 47,136 | 19.9 % | 56,770 | 23.1 %
Western Europe | 43,614 | 18.4 % | 41,789 | 17.0 %
Germany | 12,184 | 5.1 % | 11,929 | 4.9 %
France | 7,899 | 3.3 % | 7,756 | 3.2 %
Spain | 3,668 | 1.5 % | 3,265 | 1.3 %
Great Britain | 3,612 | 1.5 % | 3,713 | 1.5 %
Switzerland | 3,126 | 1.3 % | 3,143 | 1.3 %
Luxembourg | 2,664 | 1.1 % | 2,939 | 1.2 %
Netherlands | 2,497 | 1.1 % | 2,458 | 1.0 %
Italy | 2,409 | 1.0 % | 2,151 | 0.9 %
Belgium | 1,435 | 0.6 % | 990 | 0.4 %
Ireland | 802 | 0.3 % | 800 | 0.3 %
Other | 3,319 | 1.4 % | 2,644 | 1.1 %
Southeastern Europe | 38,349 | 16.2 % | 35,464 | 14.4 %
Romania | 17,704 | 7.5 % | 16,352 | 6.6 %
Croatia | 7,783 | 3.3 % | 7,298 | 3.0 %
Serbia | 6,724 | 2.8 % | 6,467 | 2.6 %
Bosnia and Herzegovina | 2,571 | 1.1 % | 2,125 | 0.9 %
Albania | 1,939 | 0.8 % | 1,788 | 0.7 %
Other | 1,628 | 0.7 % | 1,434 | 0.6 %

158 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | 2023 | Share | 2022 | Share
Eastern Europe | 20,842 | 8.8 % | 25,552 | 10.4 %
Russia | 15,016 | 6.3 % | 19,195 | 7.8 %
Ukraine | 3,966 | 1.7 % | 4,018 | 1.6 %
Belarus | 1,326 | 0.6 % | 1,805 | 0.7 %
Other | 534 | 0.2 % | 534 | 0.2 %
Asia | 4,830 | 2.0 % | 6,345 | 2.6 %
North America | 3,635 | 1.5 % | 4,497 | 1.8 %
Rest of World | 3,344 | 1.4 % | 4,124 | 1.7 %
Total | 236,988 | 100.0 % | 245,953 | 100.0 %

Austria recorded the largest decline due to lower money market transactions and lower deposits at the Austrian national bank.
In Eastern Europe, there was a decrease in loans and advances in Russia, Belarus and Ukraine, in guarantees given in Russia,
and, mainly currency-related, in consumer and mortgage loans in Russia. The declined exposure in North America and Asia was
due to loans and advances to banks in the USA and China. In Central Europe, the rise was due to increased bond portfolios in
the Czech Republic, Hungary and Slovakia, increased facility financing in the Czech Republic and Slovakia, and increased loans
and advances in Hungary. Southeastern Europe recorded an increase in money market transactions and bond portfolio in
Croatia. The increase in Western Europe was due to increased repo transactions in Spain, Great Britain, France, Ireland and
Italy, and in facility financing in Germany and the Netherlands.
Credit exposure across all asset classes by currencies:

in € million | 2023 | Share | 2022 | Share
Euro (EUR) | 133,540 | 56.3 % | 136,367 | 55.4 %
Czech koruna (CZK) | 28,747 | 12.1 % | 27,711 | 11.3 %
US dollar (USD) | 21,120 | 8.9 % | 22,350 | 9.1 %
Russian ruble (RUB) | 14,241 | 6.0 % | 17,266 | 7.0 %
Romanian leu (RON) | 12,853 | 5.4 % | 11,388 | 4.6 %
Hungarian forint (HUF) | 9,341 | 3.9 % | 7,949 | 3.2 %
Ukrainian hryvnia (UAH) | 3,368 | 1.4 % | 3,298 | 1.3 %
Serbian dinar (RSD) | 3,130 | 1.3 % | 2,737 | 1.1 %
Bosnian marka (BAM) | 2,507 | 1.1 % | 2,274 | 0.9 %
Chinese yuan (CNY) | 1,572 | 0.7 % | 3,560 | 1.4 %
Albanian lek (ALL) | 1,532 | 0.6 % | 1,290 | 0.5 %
Swiss franc (CHF) | 1,369 | 0.6 % | 2,080 | 0.8 %
Great Britain Pound (GBP) | 1,047 | 0.4 % | 1,314 | 0.5 %
Belarusian-ruble (BYN) | 1,018 | 0.4 % | 1,104 | 0.4 %
Polish zloty (PLN) | 686 | 0.3 % | 736 | 0.3 %
Croatian kuna (HRK) | 0 | 0.0 % | 3,885 | 1.6 %
Other foreign currencies | 915 | 0.4 % | 645 | 0.3 %
Total | 236,988 | 100.0 % | 245,953 | 100.0 %

Consolidated financial statements 159
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The Group’s credit exposure based on industry classification:

in € million | 2023 | Share | 2022 | Share
Banking and insurance | 70,059 | 29.6 % | 80,890 | 32.9 %
Private households | 45,220 | 19.1 % | 45,142 | 18.4 %
Public administration and defense and social insurance institutions | 24,614 | 10.4 % | 18,739 | 7.6 %
Other manufacturing | 18,206 | 7.7 % | 19,140 | 7.8 %
Wholesale trade and commission trade (except car trading) | 15,150 | 6.4 % | 15,403 | 6.3 %
Real estate activities | 12,882 | 5.4 % | 13,120 | 5.3 %
Construction | 6,818 | 2.9 % | 6,805 | 2.8 %
Electricity, gas, steam and hot water supply | 6,271 | 2.6 % | 5,737 | 2.3 %
Retail trade and repair of consumer goods | 5,426 | 2.3 % | 5,758 | 2.3 %
Land transport, transport via pipelines | 3,155 | 1.3 % | 3,328 | 1.4 %
Manufacture of food products and beverages | 2,799 | 1.2 % | 2,803 | 1.1 %
Land transport, transport via pipelines | 2,708 | 1.1 % | 2,577 | 1.0 %
Manufacture of basic metals | 2,213 | 0.9 % | 2,877 | 1.2 %
Manufacture of machinery and equipment | 1,966 | 0.8 % | 1,846 | 0.8 %
Other transport | 1,615 | 0.7 % | 1,770 | 0.7 %
Sale of motor vehicles | 1,529 | 0.6 % | 1,348 | 0.5 %
Extraction of crude petroleum and natural gas | 886 | 0.4 % | 1,033 | 0.4 %
Other industries | 15,472 | 6.5 % | 17,636 | 7.2 %
Total | 236,988 | 100.0 % | 245,953 | 100.0 %

Structured credit portfolio
The Group invests in structured products. The total exposure to structured products showed a nominal amount of € 545 million
(previous year: € 511 million) and a carrying amount of € 537 million (previous year: € 530 million). These are mainly investments
in asset-backed securities (ABS), asset-based financing (ABF), and in some cases collateralized debt obligations (CDO). A total of
100 per cent of the portfolio (previous year: 97 per cent) contains loans and advances to European customers. The year-on-year
increase in nominals is attributable to purchases due to new transactions.
Counterparty credit risk
The default of a counterparty in a derivative, repurchase, securities lending, or borrowing transaction can lead to losses from
re-establishing an equivalent contract. In the Group, this risk is measured by the mark-to-market approach where a predefined
add-on is added to the current positive fair value of the contract in order to account for potential future changes. For internal
management purposes potential price changes, which affect the fair value of an instrument, are calculated specifically for dif-
ferent contract types based on historical market price changes.
For derivative contracts the standard limit approval process applies, where the same risk classification, limitation, and
monitor-ing process is used as for traditional lending. In doing so, the weighted nominal exposure of derivative contracts is
added to the customers’ total exposure in the limit application and monitoring process as well as in the calculation and
allocation of internal capital.
An important strategy for reducing counterparty credit risk is utilization of credit risk mitigation techniques such as netting
agreements and collateralization. In general, the Group strives to establish standardized ISDA master agreements with all ma-
jor counterparties for derivative transactions in order to be able to perform close-out netting and credit support annexes (CSA)
for full risk coverage for positive fair values on a daily basis.
Non-performing exposures (NPE)
Since November 2019 RBI has fully applied the new definition of default of the CRR and also the corresponding requirements of
the EBA (EBA/GL/2016/07).
160 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Non-performing exposures pursuant to the applicable definition contained in the Implementing Technical Standard (ITS) on
Supervisory Reporting (Forbearance and non-performing exposures) issued by the EBA:

| NPE | NPE ratio | NPE coverage ratio
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
General governments | 178 | 169 | 8.3 % | 7.9 % | 2.7 % | 3.0 %
Banks | 3 | 6 | 0.0 % | 0.0 % | 47.1 % | 63.1 %
Other financial corporations | 392 | 163 | 3.7 % | 1.4 % | 29.3 % | 29.8 %
Non-financial corporations | 1,843 | 1,619 | 3.8 % | 3.2 % | 53.5 % | 62.8 %
Households | 1,075 | 1,133 | 2.6 % | 2.7 % | 64.8 % | 66.2 %
Loans and advances | 3,491 | 3,090 | 2.2 % | 1.8 % | 51.7 % | 59.1 %
Bonds | 7 | 3 | 0.0 % | 0.0 % | 24.2 % | 0.0 %
Total | 3,498 | 3,093 | 1.9 % | 1.6 % | 51.7 % | 59.0 %

Compared to year-end 2022, the volume of non-performing exposures increased € 406 million to € 3,498 million. In organic
terms, this was a growth of € 462 million, mainly in Group Corporates & Markets segment with € 642 million in real estate, while
Russia declined with € 103 million; the currency trend, mainly as a result of the devaluation of the Russian ruble, contributed a
total of € 56 million. A decrease of € 621 million resulted from derecognitions and sales, this contrasted with new defaults
mainly of loans to non-financial corporations. The NPE ratio rose 0.3 percentage points to 1.9 per cent compared to year-end
2022. The coverage ratio fell 7.4 percentage points to 51.7 per cent.
Development of non-performing exposure by asset classes (excluding items off the statement of financial position):

in € million | As at 1/1/2023 | Change in consolidated group | Currency | Additions | Disposals | As at 31/12/2023
General governments | 169 | 0 | 0 | 10 | (1) | 178
Banks | 6 | 0 | 0 | 0 | (2) | 3
Other financial corporations | 163 | 0 | (2) | 250 | (19) | 392
Non-financial corporations | 1,619 | 0 | (35) | 856 | (597) | 1,843
Households | 1,133 | 0 | (19) | 470 | (508) | 1,075
Loans and advances (NPL) | 3,090 | 0 | (56) | 1,585 | (1,128) | 3,491
Bonds | 3 | 0 | 0 | 4 | 0 | 7
Total (NPE) | 3,093 | 0 | (56) | 1,590 | (1,128) | 3,498

in € million | As at 1/1/2022 | Change in consolidated group | Currency | Additions | Disposals | As at 31/12/2022
General governments | 1 | (1) | 0 | 169 | 0 | 169
Banks | 3 | 0 | 0 | 2 | 0 | 6
Other financial corporations | 113 | 0 | 0 | 92 | (42) | 163
Non-financial corporations | 1,574 | (36) | 30 | 624 | (572) | 1,619
Households | 1,131 | (38) | 12 | 471 | (444) | 1,133
Loans and advances (NPL) | 2,822 | (75) | 43 | 1,358 | (1,058) | 3,090
Bonds | 0 | 0 | 0 | 3 | 0 | 3
Total (NPE) | 2,823 | (75) | 43 | 1,361 | (1,059) | 3,093

Share of non-performing exposure (NPE) by segments (excluding items off the statement of financial position):

| NPE | NPE ratio | NPE coverage ratio
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
Central Europe | 783 | 831 | 1.2 % | 1.4 % | 58.4 % | 59.7 %
Southeastern Europe | 592 | 591 | 1.8 % | 2.0 % | 66.6 % | 70.2 %
Eastern Europe | 528 | 708 | 2.1 % | 2.3 % | 73.6 % | 65.1 %
Group Corporates & Markets | 1,595 | 962 | 3.0 % | 1.8 % | 35.6 % | 47.1 %
Corporate Center | 0 | 0 | 0.0 % | 0.0 % | 100.0 % | 100.0 %
Total | 3,498 | 3,093 | 1.9 % | 1.6 % | 51.7 % | 59.0 %

Non-performing exposure in the Group Corporate & Markets segment recorded an increase of € 633 million to € 1,595 million,
primarily due to the rise in the real estate sector. Offsetting this were derecognitions and sales of non-performing loans in the
amount of € 203 million. The NPE ratio increased 1.2 percentage points compared to year-end 2022 to 3.0 per cent. The
coverage ratio declined 11.6 percentage points to 35.6 per cent.
Consolidated financial statements 161
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Non-performing exposure in the Southeastern Europe segment remained nearly unchanged at € 592 million in comparison to
year-end 2022. Beside Kosovo, Romania and Serbia, in all other countries non-performing exposure declined mainly due to sales
and derecognitions of non-performing loans in the amount of € 139 million, mainly in Romania with € 95 million, contrasted
with higher new defaults of loans to households. The NPE ratio declined 0.2 percentage points to 1.8 per cent, the coverage
ratio sank 3.6 percentage points to 66.6 per cent.
Falling € 181 million to € 528 million, the Eastern Europe segment contributed to the decrease in non-performing exposure, on
the one hand due to devaluation of the Russian ruble and the Ukrainian Hryvna in the total amount of € 57 million, on the other
due to derecognitions and sales of non-performing loans in the amount of € 181 million, mainly in Russia with € 150 million. The
NPE ratio fell 0.2 percentage points to 2.1 per cent. The coverage ratio increased 8.4 percentage points to 73.6 per cent.
The Central Europe segment reported a € 48 million decrease in non-performing exposure to € 783 million, mainly due to
decreases in Hungary and Poland totaling € 58 million, whereas Slovakia and the Czech Republic reported a totaling of € 10
million slight increase in non-performing exposure, derecognitions and sales of non-performing loans in the amount of € 99
million contributed to the reduction. The NPE ratio in relation to the total exposure fell 0.1 percentage points to 1.2 per cent
compared to year-end 2022. The coverage ratio fell 1.3 percentage points to 58.4 per cent.
Non-performing exposure with restructuring measures:

| Refinancing | Instruments with modified maturities and conditions | Total
in € million | 2023 | 2022 | 2023 | 2022 | 2023 | 2022
General governments | 0 | 0 | 0 | 0 | 0 | 0
Banks | 0 | 0 | 0 | 0 | 0 | 0
Other financial corporations | 62 | 60 | 47 | 38 | 109 | 98
Non-financial corporations | 93 | 81 | 784 | 886 | 877 | 967
Households | 8 | 8 | 249 | 273 | 257 | 281
Total | 163 | 149 | 1,080 | 1,197 | 1,243 | 1,346

Non-performing exposure with restructuring measures by segments:

in € million | 2023 | Share | 2022 | Share
Central Europe | 239 | 19.3 % | 259 | 19.2 %
Southeastern Europe | 156 | 12.6 % | 182 | 13.5 %
Eastern Europe | 326 | 26.2 % | 350 | 26.0 %
Group Corporates & Markets | 521 | 41.9 % | 555 | 41.2 %
Total | 1,243 | 100.0 % | 1,346 | 100.0 %

(43) Market risk
The Group defines market risk as the risk of possible losses arising from changes in market prices of trading and investment
positions. Market risk estimates are based on changes in exchange rates, interest rates, credit spreads, equity and commodity
prices, and other market parameters (e.g. implied volatilities).
Market risks from the customer divisions are transferred to the Treasury division using the transfer price method. Treasury is
responsible for managing structural market risks and for complying with the Group’s overall limit. The Capital Markets division
is responsible for proprietary trading, market making, and customer business in money market and capital market products.
In previous years the global COVID-19 situation required increased monitoring of market trends and position changes for RBI, in
2022 the Russia-Ukraine war outbreak provided the challenge for market risk management, which continued during 2023 as
well. Active risk management and daily monitoring with a focus on the Russian, Ukrainian and Belarusian markets and
portfolios, dual steering approach (Group without Russian entities) introduction for the Group beginning of 2023, as well as the
derivative exposure reduction between head office and Russian entity were necessary in order to adapt to the changed
environment.
162 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Organization of market risk management
All market risks are measured, monitored, and managed on Group level. The Market Risk Committee is responsible for strategic
market risk management issues. It is responsible for managing and controlling all market risks in the Group. The Group’s overall
limit is set by the Management Board on the basis of the risk-taking capacity and income budget. This limit is apportioned to
sub-limits in coordination with business divisions according to the strategy, business model and risk appetite.
The Market Risk Management department ensures that the business volume and product range comply with the defined
strategy of the Group. It is responsible for implementing and enhancing risk management processes, risk management
infrastructure and systems, manuals, and measurement techniques for all market risk categories and credit risk arising from
market price changes in derivative transactions. Furthermore, Market Risk Management independently measures and reports
all market risks on a daily basis.
All products in which open positions can be held are listed in the product catalog. New products are added to this list only after
successfully completing the product approval process. Product applications are investigated thoroughly for any risks. They are
approved only if the new products can be implemented in the bank’s front- and back-office and risk management systems.
Limit system
The Group uses a comprehensive risk management approach for both the trading and the banking books (total-return
approach). Market risk is therefore managed consistently in all trading and banking books. The following indicators are
measured and limited on a daily basis in the market risk management system:
· Value-at-Risk (VaR) – confidence level 99 per cent
Value-at-Risk is the main market risk steering instrument in liquid markets and normal market situations. Two
different methods of calculation are used, depending on the steering approach. The consistency between P&L and
risk figures is in parallel necessary with the economic scope of RBI in order to ensure comprehensive control. The
change of the limit system was approved by the regulator. For the overall portfolio including the banking book, a
model is used that is based on a historical simulation and which is suitable for longer-term steering of the market
risks from the banking books (ALL model, confidence level 99 per cent, risk horizon 20 days). The calculation is based
on overlapping 20-day returns of the last seven years and is also used for allocating economic capital. For all market
risks with a direct impact on the income statement, a model is used that provides a good forecast of short-term
volatility (IFRS P&L model, confidence level 99 per cent, risk horizon 1 day). The Austrian Financial Market Authority
has approved this approach as an internal model for calculating the total capital requirement for market risks for
RBI AG’s trading book. Both models calculate value-at-risk indicators for changes in the risk factors foreign
currencies, interest rate trend, credit spreads, implicit volatility, stock indices and basis spreads.
· Sensitivities (to changes in exchange rates and interest rates, gamma, vega, equity and commodity prices)
Sensitivity limits are to ensure that concentrations are avoided in normal market situations and are the main
steering in-strument under extreme market situations and in illiquid markets or in markets that are structurally
difficult to measure.
· Stop loss
Stop loss limits serve to strengthen the discipline of traders such that they do not allow losses to accumulate on
their own proprietary positions but strictly limit them instead.
A comprehensive stress testing concept complements this multi-level limit system. It simulates potential present value
changes of defined scenarios for the total portfolio. The results on market risk concentrations shown by these stress tests are
reported to the Market Risk Committee and taken into account when setting limits. Stress test reports for individual portfolios
are included in daily market risk reporting.
Value-at-Risk (VaR)
The following tables show the risk indicators (VaR ALL 99 per cent, 20 days and VaR IFRS-P&L 99 per cent, 1 day) for the
individual market risk categories in the trading book, while the overall risk is shown for the banking book. The Group’s VaR
mainly results from structural equity positions, structural interest rate risk, and credit spread risks of bonds, which are held as
liquidity buffer. The IFRS-P&L model aims to measure short-term market fluctuations, while the ALL model focuses on
measuring structural interest rate risks. Similarly to year-end of 2022, in 2023 the currency risk of the structural positions in the
ruble, hryvnia, forint and Belarusian ruble remained the main driver, as well as interest rate risk increased compared to the
year-end of 2022.
Consolidated financial statements 163
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Model IFRS-P&L trading book VaR (99%, 1d) | VaR as at | Average VaR | Minimum VaR | Maximum VaR | VaR as at
in € million | 2023 |  |  |  | 2022
Currency risk | 0 | 1 | 0 | 8 | 1
Interest rate risk | 2 | 3 | 1 | 6 | 1
Credit spread risk | 2 | 2 | 1 | 6 | 6
Share price risk | 1 | 1 | 1 | 1 | 1
Vega risk | 1 | 0 | 0 | 1 | 0
Basis risk | 4 | 4 | 2 | 10 | 12
Total | 6 | 6 | 4 | 13 | 14

Model IFRS-P&L total VaR (99%, 1d) | VaR as at | Average VaR | Minimum VaR | Maximum VaR | VaR as at
in € million | 2023 |  |  |  | 2022
Currency risk | 10 | 7 | 2 | 14 | 13
Interest rate risk | 8 | 5 | 2 | 32 | 4
Credit spread risk | 4 | 4 | 3 | 7 | 6
Share price risk | 1 | 1 | 1 | 1 | 1
Vega risk | 1 | 1 | 0 | 3 | 1
Basis risk | 5 | 6 | 3 | 20 | 30
Total | 19 | 13 | 9 | 36 | 35

Model ALL VaR (99%, 20d) | VaR as at | Average VaR | Minimum VaR | Maximum VaR | VaR as at
in € million | 2023 |  |  |  | 2022
Economic capital ALL | 649 | 542 | 460 | 1,022 | 565
Vega risk ALL | 10 | 13 | 6 | 33 | 16
Total ALL | 659 | 554 | 472 | 1,032 | 581
Economic capital banking book | 620 | 549 | 463 | 1,066 | 572
Vega risk banking book | 9 | 13 | 6 | 32 | 15
Total banking book | 630 | 560 | 485 | 1,076 | 587
Interest rate risk in the banking book | 167 | 176 | 68 | 274 | 120

The risk measurement approaches employed are verified – besides analyzing returns qualitatively – on an ongoing basis
through backtesting and statistical validation techniques. If model weaknesses are identified, then they are adapted
accordingly.
In the 2023 reporting year, there was one hypothetical backtesting violation. The following graph compares the VaR to the
theoretical gains and losses on a daily basis. The VaR represents the maximum loss which will not be exceeded within one day,
with a confidence level of 99 per cent. It is compared to the respective theoretical gain or loss which would arise on the
following day due to the actual market conditions at the time.
164 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Exchange rate risk and capital (ratio) hedge
Market risk in the Group results primarily from exchange rate risk, which stems from foreign-currency denominated equity in-
vestments in foreign Group units and the corresponding hedging positions entered into by the Group Asset/Liability
Committee. In a narrow sense, exchange rate risk denotes the risk of losses being incurred due to open foreign exchange
positions. However, exchange rate fluctuations also influence current revenues and expenses. They also affect regulatory
capital requirements for assets denominated in foreign currencies, even if they are financed in the same currency and thus do
not create an open foreign exchange position.
The Group holds material equity participations located outside of the euro area with equity denominated in the corresponding
local currency. Also, a significant share of risk-weighted assets in the Group is denominated in foreign currencies. Changes in
foreign exchange rates thus lead to changes in the consolidated capital of the Group and to changes in the total capital
requirement for credit risk as well.
From a regulatory perspective, the ECB approved a waiver for the Group which permits a reduction in the RWA’s associated
with market risk. This requires that the Group follow a specific hedging strategy that allows the exchange rate risks to be
protected against potential shocks.
In order to manage exchange rate risk, RBI currently follows a stable capital ratio strategy. The goal of this hedging strategy is
to balance tier 1 capital and risk-weighted assets in all currencies according to the targeted tier 1 ratio (i.e. reduce excess capi-
tal or deficits in relation to risk-weighted assets for each currency) such that the tier 1 ratio remains stable even if foreign ex-
change rates change. The Group aims at stabilizing its capital ratio when managing exchange rate risks. Changes in foreign
exchange rates thus lead to changes in the consolidated equity amount; however, the regulatory capital requirement for credit
risks stemming from assets denominated in foreign currencies also changes correspondingly. This risk is managed on a
monthly basis in the Group Asset/Liability Committee based on historical foreign exchange volatilities, exchange rate
forecasts, and the sensitivity of the tier 1 ratio to changes in individual foreign exchange rates.
The following table shows all material open foreign exchange rate positions as at 29 December 2023 and the corresponding
values for the previous year. The figures include both trading positions as well as capital positions of the subsidiaries with
foreign currency denominated statements of financial position (short positions are shown with a negative sign and long
positions with a positive sign). The increase in open foreign exchange positions as of 29 December 2023 in Eastern Europe,
especially in the Russian ruble (RUB), was due to removal of the ECB waiver for RUB currency. This reduction is the result of
market restrictions, especially in terms of the availability of EUR/RUB hedge instruments as a result of the war.

in € million | 2023 | 2022
ALL | 285 | 59
BAM | 965 | 351
BGN | 185 | 65
BYN | 709 | 309
CNY | 13 | 6
CHF | (1,184) | (377)
CZK | 484 | 512
HRK | 0 | 437
HUF | 847 | 236
PLN | 48 | 0
RON | 2,440 | 660
RSD | 1,607 | 497
RUB | 7,173 | 2,064
UAH | 1,790 | 310
USD | (2,153) | (930)

Consolidated financial statements 165
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Interest rate risk in the trading book
The largest present value changes for the trading book of the Group given a one-basis-point interest rate increase for the
whole yield curve in € thousand.

2023 in € thousand | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
ALL | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CHF | (10) | (1) | 3 | (10) | (3) | 0 | 0 | 0 | 0 | 0 | 0 | 0
CNY | 4 | 0 | 0 | 4 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | 4 | (1) | (2) | 11 | (7) | (5) | 6 | 0 | 5 | (1) | (1) | (1)
EUR | (56) | 3 | 10 | (3) | (1) | (32) | 23 | (32) | 3 | (25) | 13 | (13)
HRK | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
HUF | 11 | 2 | 0 | (4) | (3) | (1) | 5 | (3) | 14 | 1 | 0 | 0
NOK | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
PLN | 3 | 0 | 0 | (8) | 9 | (1) | 5 | 3 | (4) | 0 | 0 | 0
RON | (7) | 1 | 0 | 3 | (1) | (10) | 3 | 0 | (2) | (1) | 0 | 0
RUB | (29) | (16) | (8) | 0 | (2) | 0 | (1) | 0 | (1) | 0 | 0 | 0
UAH | (24) | 0 | 0 | (2) | (12) | (9) | (1) | 0 | 0 | 0 | 0 | 0
USD | (32) | 9 | 7 | (13) | (13) | (34) | (20) | (5) | 1 | 9 | 9 | 20
Other | (15) | 0 | (1) | (2) | (1) | (1) | (3) | (1) | (6) | 0 | 0 | 0

The presentation of currencies changed year-on-year depending on the absolute amount of interest rate sensitivity.

2022 in € thousand | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
ALL | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CHF | 4 | 5 | 0 | 0 | (1) | 1 | 0 | 0 | 0 | 0 | 0 | 0
CNY | 5 | 0 | 0 | 5 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | (10) | (5) | 3 | 9 | 8 | 2 | (5) | (13) | (8) | (1) | 0 | 0
EUR | (58) | (4) | 6 | 9 | 27 | 6 | (4) | (58) | (12) | (4) | (13) | (12)
HRK | (7) | 0 | 0 | 0 | 1 | 0 | (2) | (2) | 0 | (3) | 0 | 0
HUF | (4) | 5 | (1) | (6) | (3) | 0 | 0 | (1) | 3 | 0 | 0 | 0
NOK | 1 | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0
PLN | (1) | 0 | (2) | 1 | (2) | (1) | 7 | (2) | (2) | 0 | 0 | 0
RON | (9) | 1 | (1) | (1) | 1 | (4) | (4) | 0 | 0 | 0 | 0 | 0
RUB | (16) | (15) | 2 | (14) | 7 | 3 | 3 | (2) | 1 | (2) | 0 | 0
UAH | (16) | (1) | (1) | (1) | (9) | (2) | (2) | 0 | 0 | 0 | 0 | 0
USD | 13 | 4 | 2 | (1) | 0 | 0 | 7 | (2) | (6) | 5 | 6 | (2)
Other | (5) | 2 | 0 | (2) | (1) | (3) | 0 | 0 | 0 | 0 | 0 | 0

Interest rate risk in the banking book
Different maturities and repricing schedules of assets and the corresponding liabilities (i.e. deposits and financing from money
markets and capital markets) cause interest rate risk in the Group. This risk arises in particular from incomplete compensation
of the interest rate sensitivity of expected cash flows, their interest rate adjustment cycles, and other optional features.
Interest rate risk in the banking book is material for the euro and US dollar as major currencies as well as for local currencies of
Group units located in Central and Eastern Europe.
This risk is mainly hedged by a combination of transactions on and off the statement of financial position where in particular
interest rate swaps and – to a smaller extent – also interest rate forwards and interest rate options are used. Management of
the statement of financial position is a core task of the central Global Treasury division and of individual network banks, which
are supported by the Group Asset/Liability Committee. They base their decisions on various interest income analyses and
simulations that ensure proper interest rate sensitivity in line with expected changes in market rates and the overall risk
appetite.
Interest rate risk in the banking book is not only measured within a value-at-risk framework but also managed by the
traditional tools of nominal and interest rate gap analyses. Interest rate risk is subject to quarterly reporting in the context of
the interest rate risk statistic submitted to the banking supervisor. This report also shows the change in the present value of
the banking book as a percentage of total capital in line with the CRR requirements. Maturity assumptions needed in this
analysis are defined as specified by regulatory authorities and based on internal statistics and empirical values.
166 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Change in the present value of the Group’s banking book given a one-basis point interest rate increase in € thousand:

2023 in € thousand | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
ALL | 24 | (1) | (1) | (4) | (10) | 11 | 27 | (15) | 1 | 11 | 4 | 0
BGN | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
BYN | (6) | 2 | 2 | 6 | (4) | (3) | (2) | (2) | (3) | (2) | 0 | 0
CHF | (68) | (25) | (4) | 0 | 4 | 4 | 2 | (17) | (10) | (13) | (7) | (1)
CNY | (3) | (1) | (1) | (1) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | (831) | 42 | (18) | (10) | (209) | (197) | (201) | 112 | (155) | (167) | (27) | (1)
EUR | (876) | 12 | (124) | 46 | 194 | (15) | 202 | (235) | (293) | (417) | (237) | (8)
GBP | (7) | (4) | 2 | 1 | (1) | (7) | 1 | 0 | 0 | 0 | 0 | 0
HRK | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
HUF | (295) | 5 | 2 | (38) | (9) | (13) | (92) | (48) | (97) | (4) | (1) | 0
PLN | (14) | (2) | (7) | 2 | 3 | (1) | (3) | (4) | (2) | 0 | 0 | 0
RON | 101 | 2 | 11 | 1 | (68) | 11 | 24 | (50) | 167 | 4 | (1) | 0
RSD | (12) | 1 | 1 | 4 | (8) | 19 | 32 | (17) | (45) | 0 | 0 | 0
RUB | (101) | (3) | (21) | (7) | (121) | (57) | 78 | 90 | 31 | (73) | (16) | (2)
SGD | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
UAH | (30) | 5 | 3 | (2) | (14) | (14) | (7) | 0 | 0 | 0 | 0 | 0
USD | 139 | 15 | (32) | 23 | 72 | 50 | 4 | (6) | 11 | 1 | 0 | 0
Other | (61) | 2 | (22) | 38 | 11 | (4) | (7) | (36) | (29) | (8) | (4) | 0

The presentation of currencies changed year-on-year depending on the absolute amount of interest rate sensitivity.

2022 in € thousand | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
ALL | 55 | (2) | (4) | (13) | 6 | 19 | 45 | 3 | 5 | 7 | (4) | (8)
BGN | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
BYN | (2) | (1) | (1) | 0 | 1 | 2 | (1) | (1) | 0 | 0 | 0 | 0
CHF | (86) | (53) | (1) | 1 | 3 | 3 | 3 | (13) | (10) | (11) | (7) | (2)
CNY | (5) | (2) | (1) | (1) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | (788) | 55 | (19) | 2 | (179) | (178) | (274) | (127) | (35) | (32) | 0 | 0
EUR | (911) | 72 | 31 | 92 | (295) | (162) | (325) | (334) | 146 | (68) | (50) | (19)
GBP | (11) | (2) | 0 | 0 | 1 | (2) | (7) | (1) | 0 | 0 | 0 | 0
HRK | 182 | 6 | (2) | (9) | 9 | 33 | 80 | (4) | 54 | 15 | 0 | 0
HUF | (210) | 6 | (3) | (20) | (16) | (12) | (58) | (44) | (62) | (2) | 1 | 0
PLN | (20) | (3) | (5) | 2 | (1) | (3) | (3) | (3) | (4) | 0 | 0 | 0
RON | (206) | (3) | 6 | 10 | (11) | (2) | (10) | (121) | (77) | 4 | (1) | 0
RSD | 12 | (1) | (3) | 1 | (2) | (7) | 25 | (1) | 0 | 0 | 0 | 0
RUB | (9) | 35 | (4) | 12 | (138) | (30) | 35 | 95 | 83 | (81) | (15) | (2)
SGD | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
UAH | 6 | 3 | 1 | (4) | 8 | 6 | (7) | 0 | 0 | 0 | 0 | 0
USD | 228 | 57 | 96 | 40 | 16 | 2 | 29 | 10 | 0 | (23) | 0 | 0
Other | (34) | 7 | (3) | (5) | (1) | 1 | (2) | (13) | (11) | (2) | (3) | 0

Credit spread risk
The market risk management framework uses time-dependent bond and CDS spread curves as risk factors in order to
measure credit spread risks. It captures all capital market instruments in the trading and banking book.
(44) Liquidity management
Despite the ongoing Russian invasion in Ukraine and intense media coverage of RBI, the liquidity position remained stable
throughout 2023. In response to the unstable environment, several decisions were made and implemented in 2023 to establish
an additional liquidity buffer.
These decisions included increasing buffers in selected and total currencies and adjusting models based on observed statistics
from previous years. Ongoing analysis, monitoring, and scenario analysis for potential adverse developments have been
Consolidated financial statements 167
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
implemented. Additionally, a separate monitoring of RBI’s liquidity risk position, excluding Russian subsidiaries, was initiated in
2023, proving that RBI’s liquidity risk position remains within target levels even without the Russian business.
The ILAAP framework and governance once again proved to be solid and functioning even in times of crisis. Daily monitoring of
the liquidity position using dynamic dashboards showed that the infrastructure and monitoring are effective and support quick
reactions in times of crisis.
Funding structure
The Group’s funding structure is highly focused on retail business in Central and Eastern Europe. In addition, as a result of the
Austrian Raiffeisen Banking Group’s strong local market presence, the Group also benefits from funding through the Raiffeisen
Landesbanken. Different funding sources are utilized in accordance with the principle of diversification. These include the issue
of international bonds by RBI AG, the issue of local bonds by the Group units and the use of third-party financing loans (includ-
ing supranationals). Partly due to tight country limits and partly due to beneficial pricing, the Group units also use interbank
loans with third-party banks.
Principles
Internal liquidity management is an important business process within general bank management, because it ensures the
continuous availability of funds required to cover day-to-day demands.
Liquidity adequacy is ensured from both an economic and a regulatory perspective. In order to approach the economic per-
spective RBI established a governance framework comprising internal limits and steering measures which complies with the
Principles for Sound Liquidity Risk Management and Supervision set out by the Basel Committee on Banking Supervision and the
Kreditinstitute-Risikomanagement-Verordnung (KI-RMV) issued by the Austrian regulatory authority.
The regulatory component is addressed by complying with the reporting requirements under Basel III (Liquidity Coverage Ratio,
Net Stable Funding Ratio, and Additional Liquidity Monitoring Metrics) as well as by complying with the regulatory limits. In
addition, some Group units have additional liquidity and reporting requirements set by their local supervisory authorities.
Organization and responsibility
Responsibility for ensuring adequate levels of liquidity lies with the overall Management Board. The board members with func-
tional responsibility are the Chief Financial Officer (Treasury) and the Chief Risk Officer (Risk Controlling). Accordingly, the pro-
cesses regarding liquidity risk are essentially run by two areas within the bank: Firstly the Treasury units, which take on liquidity
risk positions within the strategy, guidelines and parameters set by the responsible decision-making bodies. Secondly, they are
monitored and supported by independent Risk Controlling units, which measure and model liquidity risk positions, set limits and
supervise compliance with those.
168 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
83.8 %
Loan/Deposit Ratio
(up 1.4 PP)
Besides the responsible units in the line functions, all network banks have respective asset/liability management committees
(ALCOs). These committees act as decision-making bodies with respect to all matters affecting the management of the liquid-
ity position and balance sheet structure of a unit including the definition of strategies and policies for managing liquidity risks.
The ALCOs take decisions and provide standard reports on liquidity risk to the Board of Management at least on a monthly ba-
sis. On Group level these functions are taken by the Group ALCO. Treasury operations and the respective ALCO decisions are
mainly based on Group-wide, standardized Group rules and their local supplements, which take specific regional factors into
account.
Liquidity strategy
Treasury units are committed to achieving KPIs and to complying with risk-based principles. The current set of KPIs includes
general targets, e.g. for return on risk-adjusted capital (RORAC) or coverage ratios, as well as specific Treasury targets for li-
quidity such as a minimum survival period in defined stress scenarios or minimum liquidity targets in regulatory indicators.
While generating an adequate structural income from maturity transformation which reflects the liquidity and market risk po-
sitions taken by the bank, Treasury has to follow a prudent and sustainable risk policy when steering the balance sheet. Strate-
gic goals comprise a reduction of parent funding within the Group, the sustainable management of the depositor base and
credit growth as well as continuous compliance with regulatory requirements and the internal limit framework.
Liquidity risk framework
Regulatory and internal liquidity reports and ratios are generated based on certain modelling assumptions. Whereas the regu-
latory reports are calculated on specifications given by authorities, the internal reports are modelled with assumptions from
empirical observations.
The Group has a substantial database along with expertise in forecasting cash flows arising from all material on- and off-bal-
ance sheet positions. The modelling of liquidity inflows and outflows is carried out on an appropriate granular level, differenti-
ating between product and customer segments, and, where applicable, currencies as well. Modelling of retail and corporate
customer deposits includes assumptions concerning the retention times for deposits after maturity. The model assumptions
are quite prudent, e.g. there is a no-rollover assumption on funding from banks and all funding channels and the liquidity buffer
are stressed simultaneously.
The cornerstones of the economic liquidity risk framework are the Going Concern (GC) and the Time-to-Wall (TTW) scenario.
The Going Concern report shows the structural liquidity position. It covers all main risk drivers which could detrimentally affect
the Group in a business-as-usual scenario. The Going Concern models are important input factors for the liquidity contribution
to the internal funds transfer pricing model. On the other hand, the Time-to-Wall report shows the survival horizon for defined
adverse scenarios and stress models (market, reputational and combined crisis) and determines the minimum level of the li-
quidity buffer (and/or the counter-balancing capacity) of the Group and its individual units.
The liquidity scenarios are modelled using a Group-wide approach, acknowledging local specifications where they are justified
by influencing factors such as the market or legal environment or certain business characteristics; the calculation is performed
at RBI AG. The modelling of cash inflows and outflows differentiates between product and customer segments, while if appli-
cable, a distinction is also made between different currencies. For products without a contractual maturity, the distribution of
cash inflows and outflows is calculated using a geometric Brownian motion which derives the statistical forecasts for future
daily balances from the observed, exponentially weighted historical volatility of the corresponding products. For market crisis
scenario a special model for assessment of the potential liquidity outflow due to margin calls is in place. This model relies on
Value-at-Risk calculations to estimate the potential depreciation of derivative portfolios involving counterparties with CSA or
variation margin agreements. By incorporating this outflow into the liquidity risk stress test, a corresponding buffer is
maintained to account for potential margin calls in extremely adverse situations.
The liquidity risk framework is continuously developed at both Group level and at the level of the individual Group units. The
technical infrastructure is enhanced in numerous Group-wide projects and data availability is improved in order to meet the
new reporting and management requirements for this area of risk.
Consolidated financial statements 169
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Risk appetite and liquidity limits
The liquidity position is monitored on Group level and on individual unit level and is restricted by means of a comprehensive
limit system. Limits are defined both under a business-as-usual as well as under a stress perspective. In accordance with the
defined risk appetite, each Group unit must demonstrate a survival horizon of several months (TTW) in a severe, combined
stress scenario (reputational and market stress). This can be ensured either by a structurally positive liquidity profile or by a
sufficiently high liquidity buffer. In a normal going-concern environment, maturity transformation must be fully covered by the
available liquidity buffer in the medium term. This means that the cumulative liquidity position over a period of up to one year
must be positive. In the long term (one year or more), maturity transformation is permitted up to a certain level. The internal
model limits are supplemented by limits for compliance with regulatory liquidity ratios, such as the liquidity coverage ratio. All
limits must be complied with on a daily basis.
Liquidity monitoring
The bank uses a range of customized measurement tools and early warning indicators that provide board members and senior
management with timely and forward-looking information. The limit framework ensures that the bank can continue to
operate in a period of severe stress.
Monitoring of limits and reporting limit compliance is performed regularly and effectively. Any breach by Group units is
reported to the Group ALCO and escalated. In such cases, appropriate steps are undertaken in consultation with the relevant
unit or contentious matters are escalated to the next highest responsible body.
Liquidity stress testing
Stress tests are conducted for RBI AG and the network banks on a daily basis and on Group level. The tests cover three scenar-
ios (market, reputational and combined crisis), consider the effects of the scenarios for a period of several months and demon-
strate that stress events can simultaneously result in a time-critical liquidity requirement in several currencies. The stress
scenarios include the principal funding and market liquidity risks. This means that in the stress tests of the Group, all network
units are simultaneously subject to a pronounced combined crisis for all their major products. The results of the stress tests are
reported to the Chief Risk Officer and the Chief Financial Officer as well as other members of management on a weekly basis;
they also form a key component of the monthly ALCO meetings and are included in the bank’s strategic planning and contin-
gency planning.
A conservative approach is adopted when establishing outflow ratios based on historical data and expert opinions. The simula-
tion assumes a lack of access to the money or capital market and simultaneously significant outflows of customer deposits. In
this respect, the deposit concentration risk is also considered by assigning higher outflow ratios to large customers. Further-
more, stress assumptions are formulated for the drawdown of guarantees and credit obligations. In addition, the liquidity
buffer positions are adapted by haircuts in order to cover the risk of disadvantageous market movements, and the potential
outflows resulting from collateralized derivative transactions are estimated. The bank continuously monitors whether the
stress assumptions are still appropriate or whether new risks need to be considered.
The Time-to-Wall concept has established itself as the main control instrument for day-to-day liquidity management and is
therefore a central component of funding planning and budgeting. It is also fundamental to determining performance ratios
relating to liquidity.
Liquidity buffer
As shown by the daily liquidity risk reports, the main Group units actively maintain and manage liquidity buffers, including high-
quality liquid assets (HQLA) which are always sufficient to cover the net outflows expected in crisis scenarios. The Group has
sizeable, unencumbered and liquid securities portfolios and favors securities eligible for central bank tender transactions in
order to ensure sufficient liquidity in various currencies. The main Group units ensure the availability of liquidity buffers, test
their ability to utilize central bank funds, constantly evaluate their collateral positions as regards their market value and en-
cumbrance and examine the remaining counterbalancing capacity, including the funding potential and the saleability of the
assets.
Generally, a haircut is applied to all liquidity buffer positions. In the stressed liquidity report (time-to-wall), these haircuts in-
clude a market-risk specific haircut and a central bank haircut. While the market risk haircut represents the potential price vol-
atility of the securities held as assets as part of the liquidity buffer, the central bank haircut represents an additional haircut
for each individual relevant security that may be offered as collateral.
170 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Intraday liquidity management
In compliance with regulatory requirements for intraday liquidity management, the available liquidity is calculated daily analo-
gous to the outflow assumptions of the regular liquidity stress reports (time-to-wall) for RBI AG. In case of limit breaches, an
intraday contingency and escalation process is triggered commensurate with the severity of the breach. For the whole of RBI,
the local intraday liquidity management process is within the responsibility of the local Treasury unit which ensures that the
following minimum standards are implemented locally: clear responsibilities and workflows for managing intraday liquidity;
daily monitoring of available intraday liquidity; intraday liquidity forecasting model and limit; escalation and contingency pro-
cesses and measures in case of limit breaches.
Contingency funding plan
Under difficult liquidity conditions, the units switch to a contingency process in which they follow predefined liquidity contin-
gency plans. These contingency plans also constitute an element of the liquidity management framework and are mandatory
for all significant Group units. The emergency management process is designed so that the Group can retain a strong liquidity
position even in serious crisis situations.
Liquidity position
Group funding is founded on a strong customer deposit base supplemented by wholesale funding – mainly via RBI AG and the
Group units. Funding instruments are appropriately diversified and are used regularly. The ability to procure funds is precisely
monitored and evaluated by the Treasury ALM units and the ALCOs.
In the past year and to date, the Group’s excess liquidity was above all regulatory and internal limits (with a handful of excep-
tions in the area of internal sub-limits). The result of the internal time-to-wall stress test demonstrates that the Group would
survive throughout the modelled stress phase of several months even without applying contingency measures.
The Going Concern report shows the structural liquidity position. It covers all material risk drivers which might affect the Group
in a business as usual scenario. The results of the going concern scenario are shown in the following table. It illustrates excess
liquidity and the ratio of expected cash inflows plus counterbalancing capacity to cash outflows (liquidity ratio) for selected
maturities on a cumulative basis. Based on assumptions employing expert opinions, statistical analyses and country specifics,
this calculation also incorporates estimates of the stability of the customer deposit base, outflows from items off the state-
ment of financial position and downward market movements in relation to positions which influence the liquidity counterbal-
ancing capacity.

in € million | 2023 | 2022
Maturity | 1 month | 1 year | 1 month | 1 year
Liquidity gap | 49,061 | 57,382 | 47,281 | 46,094
Liquidity ratio | 190 % | 152 % | 179 % | 136 %

Liquidity coverage ratio (LCR)
The liquidity coverage ratio (LCR) requires the short-term resilience of banks by ensuring that they have an adequate stock of
unencumbered high-quality liquid assets (HQLAs) to meet potential liability run offs that might occur in a crisis, which can be
converted into cash to meet liquidity needs for a minimum of 30 calendar days in a liquidity stress scenario.
The calculation of expected inflows and outflows of funds and the HQLAs is based on regulatory guidelines. The regulatory
limit for LCR is 100 per cent.

in € million | 2023 | 2022
Average liquid assets | 39,310 | 43,954
Net outflows | 20,781 | 21,712
Inflows | 18,773 | 21,475
Outflows | 39,554 | 43,188
Liquidity Coverage Ratio | 189 % | 202 %

Consolidated financial statements 171
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Net Stable Funding Ratio (NSFR)
The NSFR is defined as the ratio of available stable funding to required stable funding. Available stable funding is defined as
the portion of equity and debt which is expected to be a reliable source of funds over the time horizon of one year covered by
the NSFR. A bank’s required stable funding depends on the liquidity characteristics and residual maturities of the various assets
and off-balance-sheet positions. RBI targets a balanced funding position. The required stable funding and available stable
funding are based on regulatory requirements. The regulatory NSFR limit is 100 per cent.

in € million | 2023 | 2022
Required stable funding | 115,960 | 119,608
Available stable funding | 163,982 | 161,545
Net Stable Funding Ratio | 141 % | 135 %

NSFR remained stable in 2023.
Funding liquidity risk
Funding liquidity risk is mainly driven by changes in the risk strategy of lenders or by a deterioration in the creditworthiness of a
bank that needs external funding. Funding rates and supply rise and fall with credit spreads, which change due to the market
or bank-specific situation.
As a consequence, long-term funding depends on restoring confidence in banks and increased efforts in collecting customer
deposits. RBI AG’s banking activities are financed by combining wholesale funding and the retail franchise of deposit-taking
subsidiary banks. It is the central liquidity balancing agent for the local Group units in Central and Eastern Europe.
In the Group’s funding plans, special attention is paid to a diversified structure of funding to mitigate funding liquidity risk. In
the Group, funds are not only raised by RBI AG as the Group’s parent institution, but also individually by different banking sub-
sidiaries. Those efforts are coordinated and optimized through a joint funding plan.
Moreover, RBI AG arranges medium-term and long-term funding for its subsidiaries through syndicated loans, bilateral funding
agreements with banks, and financing facilities provided by supranational institutions. These funding sources are based on
long-term business relationships.
For managing and limiting liquidity risks, the targets for the loan/deposit ratio (the ratio of customer loans to customer depos-
its) in the individual subsidiary banks take into account the planned future business volumes as well as the feasibility of in-
creasing customer deposits in different countries. On the one hand, this initiative reduces external funding requirements. On
the other hand, it also reduces the need for internal funding operations and the risk associated with such liquidity transfers.
172 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The following table shows a breakdown of cash flows according to the contractual maturity of financial assets:

2023 in € million | Carrying amount | Contractual cash flows | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
Non-derivative financial assets | 188,055 | 212,587 | 76,767 | 21,740 | 60,224 | 53,856
Cash, balances at central banks and other demand deposits | 43,234 | 43,523 | 43,523 | 0 | 0 | 0
Loans and advances | 114,147 | 133,352 | 30,138 | 18,220 | 45,295 | 39,699
Central banks | 7,860 | 7,884 | 7,868 | 16 | 0 | 0
General governments | 2,145 | 2,313 | 147 | 215 | 714 | 1,237
Banks | 6,854 | 7,013 | 5,218 | 328 | 1,172 | 295
Other financial corporations | 10,566 | 11,822 | 3,880 | 1,684 | 5,035 | 1,223
Non-financial corporations | 47,049 | 52,593 | 10,567 | 12,019 | 24,754 | 5,252
Households | 39,674 | 51,728 | 2,458 | 3,958 | 13,619 | 31,692
Debt securities | 30,674 | 35,713 | 3,106 | 3,520 | 14,929 | 14,157
Central banks | 68 | 64 | 64 | 0 | 0 | 0
General governments | 24,683 | 28,967 | 2,521 | 2,675 | 10,905 | 12,866
Banks | 3,865 | 4,289 | 356 | 539 | 2,494 | 900
Other financial corporations | 1,114 | 1,265 | 67 | 172 | 862 | 165
Non-financial corporations | 944 | 1,127 | 99 | 135 | 668 | 226
Derivative financial assets | 4,569 | 3,925 | 449 | 694 | 1,803 | 979
Derivatives - Trading book | 3,774 | 3,636 | 450 | 636 | 1,610 | 941
Derivatives – hedge accounting | 1,160 | 297 | 9 | 57 | 192 | 39
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (365) | (9) | (10) | 0 | 2 | (1)

2022 in € million | Carrying amount | Contractual cash flows | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
Non-derivative financial assets | 196,046 | 217,983 | 90,430 | 23,034 | 58,282 | 46,245
Cash, balances at central banks and other demand deposits | 53,683 | 54,010 | 54,010 | 0 | 0 | 0
Loans and advances | 118,946 | 137,710 | 34,514 | 19,563 | 47,180 | 36,453
Central banks | 8,814 | 8,816 | 8,816 | 0 | 0 | 0
General governments | 2,143 | 2,301 | 278 | 282 | 726 | 1,015
Banks | 6,902 | 6,983 | 5,242 | 401 | 998 | 341
Other financial corporations | 11,390 | 12,435 | 4,402 | 1,707 | 4,970 | 1,357
Non-financial corporations | 48,829 | 54,038 | 12,926 | 10,947 | 23,982 | 6,183
Households | 40,867 | 53,136 | 2,850 | 6,226 | 16,503 | 27,557
Debt securities | 23,418 | 26,262 | 1,905 | 3,470 | 11,103 | 9,792
Central banks | 4 | 4 | 4 | 0 | 0 | 0
General governments | 17,599 | 19,781 | 1,351 | 2,670 | 7,947 | 7,812
Banks | 3,634 | 3,814 | 252 | 622 | 2,125 | 814
Other financial corporations | 1,184 | 1,422 | 199 | 88 | 461 | 682
Non-financial corporations | 997 | 1,242 | 98 | 90 | 570 | 483
Derivative financial assets | 5,721 | 5,188 | 265 | 1,037 | 2,357 | 1,529
Derivatives - Trading book | 5,059 | 5,128 | 571 | 973 | 2,139 | 1,445
Derivatives – hedge accounting | 1,608 | 378 | 11 | 64 | 218 | 85
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (947) | (318) | (316) | 0 | 0 | (2)

Consolidated financial statements 173
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The following table shows a breakdown of cash flows according to the contractual maturity of financial liabilities:

2023 in € million | Carrying amount | Contractual cash flows | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
Non-derivative financial liabilities | 170,883 | 174,220 | 123,254 | 10,997 | 30,488 | 9,481
Deposits | 145,497 | 146,580 | 120,571 | 9,445 | 11,866 | 4,698
Central banks | 2,987 | 3,046 | 2,604 | 65 | 250 | 128
General governments | 3,702 | 3,744 | 3,116 | 439 | 156 | 34
Banks | 23,158 | 23,608 | 15,411 | 1,427 | 4,899 | 1,871
Other financial corporations | 12,114 | 12,450 | 8,864 | 799 | 1,212 | 1,574
Non-financial corporations | 45,084 | 45,211 | 42,598 | 2,115 | 363 | 135
Households | 58,453 | 58,521 | 47,978 | 4,601 | 4,987 | 955
Short positions | 567 | 560 | 554 | 6 | 0 | 0
Debt securities issued | 23,335 | 25,691 | 755 | 1,530 | 18,622 | 4,783
Other financial liabilities | 1,484 | 1,389 | 1,374 | 15 | 0 | 0
Derivative financial liabilities | 4,331 | 4,288 | 231 | 817 | 2,042 | 1,197
Derivatives - Trading book | 3,379 | 4,364 | 614 | 694 | 1,924 | 1,132
Derivatives – hedge accounting | 1,466 | 394 | 93 | 124 | 117 | 59
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (514) | (469) | (476) | 0 | 1 | 5
Financial guarantees given | 9,761 | 9,753 | 4,670 | 2,049 | 1,708 | 1,326
Issued loan commitments | 36,601 | 36,601 | 13,170 | 5,119 | 9,000 | 9,312

2022 in € million | Carrying amount | Contractual cash flows | Up to 3 months | More than 3 months, up to 1 year | More than 1 year, up to 5 years | More than 5 years
Non-derivative financial liabilities | 179,743 | 184,492 | 129,428 | 16,338 | 27,789 | 10,937
Deposits | 158,740 | 160,679 | 126,827 | 14,086 | 15,208 | 4,558
Central banks | 8,915 | 9,489 | 524 | 4,760 | 4,067 | 138
General governments | 2,895 | 2,954 | 2,030 | 469 | 378 | 76
Banks | 24,726 | 25,132 | 17,427 | 1,833 | 4,437 | 1,435
Other financial corporations | 13,286 | 14,023 | 9,882 | 1,088 | 1,135 | 1,918
Non-financial corporations | 50,042 | 50,135 | 47,321 | 2,180 | 427 | 207
Households | 58,876 | 58,946 | 49,642 | 3,757 | 4,763 | 784
Short positions | 91 | 91 | 91 | 0 | 0 | 0
Debt securities issued | 18,957 | 21,785 | 601 | 2,231 | 12,581 | 6,372
Other financial liabilities | 1,955 | 1,938 | 1,910 | 21 | 0 | 7
Derivative financial liabilities | 5,639 | 5,512 | (287) | 1,292 | 3,062 | 1,445
Derivatives - Trading book | 4,802 | 6,117 | 822 | 1,131 | 2,692 | 1,472
Derivatives – hedge accounting | 2,054 | 549 | 47 | 161 | 370 | (30)
Fair value adjustments of the hedged items in portfolio hedge of interest rate risk | (1,217) | (1,154) | (1,156) | 0 | 0 | 2
Financial guarantees given | 9,370 | 9,370 | 4,239 | 2,187 | 1,751 | 1,193
Issued loan commitments | 37,193 | 37,193 | 11,483 | 5,714 | 9,996 | 9,999

(45) Operational risks
Operational risk is defined as the risk of losses resulting from inadequate or failed internal processes, people and systems or
from external events, including legal risk. In this risk category internal risk drivers such as unauthorized activities, fraud or theft,
conduct-related losses, modelling errors, execution and process errors, or business disruption and system failures are
managed. External factors such as damage to physical assets or fraud are managed and controlled as well.
This risk category is analyzed and managed based on own historical loss data and the results of risk assessments. As with
other risk types the principle of firewalling of risk management and risk controlling is also applied to operational risk in the
Group. To this end, individuals are designated and trained as Operational Risk Managers for each business area. Operational
Risk Managers provide central Operational Risk Controlling with reports on risk assessments, loss events, indicator values and
measures. They are supported in their work by Dedicated Operational Risk Specialists (DORS).
Operational risk controlling units are responsible for reporting, implementing the framework, developing control measures and
monitoring compliance with requirements. Within the framework of the annual risk management cycle, they also coordinate
the participation of the relevant second line of defense departments (Financial Crime Management, Compliance, Vendor Man-
agement, Outsourcing Management, Insurance Management, Information Security, Physical Security, Business Continuity Man-
174 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
agement, Internal Control System, Technology Risk Management) and all first line of defense partners (Operational Risk
Managers).
Risk identification
Identifying and evaluating risks that might endanger the Group’s existence (but the occurrence of which is highly improbable)
and areas where losses are more likely to arise more frequently (but have only limited impact) are important aspects of opera-
tional risk management.
Operational risk assessment is executed in a structured and Group-wide uniform manner according to risk categories such as
business processes and event types. Moreover, risk assessment applies to new products as well. All Group units grade the im-
pact of high probability/low impact events and low probability/high impact incidents according to their estimation of the loss
potential for the next year and in the next ten years. Low probability/high impact events are quantified by a Group-wide ana-
lytical tool (scenarios). The internal risk profile, losses arising and external changes determine which cases are dealt with in de-
tail. In addition, scenario analyses for focus topics such as ESG, model risks or cyber risks are specified via the Group.
Monitoring
In order to monitor operational risks, early warning indicators are used that allow prompt identification and minimization of
losses. Loss data is collected in a central database called Archer (an overall non-financial risk platform) in a structured manner
and on a Group-wide basis according to the event type and the business line. In addition to the requirements for internal and
external reporting, information on loss events is exchanged with international data pools to further develop operational risk
management tools as well as to track measures and control effectiveness. The Group is a participant in the ORX data pool
(Operational Risk Data Exchange Association), whose data are currently used for internal benchmark purposes and analyses
and as part of the operational risk model. The ORX data consortium is an association of banks and insurance groups for statis-
tical purposes. The results of the analyses as well as events resulting from operational risks are reported in a comprehensive
manner to the relevant Operational Risk Management Committee on a regular basis.
Quantification and mitigation
At year-end 2023, the equity requirement for operational risk was calculated using the standardized approach. This led to a
€ 120 million increase in capital requirements (€ 1.5 billion higher RWAs) due to the discontinuation of the advanced measure-
ment approach. This adjustment will be effective until the implementation of the CRR III.
The economic capital is based on an internal model with external and internal losses as input factors and Group-wide scenar-
ios. Risk-based control is carried out with allocation based on the input factors of the relevant units and the operating income
for stabilization. The standards which are implemented and complied with at Group level correspond to an advanced approach
for all operational risk methods.
To reduce operational risk, business managers decide on preventive risk-reduction actions such as risk mitigation or risk trans-
fer. The progress and effectiveness of these actions is monitored by Risk Control. The former also define contingency plans and
nominate responsible persons or departments for initiating the defined actions if losses in fact occur. In addition, several dedi-
cated organizational units provide support to business units for preventing operational risks. An important role in connection
with operational risk activities is taken on by Financial Crime Management and Technology Risk Management. Financial Crime
Management provides support for the prevention and identification of fraud. Technology Risk Management has an important
role in defining and monitoring IT risks. The Group also conducts an extensive staff training program and has different con-
tingency plans and back-up systems in place. Loss data per category of operational risk are collected for all units in the CRR
Group.
Consolidated financial statements 175
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
These are distributed across the Basel risk categories as follows, but do not include any loss events that are already reflected
in the credit risk provisions:

in € million | 2023 | Share | 2022 | Share
Clients, Products and Business Practices | 962 | 95.2% | 541 | 92.8 %
Internal Fraud | 33 | 3.3% | 2 | 0.3 %
Disasters and Public Safety | 8 | 0.8% | 16 | 2.8 %
Technology and Infrastructure Failures | 3 | 0.3% | 1 | 0.1 %
External Fraud | 3 | 0.3% | 6 | 1.1 %
Excecution, Delivery and Process Management | 2 | 0.2% | 17 | 2.9 %
Employment Practices and Workplace Safety | 1 | 0.1% | 0 | 0.0 %
Total | 1,011 | 100.0% | 584 | 100.0 %

Number of OpRisk events | 2023 | Share | 2022 | Share
External Fraud | 33,743 | 77.9% | 28,305 | 65.4%
Clients, Products and Business Practices | 5,561 | 12.8% | 4,480 | 10.3%
Technology and Infrastructure Failures | 2,443 | 5.6% | 348 | 0.8%
Excecution, Delivery and Process Management | 1,117 | 2.6% | 1,219 | 2.8%
Disasters and Public Safety | 274 | 0.6% | 7,153 | 16.5%
Internal Fraud | 90 | 0.2% | 73 | 0.2%
Employment Practices and Workplace Safety | 83 | 0.2% | 100 | 0.2%
Total | 43,311 | 100.0% | 41,678 | 96.2%

Other disclosures
(46) Pending legal issues
RBI is involved in various legal, administrative or arbitration proceedings before various courts and authorities mainly arising in
the ordinary course of business and involving contractual, labor, and other matters.
A provision is only recognized if there is a legal or constructive obligation because of a past event, payment is likely, and the
amount can be reliably estimated. A contingent liability that arises from a past event is disclosed unless payment is highly
unlikely. A contingent asset that arises from a past event is reported if there is high probability of occurrence. In no instance in
the description that follows is an amount stated in which, in accordance with IAS 37, this would be severely detrimental. In
some cases, provisions are measured on a portfolio basis because this results in the obligation being estimated with greater
reliability. RBI has grouped its provisions, contingent assets, and contingent liabilities under the headings of consumer
protection, banking business, regulatory enforcement, and tax litigation.
Consumer protection
RBI faces customer lawsuits in connection with consumer protection matters. Most claims relate to terms of contract that are
alleged to breach consumer protection or other laws. The legal risk associated with such claims is heightened by the danger of
politically motivated legislation that increases the degree of unpredictability.
Croatia
In Croatia, following litigation initiated by a Croatian consumer association against Raiffeisenbank Austria, d.d., Zagreb (RBHR),
and other Croatian banks, two contractual clauses used in consumer loan agreements between 2003/2004 and 2008 were
declared null and void: an interest change clause and a CHF index clause. The decision on the interest adjustment clause
cannot be challenged any more. The decision on the nullity of the CHF index clause which was confirmed by the Croatian
Supreme Court also passed control of the Croatian Constitutional Court. RBHR is exploring the possibility to challenge this
decision, and submitted an application before the European Court for Human Rights in August 2021. The issue of CHF-indexed
loans which were converted under the Croatian Conversion Act into EUR-indexed loans was pending before the Court of Justice
of the European Union (CJEU) for preliminary ruling. In May 2022, CJEU published a preliminary ruling but like the Croatian
Supreme Court in a sample dispute, CJEU did not answer whether consumers of converted loans are entitled to any additional
compensation (besides the positive effects of the conversion performed under provisions of the Croatian Consumers Credit Act
2015). Therefore, the issue whether consumers are entitled to additional compensation (notwithstanding conversion) remained
for domestic courts to judge, primarily for the Croatian Supreme Court. Based on the decisions already rendered on the nullity
of the interest change clause and/or the CHF index clause, a number of borrowers have already raised claims against RBHR. In
176 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
its session in December 2022, the Croatian Supreme Court adopted the view that consumers are entitled to additional
compensation only in the amount of default interest on overpayments (if any) made until the conversion of CHF-indexed loans
into EUR-indexed loans in 2015. However, in April 2023, the President of the Supreme Court informed the public that the
adopted legal position did not pass the control by the Registrar for Judicial Practice of the Supreme Court which has authority
to return any decision in case it considers that it does not comply with the law. A possible solution (whether consumers are
entitled to additional compensation or not) is expected to be given in the individual rulings of the Croatian Supreme Court. Only
such specific rulings may then be challenged before the Constitutional Court. Given current legal uncertainties relating to the
statute of limitations, the validity of the CHF index clause/conversion performed, the calculation of the additional
compensation, the further course of action, the final outcome of the request for preliminary ruling and the number of
borrowers raising such claims, final quantification of the financial impact and the possible damage is not possible at this point
of time. In this connection, the provision recognized on a portfolio basis was increased to € 67 m illion (previous year: € 62
million).
Poland
In Poland, a significant number of civil lawsuits are pending in relation to certain contractual stipulations connected with
consumer mortgage loans denominated in or indexed to foreign currencies. As at 31 December 2023, the total amount in
dispute was approximately PLN 5,411 million (€ 1,156 million). The number of lawsuits continues to increase.
In this context, a Polish court requested the Court of Justice of the European Union (CJEU) to clarify whether certain clauses in
these agreements breach European law and are unfair. The CJEU’s preliminary ruling (C-260/18) in October 2019 does not
answer whether the loan agreements are invalid in whole or part but merely gives interpretative guidance on the principles
according to which the national courts must decide in each individual case. According to this, a loan agreement without unfair
terms should remain valid provided that it is in conformity with national law. If a loan agreement cannot remain valid without
the unfair term, the entire contract would have to be annulled. If the annulment of the entire contract triggers material
negative consequences for the borrower, the Polish courts can replace the unfair term by a valid term in accordance with
national law. The consequences of the contract being annulled must be carefully examined so that the borrower can consider
all potential negative consequences of annulment. However, the consequences of canceling an annulled loan agreement
remain unclear and may be serious for the borrower, for example due to the obligation to repay the loan immediately including
the costs of using the loan amount. It remains to be seen how the principles developed by the CJEU will be applied under
national law on a case-by-case basis.
In another proceeding involving RBI, the District Court for Warszawa-Wola in Warsaw requested the CJEU to issue a preliminary
ruling concerning the way in which the contractual provisions concerning the rules for determining the buying and selling rates
for foreign currency are to be formulated in the case of consumer mortgage loans indexed to a foreign currency. In the
judgement of 18 November 2021 in case C-212/20, the CJEU considered that the content of a clause of a loan agreement that
sets the buying and selling prices of a foreign currency to which the loan is indexed must enable a reasonably well informed
and reasonably observant consumer, based on clear and intelligible criteria, to understand the way in which the foreign
currency exchange rate used to calculate the amount of the repayment installments is set. Based on information specified in
such a provision, the consumer must be able to determine on his or her own, at any time, the exchange rate applied by the
entrepreneur. In the justification the CJEU specified that a provision that does not enable the consumer to determine the
exchange rate himself or herself is unfair. Moreover, the CJEU indicated in said judgement that the national court, when the
considered term of a consumer contract is unfair, is not allowed to interpret that term in order to remedy its unfairness, even if
that interpretation would correspond to the common intention of the parties to that contract. Only if the invalidity of the
unfair term were to require the national court to annul the contract in its entirety, thereby exposing the consumer to
particularly unfavorable consequences, so that the consumer would thus be penalized, the national court might replace that
term with a supplementary provision of national law. The CJEU therefore did not entirely preclude national courts hearing such
cases from supplementing the contract with supplementary provisions of national law, but gaps may not be filled solely with
national provisions of a general nature and such remedy may be applied only in strictly limited cases as specified by the CJEU.
The assessment of an unfair nature of contractual provisions as well as the decision concerning supplementation of the
contract after removal of unfair contractual clauses, however, still falls within the competence of the national court hearing
the case. The CJEU did not determine at all whether, in the consequence of the above-mentioned actions, the entire foreign
currency contract is to be annulled. The current judicial practice of Polish courts is already consistent with the CJEU’s
preliminary ruling and, thus, unfavorable for banks holding consumer mortgage loans indexed to a foreign currency. The
respective clauses, depending on the assessment made by the national court hearing the case, may not meet the requirements
as specified in the above CJEU judgement.
Consolidated financial statements 177
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
On 15 June 2023, the CJEU announced its judgment in case C-520/21 on the consequences of the annulment of a mortgage loan
agreement vitiated by unfair terms. The consumer mortgage loan agreement indexed to CHF had been annulled on the ground
that the conversion clauses determining the rate of exchange into PLN for purposes of the monthly installments were
considered to be unfair and that the loan agreement could not continue in existence after removal of the unfair terms. The
CJEU observed that EU law does not expressly govern the consequences of the annulment of a consumer contract which are to
be determined by domestic legislation in the individual EU member states. Such domestic legislation has to be compatible with
EU law and its objectives, in particular to restore the situation which the consumer would have been in had the annulled
contract not existed as well as not to undermine the deterrent effect sought by EU law. According to the CJEU, EU law does not
preclude consumers from seeking compensation from the bank going beyond the reimbursement of the monthly installments
paid and the expenses paid in respect of the performance the mortgage loan agreement together with the payment of
default interest at the statutory rate from the date on which notice is served. Nevertheless, it is a matter for the national
courts to determine whether upholding such claims on the part of the consumers is in accordance with the principle of
proportionality. By contrast, EU law precludes the bank from being able to claim from the consumer compensation going
beyond reimbursement of the capital paid in respect of the performance of the mortgage loan agreement together with the
payment of default interest at the statutory rate from the date on which notice is served.
A significant inflow of new cases has been observed since the beginning of 2020 as a result of the CJEU preliminary ruling and
of intensified marketing activity by law firms acting on behalf of borrowers. Such an increased inflow of new cases has not
only been observed by RBI’s Polish branch, but by all banks handling currency loan portfolios in Poland.
Furthermore, Polish courts have approached the CJEU with requests for a preliminary ruling in other civil proceedings. That
ruling could lead to further clarifications and may influence how court cases concerning foreign currency loans are decided by
national Polish courts.
The impact assessment in relation to affected FX-indexed or FX-denominated loan agreements may also be influenced by the
outcome of ongoing administrative proceedings conducted by the President of the Office of Competition and Consumer
Protection (UOKiK) against RBI’s Polish branch. Such administrative proceedings are, inter alia, based on the alleged practice of
infringing collective consumer interests as well as on the classification of clauses in standard agreements as unfair. As at this
point of time, it is uncertain what the potential impact of said proceedings could be on FX-indexed or FX-denominated loan
agreements and RBI. Furthermore, such proceedings have resulted in and could result in the imposition of administrative fines
on RBI’s Polish branch – and in the event of appeals – in administrative court proceedings.
Moreover, the Polish Financial Ombudsman, acting on behalf of two borrowers, has initiated a civil proceeding against RBI
alleging employment of unfair commercial practices towards consumers in respect of a case in which RBI – following the
annulment of a loan agreement – claimed the full loan amount originally disbursed without taking into account repayments
made in the meantime as well as amounts due for the use of capital by the borrowers based on the principle of unjust
enrichment, and has demanded that RBI discontinue such practices. In May 2023, the claim of the Financial Ombudsman was
dismissed by the court of first instance.
Model description and sensitivity analysis
RBI has around 26,000 CHF loans to customers outstanding with a total volume of around € 1,9 billion and a further 10,000 loans
have been repaid. These also include loans that are not expected to be the subject of litigation.
RBI has recognized a provision for the lawsuits filed in Poland. As lawsuits have been filed by a number of customers, the
provision is based on a statistical approach that takes into account both statistical data, where relevant, and expert opinions.
The term provision, used here, includes provisions according to IFRS 9, where the gross carrying amount is reduced by the
provision amount due to revision of expected cash flows, as well as provisions according to IAS 37. Possible decision scenarios
have been estimated together with the expected loss rates per scenario. The expected impact is based on loans from
customers who have filed or, based on propensity to litigate, expected to file a lawsuit against the bank. To calculate the
financial impact per scenario, the claim amount is multiplied by the estimated financial outflow in the scenario and the
probability that the bank will ultimately have to pay compensation to the customer. An appropriate discount rate is applied to
outflows that are not expected to arise within one year. The resulting provision has been increased to € 1,652 million (previous
year: € 803 million). The total amount of the provision for CHF loans in Poland represents RBI’s best estimate of the future
outflow of economic benefits. In calculating the CHF provision for lawsuits filed in Poland, it is nevertheless necessary to form
an opinion on matters that are inherently uncertain, such as official pronouncements, the number of future lawsuits, the
probability of losing court cases and the development of jurisprudence that lead to negative scenarios.
178 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
A number of risks and uncertainties remain, and the cost could therefore differ from RBI’s estimates and the assumptions
underpinning them and result in a further provision being required. The main measurable uncertainties associated with the
calculation of the provision relate to a potential reduction in the discount period, a decrease in discount rates, an increase in
the number of total expected claims for outstanding and repaid loans and an increase in the provision coverage of
outstanding or repaid loans. The sensitivity analysis refined during the reporting year for changes in the actual parameters
over the next 12 months, while holding all other parameters constant, is shown in the table below:

2023 | Actual parameter | Increase/Decrease of the parameter | New parameter | Increase/Decrease in provision (in € million)
Provision amount in € million | 1,652 |  |  |
Reduction in discounting period in years | 7 | (1) | 6 | 55
Decrease in discount rate (IFRS 9 provision) | 1.88 % | (0.30)PP | 1.58 % | 22
Increase in propensity to litigate active loans | 85.00 % | 0.01 PP | 86.00 % | 16
Increase in average loss coverage on outstanding loans | 108.00 % | 0.01 PP | 109.00 % | 11
Decrease in discount rate (IAS 37 provision) | 6.90 % | (1.00)PP | 5.90 % | 14
Increase in propensity to litigate repaid loans | 42.00 % | 1.00 PP | 43.00 % | 2

The assumptions are based on internal, observable statistics as well as on market observations. The increase in provision is
linear for each change, with the exception of the discount rate changes which are logarithmic increases. Furthermore, the
model does not take into account changes related to unexpected developments in jurisprudence.
Furthermore, RBI has around 10 thousand Euro denominated loans to customers outstanding with a total volume of around
€ 500 million and a further 8,000 loans have been repaid. A small number of customers with Euro denominated loans have filed
litigation against RBI.
Settlement program
After launching a pilot projekt for an out-of- court settlement program based on the proposal by the Chairman of the Polish
Financial Supervisory Authority (KNF) in the second half of 2023, RBI fully launched the settlement program in December 2023.
The major goal of the settlement program is to limit the expected losses resulting from the current negative jurisprudence that
in most case cancels the mortgage contract.
The base offer consists of recalculation of the amount originally disbursed in CHF as if the loan was issued in PLN from the
outset applying a WIBOR reference rate increased by the margin historically applied to such loans. This leads to a write-off of a
portion of the loan balance depending on the individually negotiated settlement offer. The settlements are offered through a
mediation proceeding conducted by the Polish Financial Supervisory Authority.
In 2024 RBI will increase its efforts to encourage customers to join the settlement program through active approaching of
customers. As of 31 of December 2023, RBI made 946 individual settlement proposals, out of which 244 customers have signed
agreements to enter a mediation process. The bank included in the provisioning calculation the estimated number of
settlements to be signed with customers reflecting the adjusted level of future losses in these settlement cases. The
consideration of settlements in the provision calculation is affected by factors such as the interest rate of PLN loans, the
CHF/ PLN conversion rate, the development of the ruling practice and the duration of proceedings.
Romania
In October 2017, the Romanian consumer protection authority (ANPC) issued an order for RBI’s Romanian network bank
Raiffeisen Bank S.A., Bucharest (RBRO), to stop its alleged practice of not informing its customers about future changes in the
interest rate charged to the customers. The order did not expressly provide for any direct monetary restitution or payment
from RBRO. RBRO, disputed this order in court but finally lost. In September 2022, the decision was rendered in writing. After
discussions with ANPC and in accordance with an external legal opinion, RBRO issued new repayment schedules and started to
repay certain amounts and related legal interest to affected customers. Based on the latest internal calculations, the expected
negative financial impact is expected not to exceed € 28.5 million. Now, after nearly the total aforementioned amount had
been paid to customers, ANPC has requested RBRO to provide detailed information on the implementation of the court’s
decision and RBRO provided such information. A provision of € 3 million (previous year: € 13 million) has been recognized.
Consolidated financial statements 179
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Furthermore, RBRO, is involved in a number of lawsuits, some of them class actions, as well as administrative proceedings
pursued by ANPC, in particular in connection with consumer loans and current account contracts. The proceedings are mainly
based on the allegation that certain contractual provisions and practices applied by RBRO violate consumer protection laws
and regulations. Such proceedings may result in administrative fines, the invalidation of clauses in agreements, the retroactive
change in payment schedules and the reimbursement of certain fees or parts of interest payments charged to customers in
the past.
One of the proceedings involving ANPC affects a major part of the Romanian banking industry, including RBRO. ANPC has
disputed the way installments in connection with consumer loans are computed and claims that repayment schedules with
fixed installments, which are composed of a bigger portion of interest and a lower portion of principal in the early stages of
the repayment, are detrimental to consumers. It issued an order to stop such practice but a number of banks, including RBRO,
have obtained a suspension in court of the application of such ANPC measure. As the meaning of the order is not clear, it is not
possible to determine at this point of time whether there will be any negative financial impact on RBRO and, if yes, the
potential damage involved. However, in case of a mandatory change of repayment schedules, the impact could be significant.
Banking business
RBI and its subsidiaries provide services for corporate customers that increase litigation risk at the operating level. The most
important cases are as follows:
Following the insolvency of Alpine Holding GmbH (Alpine) in 2013, a number of lawsuits were filed by retail investors in Austria
against RBI and another credit institution in connection with a bond which had been issued by Alpine in 2012 in an aggregate
principal amount of € 100 million. The claims asserted against RBI originally amounted to approximately € 10 million. In total,
claims of approximately € 8 million had been filed in court by investors either directly or or indirectly through a 'class action' of
the Austrian Federal Chamber for Workers and Employees (Bundeskammer für Arbeiter und Angestellte). Owing to the
termination of some of the proceedings and claim reductions in other proceedings, the value in dispute of the pending court
proceedings against RBI currently amounts to approximately € 7 million. Among other things, it is claimed that the banks acted
as joint lead managers of the bond issue and were or at least should have been aware of financial problems of Alpine at the
time of the issue. Thus, they should have known that Alpine was not in a position to redeem the bonds as set forth in the terms
and conditions of the bonds. It is alleged that the capital market prospectus in relation to the bond issue was misleading and
incomplete and that the joint lead managers including RBI, were aware of that fact. In December 2023, in several joint
proceedings the court of first instance issued a partial judgment and dismissed the claims of the investors based on
prospectus liability in the amount of in total approximately € 5.9 million regarding RBI related claims. The judgment is not final.
In the first quarter of 2021, RBI learned about a claim already filed against it in Jakarta by an Indonesian company in November
2020. The amount of the alleged claim is approximately USD 129 million (€ 121 million) in material damages and USD 200 million
(€ 188 million) in immaterial damages. The claim was served upon RBI in May 2022. On 27 June 2023, the South Jakarta District
Court (Pengadilan Negeri Jakarta Selatan), held that RBI has committed an unlawful act against the Indonesian company and
ordered RBI to pay damages in the amount of USD 119 million (€ 112 million). In view of the facts of the case and the legal
situation, RBI is still of the opinion that the claims are neither valid nor enforceable against RBI and therefore filed an appeal
against the judgment with the High Court of Jakarta (Pengadilan Tinggi Jakarta).
In August 2019, RBI launched a claim for approximately € 44 million against a Cayman Islands incorporated parent company,
several of its subsidiaries and one former subsidiary (the Cayman Islands Defendants) in the Grand Court of the Cayman
Islands, Financial Services Division (the CI Proceedings). In the CI Proceedings, RBI alleges that the Cayman Islands Defendants
participated in transactions to defraud creditors and a fraudulent conspiracy to injure RBI, by dissipating assets so as to
frustrate RBI’s claims under a number of parent company guarantees. Furthermore, RBI alleges that said transfers were carried
out at undervalue or without consideration between or among the Cayman Islands Defendants. RBI obtained an order against
one of the Cayman Islands Defendants in September 2019, placing restrictions on its ability to deal with its assets, pending
determination of the CI Proceedings. RBI obtained a similar order against a further Cayman Islands Defendant in May 2020
(together the Freezing Orders). In November 2019, some of the Cayman Islands Defendants filed a counterclaim in the amount
of € 203 million against RBI in the course of the CI Proceedings. RBI considers that the counterclaim, which is based on
documents that the Cayman Islands Defendants have refused to disclose to date, is entirely without merit. In July 2021, RBI
applied for permission to amend its claim in the CI Proceedings, to add an additional defendant and claim further damages
and associated relief, bringing the total sums claimed by RBI in the CI Proceedings to approximately € 87 million plus interest
and costs. That application has yet to be determined. In December 2021, the Cayman Islands Court of Appeal gave judgment on
an appeal brought by two of the Cayman Islands Defendants, against the Freezing Orders. The Court of Appeal has refused to
dismiss the Freezing Orders, which will remain in place. The CI Proceedings are ongoing. In January 2021, RBI issued an
arbitration claim for an amount of approximately € 87 million plus interest and costs against one of the Cayman Islands
Defendants, at the time incorporated in the Marshall Islands, before the Vienna International Arbitral Centre (VIAC) (the VIAC
Arbitration). The VIAC Arbitration concerned RBI’s claims under guarantees provided by said company to RBI. In October 2022,
the sole arbitrator issued an award, ordering the respondent to pay to RBI: (i) over € 62 million and USD 19 million (€ 18 million) in
respect of the principal sums due under the guarantees, (ii) interest on those amounts at a rate of 5 per cent per annum
accruing from 27 February 2018 until the date of payment, (iii) fees, costs and expenses incurred by RBI in ancillary proceedings
in various jurisdictions worldwide, (iv) the costs of the VIAC Arbitration.
180 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In 2013, a Cypriot company (the Cypriot Claimant) filed an action for damages in the amount of approximately € 43 million
against RBI’s subsidiary in Slovakia, Tatra banka, a.s. (Tatra banka). In January 2016, the Cypriot Claimant filed a petition to
increase the claimed amount by € 84 million and the court approved this petition. It means that the total claimed amount in
this lawsuit is approximately € 127 million. The lawsuit is based on similar grounds to a claim by a client of Tatra banka (the
Slovak Client) that in the meantime had been rejected in full by the Slovak courts. The Cypriot Claimant filed the action as it
had acquired the claim from a shareholder of the holding company of the Slovak Client. The Cypriot Claimant claims that Tatra
banka breached its contractual obligations towards the Slovak Client by refusing to execute payment orders from the Slovak
Client’s accounts without cause and by not extending the maturity of facilities despite a previous promise to do so, which led
to non-payment of the Slovak Client’s obligations towards its business partners and the termination of the Slovak Client’s
business activities. According to the Cypriot Claimant, this had caused cessation of the business activities and, subsequently,
bankruptcy of the Slovak Client and, thus, also damage to the shareholder of the holding company in the form of a loss of
value of its shares. Subsequently, said shareholder assigned its claim to the Cypriot Claimant. The Cypriot Claimant claims that
Tatra banka acted contra bonos mores as well as contrary to fair business conduct and requires Tatra banka to pay part of its
claims corresponding to the loss in value of the holding company’s shares. In November 2019, the claim was rejected in full by
the first-instance court. The Cypriot Claimant filed an appeal against this first-instance judgement in January 2020. In June
2022, the judgement of the appellate court upholding the first-instance court judgement was delivered to Tatra banka. In
August 2022, the Cypriot Claimant filed an extraordinary appeal against the appellate judgement.
Regulatory enforcement
RBI and its subsidiaries are subject to numerous national and international regulatory authorities.
Following an audit review by the Romanian Court of Auditors regarding the activity of Aedificium Banca pentru Locuinte S.A.
(formerly Raiffeisen Banca pentru Locuinte S.A.), (RBL), a building society and subsidiary of Raiffeisen Bank S.A., Bucharest, the
Romanian Court of Auditors claimed that several deficiencies were identified and that conditions for payment by RBL of state
premiums on savings had not been met. Should RBL not succeed in reclaiming said amounts from its customers or providing
satisfactory documentation, RBL would be held liable for the payment of such funds. RBL initiated court proceedings to contest
the findings of the Romanian Court of Auditors and won on the merits regarding the most significant alleged deficiencies. The
case was appealed at the Romanian High Court of Cassation and Justice. In November 2020, the Romanian High Court of
Cassation and Justice overturned the previous court decision and confirmed the view of the Romanian Court of Auditors. Upon
the application of RBL, the Romanian High Court of Cassation and Justice requested the Constitutional Court to decide
whether the Court of Auditors was, in principle, entitled to scrutinize RBL. The proceeding is still pending and could – depending
on its outcome – enable RBL to file an extraordinary recourse against the decision of the Romanian High Court of Cassation
and Justice. At the end of June 2022, RBL took advantage of a legal provision allowing entities to pay debts towards the state
(principal - respectively the state premiums) and be exonerated from payment of accessories (penalty interest). RBL has paid
the principal of € 23 million and requested to be exonerated to pay accessories of € 30 million. In July 2022, the Ministry of
Development, Public Works and Administration (Ministry) rejected RBL’s request for exoneration. RBL has disputed this decision
in court. In December 2022, the Ministry has issued a title and asked RBL to pay also the penalties within 30 days. RBL disputed
the payment request both at the ministry level and in court, and also filed a motion in court, to ask for a suspension of the
payment request, given that RBL considers that the amnesty should have been granted and therefore, RBL should be
exonerated from payment of penalties. The suspension was granted by the court. This decision is now final. In May 2023, RBL
obtained a decision by the court that the amnesty should have been granted and that the Ministry should grant it. However,
the Ministry filed a recourse against this decision.
In March 2018, an administrative fine of € 2.7 million (which was calculated by reference to the annual consolidated revenue of
RBI and constitutes 0.06 per cent of the last available annual consolidated revenue) was imposed on RBI in the course of
administrative proceedings based on alleged non-compliance with formal documentation requirements relating to the know-
your-customer principle. According to the interpretation of the Austrian Financial Market Authority (FMA), RBI had failed to
comply with these administrative obligations in a few individual cases. FMA did not allege that any money laundering or other
crime had occurred, or that there was any suspicion of, or any relation to, any criminal act. RBI took the view that it had duly
complied with all due diligence obligations regarding know-your-customer requirements and appealed against the fining order
in its entirety. The Federal Administrative Court (Bundesverwaltungsgericht) confirmed FMA’s decision at first instance, against
which RBI appealed to the Austrian Supreme Administrative Court (Verwaltungsgerichtshof). In December 2019, the Austrian
Supreme Administrative Court revoked the decision of the lower administrative instances and referred the case back to the
Federal Administrative Court. In the retrial on 6 May 2021, the Federal Administrative Court again confirmed FMA’s decision in
general but reduced the administrative fine to € 824 thousand and allowed another appeal before the Austrian Supreme
Administrative Court. Such appeal was filed by RBI. In July 2023, the Austrian Supreme Administrative Court revoked the
decision of the administrative court of first instance and, again, referred the case back to the court of first instance. A
provision of an appropriate amount has been recognized.
Consolidated financial statements 181
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In September 2018, two administrative fines totaling PLN 55 million (€ 12 million) were imposed on Raiffeisen Bank Polska S.A.
(RBPL), the former Polish subsidiary of RBI in the course of administrative proceedings based on alleged non-performance of
duties as the depositary and liquidator of certain investment funds. RBPL as custodian of investment funds assumed the role
of liquidator of certain funds in February 2018. According to the interpretation of the Polish Financial Supervision Authority –
which is known by its Polish abbreviation, KNF – RBPL failed to comply with certain obligations in its function as depository
bank and liquidator of the funds. In the course of the transactions related to the sale of the core banking operations of RBPL to
Bank BGZ BNP Paribas S.A., the responsibility for said administrative proceedings and related fines was assumed by RBI. RBI
filed appeals against these fines in their entirety. In September 2019, in relation to the PLN 5 million (€ 1 million) fine regarding
RBPL’s duties as depositary bank, the Voivodship Administrative Court considered RBI’s appeal and overturned the KNF decision
in its entirety. However, the KNF filed an appeal in cassation against the judgement. In relation to the PLN 50 million (€ 11
million) fine regarding RBPL’s function as liquidator, the Voivodship Administrative Court decided to dismiss the appeal and
uphold the KNF decision in its entirety. RBI has raised appeal in cassation to the Supreme Administrative Court because it takes
the view that RBPL has duly complied with all its duties. In April 2023, the Supreme Administrative Court decided to refer the
case regarding the PLN 5 million (€ 1 million) fine back to the Voivodship Administrative Court for reconsideration. Furthermore,
the Supreme Administrative Court dismissed RBI’s appeal in cassation in connection with the PLN 50 million (€ 11 million) fine
which is now final. However in October 2023 RBI filed a complaint to the European Court of Human Rights over this verdict. In
October 2023, the Voivodship Administrative Court dismissed RBI’s appeal and upheld the KNF decision imposing the PLN 5
million (€ 1 million) penalty on RBI in relation to the alleged violations of RBI's duties as depositary of certain investment funds. A
cassation appeal against this judgment to the Supreme Administrative court is possible. Both fines have already been paid.
In this context, several individual lawsuits and four class actions, aggregating claims of holders of certificates in the above-
mentioned investment funds currently in liquidation, were filed against RBI, whereby the total amount in dispute as at 31
December 2023 equals approximately PLN 77 million (€ 16 million). Additionally, RBI was informed that a modification of a
statement of claim had been submitted to the court which could result in an increase of the total amount in dispute by
approximately PLN 91 million (€ 19 million). However, such modification has not yet been served upon RBI. The plaintiffs of the
class actions demand the confirmation of RBI’s responsibility for the alleged improper performance of RBPL (in respect of which
RBI is the legal successor) as custodian bank. Such confirmation would secure and facilitate their financial claims in further
lawsuits. Due to RBI’s legal assessment, no provision has been recognized.
Additionally, RBI received a number of claim notices from BNP in connection with certain bank operations in respect of which
BNP is the legal successor to RBPL. Said claim notices primarily relate to administrative proceedings conducted by the KNF
(Polish Financial Supervision Authority) in connection with alleged failures of RBPL/BNP in acting as a depository of investment
funds and could lead to cash penalties. Furthermore, claims in this context have been raised by investors to BNP, and as a
mitigating measure RBI supports BNP in this regard. The financial impact can not be estimated at this time.
In November 2020, the Austrian Chamber for Workers and Employees (Bundeskammer für Arbeiter und Angestellte), (BAK) filed
an application for injunctive relief against Raiffeisen Bausparkasse Gesellschaft m.b.H. (RBSPK), a wholly owned subsidiary of
RBI, with the commercial court of Vienna. RBSPK had terminated long-lasting building savings contracts (Bausparverträge) in an
aggregate amount of approximately € 94 million. The minimum rate of interest on said overnight building savings deposits
was between 1 per cent p.a. and 4.5 per cent p.a. BAK claims that RBSPK did not have the right to terminate such contracts
whereas RBSPK is of the opinion that said contracts constitute a continuing obligation, which can – under Austrian law – be
terminated by giving proper notice. RBSPK received the court decision of the court of first instance in August 2021 and the court
of second instance in February 2022; both basically stating that the termination of the savings contracts is considered
unlawful. RBSK has appealed against the decision of the court of second instance in March 2022. In November 2023, RBSK
received the decision of the Austrian Supreme Court (Oberster Gerichtshof) to refer the case back to the commercial court in
Vienna (Handelsgericht Wien) to verify the subject matter of the claim (ie specifics of the contractual relationship between
RBSK and its customers with respect to the terminated building savings contracts). A final decision of the Supreme Court on the
admissibility of the termination is still outstanding.
In January 2023, RBI was informed by FMA that an administrative proceeding has been started based on the alleged non-
compliance with certain legal requirements regarding the know-your-customer principle in connection with three customers of
RBI’s correspondent banking business. The transactions relevant for the administrative proceedings had been processed by RBI
between 2017 and 2020. According to the interpretation of FMA, RBI had not sufficiently convinced itself that these banks had
appropriate due diligence procedures in place regarding customers of their own correspondent banking business. Thus, in the
view of FMA, RBI failed to fully comply with its administrative obligations in this regard. FMA did not state that any money
laundering or other crime had occurred, or that there was any suspicion of, or any relation to, any criminal act. The
administrative proceeding is ongoing and might lead to administrative fines.
182 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In January 2023, RBI received a Request for Information (RFI) by the Office of Foreign Assets Control (OFAC) of the US
Department of the Treasury. OFAC administers and enforces economic and trade sanctions based on US foreign policy and
national security goals. A breach of US sanctions may, among others, result in fines, the freezing of accounts or the termination
of business relationships with US correspondent banks. The questions raised by OFAC in the RFI are seeking to clarify payments
business and related processes maintained by RBI with US correspondent banks in light of the developments related to Russia
and Ukraine. As a matter of principle, RBI maintains policies and procedures that ensure compliance with applicable embargoes
and financial sanctions and is cooperating fully with OFAC in relation to their request to the extent permitted by applicable
laws and regulations.
Tax litigation
RBI is, or is expected to be, involved in various tax audits, tax reviews and tax proceedings. RBI is involved in the following
significant tax proceedings, among others:
In Germany, a tax review and tax proceedings led to a tax burden of approximately € 23 million in connection with real estate
transfer tax. As the taxes are already paid, there is no need for an accrual.
In Romania, tax assessments by the Romanian tax authorities have resulted in an extraordinary tax burden in an aggregate
amount of additional taxes of approximately € 32 million plus penalty payments of about € 21 million. Following administrative
and other proceedings, whereby some of them are still ongoing, the extraordinary tax burden has been lowered to € 47 million
so far.
In most of the aforementioned amounts, the decision of the respective tax authorities is or will be challenged.
(47) Other agreements
Institutional protection scheme (Raiffeisen-IPS)
Raiffeisen Bank International AG and its Austrian bank subsidiaries, the regional Raiffeisen banks and the local Raiffeisen
banks, are part of the agreement on an institutional protection scheme (Raiffeisen-IPS) as well as the Austrian Raiffeisen-
Sicherungseinrichtung eGen (ÖRS), as a statutory protection scheme.
In the agreement on the Raiffeisen-IPS, the member institutions agree to ensure one another’s security and in particular, join
forces to ensure liquidity and solvency when required. The new Raiffeisen-IPS was recognized by the relevant supervisory
authorities (ECB and FMA) as an institutional protection scheme according to Article 113 (7) CRR (Capital Requirements
Regulation of the European Union) and its related rights and obligations of the participating member institutions. This allows,
among other things, for receivables to be risk-weighted at zero per cent between Raiffeisen-IPS members. The Raiffeisen-IPS is
subject to joint regulatory supervision and capital requirements must also be met on a consolidated basis.
The Raiffeisen-IPS was recognized together with ÖRS by the Austrian Financial Market Authority (FMA) as a statutory deposit
guarantee and investor protection scheme according to the Austrian Deposit Guarantee and Investor Protection Act
Einlagensicherungs- und Anlegerentschädigungsgesetz (ESAEG).
ÖRS is mandated to operate the reporting and early risk assessment systems for the Raiffeisen-IPS. ÖRS also acts as trustee
and manages the liquid assets for the Raiffeisen-IPS.
The Raiffeisen-IPS is controlled by a joint risk council, comprising representatives of RBI AG, the regional Raiffeisen banks and
the Raiffeisen banks. Tasks that could be solved on a regional level were delegated to the regional risk councils, each
comprising representatives of the respective regional Raiffeisen banks and Raiffeisen banks, by the joint risk council.
Consolidated financial statements 183
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Raiffeisen Customer Guarantee Scheme (RKÖ)
RBI AG is a member of Raiffeisen-Kundengarantiegemeinschaft Austria (Raiffeisen Customer Guarantee Scheme Austria (RKÖ)).
The members of this association have a contractual obligation to guarantee jointly the punctual fulfillment of the entirety of
an insolvent association member’s commitments arising from customer deposits and its own issues up to the limit of the sum
of the individual capacities of the remaining association members. The individual capacity of an association member is
measured on the basis of its freely available reserves subject to the pertinent provisions of the Austrian Banking Act (BWG).
In view of the change in the legal and regulatory framework and implementation of an institutional protection scheme, the
RKÖ and its respective member institutions decided in 2019 to discontinue the scheme for new transactions. Accordingly, the
supplementary protection by RKÖ may only be granted to protected transactions entered into before 1 October 2019. The
rights of customers with regard to statutory deposit insurance are not affected and remain fully in place.
(48) Fiduciary business pursuant to § 48 (1) of the Austrian Banking Act
(BWG)
Transactions arising from the holding and placing of assets on behalf of third parties are not shown in the statement of
financial position. Fees arising from these transactions are shown under net fee and commission income. Fiduciary business
not recognized in the statement of financial position was concluded with the following volumes on the reporting date:

in € million | 2023 | 2022
Fiduciary assets | 195 | 210
Loans to customers | 187 | 203
Financial investments | 7 | 7
Fiduciary liabilities | 195 | 210
Deposits from banks | 76 | 79
Deposits from customers | 111 | 124
Other fiduciary liabilities | 7 | 7

Funds managed by the Group:

in € million | 2023 | 2022 1
Retail investment funds | 30,382 | 31,015
Equity-based and balanced funds | 21,457 | 21,835
Bond-based funds | 8,518 | 8,667
Other | 408 | 513
Special funds | 14,017 | 12,767
Property-based funds | 290 | 352
Pension funds | 18,206 | 16,293
Customer portfolio managed on a discretionary basis | 3,202 | 2,455
Other investment vehicles | 69 | 95
Total | 66,166 | 62,978
1 Previous-year figures adapted |  |

(49) Leasing
At inception of a contract, RBI assesses whether the contract is, or contains, a lease. A contract is, or contains, a lease if the
contract conveys the right to control the use of an identified asset for a certain period in exchange for consideration. To
assess whether a contract conveys the right to control the use of an identified asset, RBI assesses whether the following
criteria are met:
· The contract involves the use of an identified asset – this is the case if either the asset is explicitly specified in the
contract or the asset is implicitly specified at the time that it is made available for use by the customer that is
capable of being used to meet the contract terms. If the supplier has a material substitution right, then the asset is
considered as not identified;
· RBI has the right to obtain substantially all the economic benefit from use of the asset throughout the period of use;
and
· RBI has the right to direct how and for what purpose the asset is used throughout the period of use or the relevant
decisions about how and for what purpose the asset is used are predetermined.
184 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
RBI as lessor
When RBI acts as lessor, it determines at lease inception whether the lease is accounted for as finance or operating lease. In
RBI a lease is classified as a finance lease if substantially all the risks and rewards incidental to ownership are transferred.
Typical factors that, individually or in combination, would normally lead to a lease being classified as a finance lease:
· Transfer of ownership of the asset by the end of the contract term;
· Option to purchase the asset at a price that is expected to be sufficiently lower than the fair value at the date the
option becomes exercisable for it to be reasonably certain at the inception date that the option will be exercised;
· The lease term is for major part of the economic life of the asset (even if the title is not transferred);
· At the inception date, the present value of the lease payments equals at least substantially the fair value of the
asset; and
· The asset is of such a specialized nature that only the lessee can use it without major modifications.
Sometimes RBI is an intermediate lessor which means that RBI acts as both the lessee and lessor of the same underlying asset
and accounts for its interest in the main lease and the sublease separately. When the main lease is a short-term lease, the
sublease is classified as an operating lease. Otherwise, RBI assesses the classification of a sublease by reference to the right-
of-use asset in the main lease and not by reference to the underlying asset of the main lease.
RBI recognizes the lease payments associated with the operating lease as income on a straight-line basis over the lease term.
Income from finance and operating leases is as follows:

in € million | 2023 | 2022
Finance lease | 186 | 152
Finance income on the net investment lease | 186 | 152
Operating Lease | 95 | 78
Lease income | 95 | 78
Total | 281 | 229

There is no lease income from variable lease payments that do not depend on an index or a rate.
Finance leases
Assets under finance leases break down as follows; the respective carrying amounts are presented in the statement of
financial position under financial assets – amortized cost:

in € million | 2023 | 2022
Vehicles leasing | 1,663 | 1,654
Real estate leasing | 765 | 827
Equipment leasing | 703 | 775
Total | 3,131 | 3,256

Consolidated financial statements 185
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Maturity analysis of lease receivables to be received after the reporting date:

in € million | 2023 | 2022
Gross investment value | 3,624 | 3,712
Minimum lease payments | 3,305 | 3,376
Up to 3 months | 279 | 267
More than 3 months, up to 1 year | 659 | 695
More than 1 year, up to 5 years | 1,896 | 1,878
More than 5 years | 472 | 536
Non-guaranteed residual value | 318 | 336
Unearned finance income | 493 | 456
Up to 3 months | 39 | 36
More than 3 months, up to 1 year | 106 | 97
More than 1 year, up to 5 years | 258 | 229
More than 5 years | 89 | 94
Net investment value | 3,131 | 3,256

In the financial year, there was no income relating to variable lease payments not included in the measurement of the net
investment in the lease. Profit due to sale of leased assets as part of a finance lease was € 3 million (previous year: € 4 million).
Operating leases
Assets under operating leases (including unleased parts) break down as follows; the respective carrying amounts are presented
in the statement of financial position under tangible fixed assets:

in € million | 2023 | 2022
Vehicles leasing | 100 | 85
Real estate leasing | 225 | 224
Equipment leasing | 1 | 0
Total | 326 | 309

Maturity analysis of undiscounted lease receivables to be received after the reporting date:

in € million | 2023 | 2022
Up to 1 year | 52 | 43
More than 1 year, up to 5 years | 122 | 104
More than 5 years | 54 | 60
Total | 229 | 207

RBI as lessee
RBI recognizes a right-of-use asset and a lease liability at the lease commencement date which is the date on which a lessor (a
supplier) makes an underlying asset available for use by RBI. The right-of-use asset is measured at cost at the commencement
date. The cost of the right-of-use asset comprises the amount equal to the lease liability at its initial recognition adjusted for
any lease payments made at or before the commencement of the lease plus any initial direct costs incurred and an estimate
of costs to dismantle and remove the underlying asset, or to restore the underlying asset or the site on which it is located, less
any lease incentives.
The right-of-use asset is subsequently depreciated using the straight-line method in accordance with IAS 16 from the
commencement date to the earlier of the end of the useful life or the end of the lease term of the right-of-use asset. The
right-of use asset is reduced by impairments, if any, and adjusted for certain remeasurements of the lease liability.
At the commencement date, RBI measures the lease liability at the present value of the lease payments that are not paid at
that date. The lease payments shall be discounted using the interest rate implicit in the lease if that rate can be readily
determined. If that rate cannot be readily determined, the lessee shall use the incremental borrowing rate.
186 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The lease payments included in the measurement of the lease liability comprise the following:
· Fixed payments including in-substance fixed payments;
· Variable lease payments that depend on an index or rate, initially measured using the index or rate as at the
commencement date;
· Amounts expected to be payable by the lessee under residual value guarantees;
· The exercise price of a purchase option if RBI is reasonably certain to exercise that option; and
· Payments of penalties for terminating the lease, if the lease term reflects the lessee exercising an option to
terminate the lease.
The lease liability is measured on an ongoing basis similarly to other financial liabilities, using an effective interest method, so
that the carrying amount of the lease liability is measured on an amortized cost basis and the interest expense is allocated
over the lease term. It is remeasured when there is a change in future lease payments arising from a change in an index or
rate, if there is a change in the RBI’s estimate of the amount expected to be payable under a residual value guarantee, or if RBI
changes its assessment of whether it will exercise a purchase, extension, or termination option. When the lease liability is
remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset or is recorded in
profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.
RBI has elected not to recognize right-of-use assets and lease liabilities for short-term leases of equipment that have a lease
term of twelve months or less and leases of low-value assets, including IT equipment. RBI recognizes the lease payments
associated with these leases as an expense on a straight-line basis over the lease term.
Leases mainly relate to land and buildings, vehicles, and IT equipment.
Right-of-use assets
The following table shows the development of right-of-use assets for property, plant and equipment, which are presented in
the statement of financial position under tangible fixed assets, and related accumulated depreciation, which is presented in
profit or loss under general administrative expenses:

in € million | 2023 | 2022
Cost of acquisition or conversion as at 1/1 | 666 | 622
Change in consolidated group | (12) | 13
Exchange differences | (14) | (1)
Additions | 73 | 70
Disposals | (39) | (51)
Transfers | 0 | 0
Cost of acquisition or conversion as at 31/12 | 674 | 654
Accumulated write-ups/depreciation/impairment | (317) | (280)
hereof depreciation/impairment | (84) | (87)
Caryying amount as at 31/12 | 357 | 374

Lease liabilities
The following table shows the maturity analysis of lease liabilities, showing the undiscounted lease payments to be paid after
the reporting date; the respective carrying amounts are presented under financial assets – amortized cost:

in € million | 2023 | 2022
Up to 1 year | 83 | 80
More than 1 year, up to 5 years | 213 | 218
More than 5 years | 108 | 137
Total | 404 | 435

Consolidated financial statements 187
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Amounts recognized in profit or loss
Interest on lease liabilities is presented in profit or loss under net interest income and expenses relating to short-term leases
and leases of low-value assets are presented in other administrative expenses.

in € million | 2023 | 2022
Interest on lease liabilities | (10) | (8)
Variable lease payments not included in the measurement of lease liabilities | 0 | 0
Income from sub-leasing right-of-use assets | 0 | 0
Expenses relating to short-term leases | (17) | (14)
Expenses relating to leases of low-value assets | (4) | (5)
Total | (31) | (26)

(50) Key figures pursuant to § 64 (1) 18 of the Austrian Banking Act (BWG)

2023 | Operating income | hereof net interest income | Profit/loss before tax | Income taxes | Number of employees as at reporting date
in € million
Czech Republic | 857 | 642 | 401 | (96) | 3,599
Hungary | 684 | 525 | 297 | (33) | 2,404
Poland | 36 | 19 | (868) | 0 | 291
Slovakia | 615 | 404 | 305 | (64) | 3,484
Central Europe | 2,191 | 1,590 | 135 | (192) | 9,778
Albania | 131 | 114 | 71 | (11) | 1,271
Bosnia and Herzegovina | 139 | 86 | 66 | (3) | 1,376
Croatia | 256 | 181 | 130 | (25) | 1,773
Kosovo | 91 | 66 | 36 | (4) | 965
Romania | 778 | 579 | 423 | (77) | 5,037
Serbia | 395 | 270 | 236 | (34) | 2,113
Southeastern Europe | 1,789 | 1,296 | 961 | (155) | 12,535
Belarus | 229 | 86 | 151 | (39) | 1,610
Russia | 2,679 | 1,411 | 1,805 | (464) | 9,942
Ukraine | 532 | 418 | 247 | (125) | 5,333
Eastern Europe | 3,441 | 1,915 | 2,203 | (628) | 16,885
Austria and other | 2,578 | 871 | 1,016 | (17) | 5,689
Reconciliation | (934) | 10 | (739) | (5) | 0
Total | 9,065 | 5,683 | 3,576 | (997) | 44,887

2022 | Operating income | hereof net interest income | Profit/loss before tax | Income taxes | Number of employees as at reporting date
in € million
Czech Republic | 860 | 652 | 452 | (86) | 3,736
Hungary | 539 | 356 | 205 | (22) | 2,313
Poland | 15 | 12 | (518) | 0 | 260
Slovakia | 534 | 322 | 235 | (45) | 3,466
Central Europe | 1,947 | 1,341 | 375 | (153) | 9,775
Albania | 92 | 72 | 38 | (6) | 1,247
Bosnia and Herzegovina | 130 | 64 | 56 | (3) | 1,338
Croatia | 197 | 116 | 52 | (9) | 1,760
Kosovo | 77 | 55 | 33 | (4) | 919
Romania | 661 | 489 | 301 | (47) | 5,084
Serbia | 252 | 147 | 107 | (15) | 2,349
Southeastern Europe | 1,409 | 943 | 586 | (83) | 12,697
Belarus | 257 | 123 | 156 | (43) | 1,613
Russia | 3,844 | 1,527 | 2,616 | (559) | 9,537
Ukraine | 524 | 375 | 82 | (17) | 5,400
Eastern Europe | 4,624 | 2,025 | 2,855 | (619) | 16,550
Austria and other | 2,149 | 681 | 621 | (4) | 5,392
Reconciliation | (420) | 62 | (234) | 0 | 0
Total | 9,710 | 5,053 | 4,203 | (859) | 44,414

188 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(51) Foreign currency volumes pursuant to § 64 (1) 2 of the Austrian Banking
Act (BWG)

in € million | 2023 | 2022
Assets | 89,762 | 92,433
Equity and liabilities | 72,199 | 79,783

(52) Volume of the securities trading book pursuant to § 64 (1) 15 of the
Austrian Banking Act (BWG)

in € million | 2023 | 2022
Securities | 7,064 | 3,981
Other financial instruments | 185,838 | 132,350
Total | 192,902 | 136,331

(53) Securities admitted for trading on a stock exchange pursuant to § 64 (1)
10 of the Austrian Banking Act (BWG)

in € million | 2023 | 2022
Listed | Unlisted | Listed | Unlisted
Debt securities and other fixed-income securities | 24,260 | 511 | 18,050 | 582
Shares and other variable-yield securities | 327 | 0 | 213 | 1
Investments | 10 | 114 | 10 | 116
Total | 24,598 | 625 | 18,273 | 699

(54) Subordinated assets pursuant to § 45 (2) of the Austrian Banking Act
(BWG)

in € million | 2023 | 2022
Loans and advances | 37 | 99
Debt securities | 70 | 85
Total | 107 | 184

(55) Employees

Full-time equivalents | 2023 | 2022
Average number of staff | 44,439 | 44,194
hereof salaried employees | 43,818 | 43,639
hereof wage earners | 621 | 555
Employees as at reporting date | 44,887 | 44,414
hereof Austria | 4,836 | 4,585
hereof abroad | 40,051 | 39,829

(56) Related parties
The main companies exercising a significant influence are Raiffeisenlandesbank Niederösterreich-Wien AG, Vienna, as the
largest single shareholder, its parent company, Raiffeisen-Holding Niederösterreich-Wien registrierte Genossenschaft mit
Consolidated financial statements 189
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
beschränkter Haftung, Vienna, and their fully consolidated subsidiaries. The amounts shown under affiliated companies relate
to affiliated companies that are not consolidated due to immateriality.
Transactions with related parties (companies and individuals) are limited to banking business transactions that are carried out
at fair market conditions. Moreover, members of the Management Board hold shares in RBI AG. Detailed information regarding
this is published on the homepage of Raiffeisen Bank International.

2023 | Companies with significant influence | Affiliated companies | Investments in associates valued at equity | Other interests
in € million
Selected financial assets | 78 | 424 | 1,004 | 940
Equity instruments | 1 | 187 | 632 | 181
Debt securities | 29 | 0 | 110 | 69
Loans and advances | 49 | 236 | 262 | 691
Selected financial liabilities | 2,536 | 131 | 5,110 | 1,213
Deposits | 2,536 | 131 | 5,108 | 1,213
Debt securities issued | 0 | 0 | 2 | 0
Other items | 100 | 24 | 493 | 143
Loan commitments, financial guarantees and other commitments given | 60 | 24 | 492 | 129
Loan commitments, financial guarantees and other commitments received | 40 | 0 | 2 | 13
Nominal amount of derivatives | 97 | 0 | 84 | 998
Accumulated impairment, accumulated negative changes in fair value due to credit risk and provisions on non-performing exposures | 0 | (3) | 0 | 0

2022 | Companies with significant influence | Affiliated companies | Investments in associates valued at equity | Other interests
in € million
Selected financial assets | 45 | 429 | 1,006 | 887
Equity instruments | 1 | 193 | 520 | 168
Debt securities | 35 | 0 | 194 | 68
Loans and advances | 9 | 236 | 292 | 651
Selected financial liabilities | 2,327 | 105 | 5,048 | 1,613
Deposits | 2,327 | 105 | 5,041 | 1,613
Debt securities issued | 0 | 0 | 6 | 0
Other items | 152 | 13 | 563 | 146
Loan commitments, financial guarantees and other commitments given | 99 | 13 | 531 | 140
Loan commitments, financial guarantees and other commitments received | 52 | 0 | 32 | 6
Nominal amount of derivatives | 221 | 0 | 120 | 1,254
Accumulated impairment, accumulated negative changes in fair value due to credit risk and provisions on non-performing exposures | 0 | (2) | 0 | 0

2023 | Companies with significant influence | Affiliated companies | Investments in associates valued at equity | Other interests
in € million
Interest income | 4 | 9 | 16 | 15
Interest expenses | (75) | (4) | (122) | (68)
Dividend income | 0 | 15 | 30 | 5
Fee and commission income | 4 | 35 | 11 | 10
Fee and commission expenses | (5) | (3) | (12) | (24)
Increase/decrease in impairment, fair value changes due to credit risk and provisions for non-performing exposures | 0 | (12) | 6 | 0

2022 | Companies with significant influence | Affiliated companies | Investments in associates valued at equity | Other interests
in € million
Interest income | 11 | 6 | 13 | 17
Interest expenses | (20) | (2) | (34) | (14)
Dividend income | 0 | 8 | 38 | 7
Fee and commission income | 5 | 15 | 13 | 6
Fee and commission expenses | (2) | (1) | (12) | (19)
Increase/decrease in impairment, fair value changes due to credit risk and provisions for non-performing exposures | 0 | (30) | 2 | 0

190 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(57) Relations to key management
Group relationship with key management
Key management refers to the members of the Management Board and the Supervisory Board of RBI AG. Transactions
between key management and RBI are as follows:

in € thousand | 2023 | 2022
Debt securities | 1,635 | 657
Shares | 2,786 | 2,581
Deposits and other receivables | 423 | 1,288
Loans and other liabilities | 213 | —
Lease liabilities | 17 | 59

Transactions of related parties of key management to RBI:

in € thousand | 2023 | 2022
Debt securities | 217 | —
Shares | 4 | 3
Deposits and other receivables | 619 | 676
Loans and other liabilities | 3 | 7

There is no compensation agreed between the company and members of the Management Board and Supervisory Board or
employees in the case of a takeover bid.
Remuneration of members of the Management Board according to IAS 24.17
The expenses according to IAS 24 were recognized on an accrual basis and according to the rules of the underlying standard
(IAS 19).

in € thousand | 2023 | 2022
Short-term employee benefits | 9,268 | 9,165
Post-employment benefits | 397 | 412
Other long-term benefits | 2,761 | 1,135
Total | 12,426 | 10,712

Short-term employee benefits shown in the above table contain salaries and benefits in kind and other benefits, remuneration
for board functions at affiliated companies and those portions of the bonus provision that are due in the short term.
Furthermore, it also includes changes possibly arising from the difference between the bonus provision and the bonus later
awarded. Post-employment benefits comprise payments to pension funds and payments according to Retirement Plan Act
(Mitarbeitervorsorgegesetz), severance payments, vacation compensations as well as net allocations to provisions for
retirement benefits and severance payments.
Other long-term benefits contain portions of the bonus provision relating to deferred bonus portions in cash and retained
portions payable in instruments. For the latter, valuation changes due to currency fluctuations are also considered.
The bonus agreement is linked to the achievement of annually agreed objectives. The respective step-in criteria as well as the
individual performance targets can be found in the current remuneration policy (www.rbinternational.com → Corporate
Governance & Remuneration → Remuneration Policy).
The bonus level is determined by the level of the return on equity and the cost/income ratio, whereby the target values to be
achieved reflect the so-called strategic targets for the return on equity and the cost/income ratio at RBI level.
Members of the Management Board are subject in principle to the same regulations as apply to employees. These regulations
provide for a basic contribution to a pension fund from the company and an additional contribution if the employee pays own
contributions of the same amount.
Consolidated financial statements 191
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In the event of termination of function or employment contract and leaving of the company, the members of the Management
Board have entitlements under the Company Retirement Plan Act (Betriebliches Mitarbeitervorsorgegesetz). The entitlement to
receive severance payments according to contractual agreements lapses in the case of termination by the employee.
Moreover, there is an individual pension commitment through a pension fund which is secured by reinsurance. The
Management Board members’ contracts either run for the duration of their term of office or are limited to a maximum of five
years. In the event of early termination of a Management Board member’s contract without good cause, the severance
payment is limited to a maximum of two years’ total annual remuneration (except for one member of the Management Board
covered by previous contractual arrangements).
An amount of € 1,577 thousand (previous year’s period: € 1,386 thousand) was paid in pension benefits to former members of
the Management Board and to their surviving dependents. In addition to these amounts, short-term benefits, and deferred
bonus components as well as severance payments and termination benefits totaling € 469 thousand (previous year’s period:
€ 978 thousand) were paid to former members of the Management Board.
Remuneration of members of the Supervisory Board

in € thousand | 2023 | 2022
Remunerations Supervisory Board | 1,171 | 1,127

In The Annual General Meeting held on 22 April 2021 approved a remuneration model for the Supervisory Board, beginning on 23
April 2021 and for the following years. It was decided to distribute the remuneration as follows: Chairman € 120 thousand,
Deputy Chairman € 95 thousand, members of the Supervisory Board € 60 thousand, plus attendance fees, for the Chairman of
the Audit Committee and the Risk Committee each additional € 17.5 thousand.
In the 2023 financial year, no contracts subject to approval within the meaning of § 95 (5) 12 of the Austrian Stock Corporation
Act (AktG) were concluded with members of the Supervisory Board.
Remuneration of members of the Advisory Council

in € thousand | 2023 | 2022
Remuneration Advisory Council | 191 | 188

The Annual General Meeting held on 21 June 2018 passed a resolution to grant remuneration to the Advisory Council members
for their work. It was decided to distribute the remuneration as follows: Chairman € 25 thousand, Deputy Chairman € 20
thousand, each additional member € 15 thousand, plus attendance fees.
192 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(58) Boards
Management Board

Members of the Management Board | Initial appointment | Initial appointment
Johann Strobl, Chairman | 22 September 2010 1 | 28 February 2027
Marie-Valerie Brunner | 1 November 2023 | 31 October 2026
Andreas Gschwenter | 1 July 2015 | 30 June 2026
Łukasz Januszewski | 1 March 2018 | 28 February 2026
Hannes Mösenbacher | 18 March 2017 | 28 February 2025
Andrii Stepanenko | 1 March 2018 | 28 February 2026
Peter Lennkh | 1 October 2004 | 31 August 2023 2
1 Effective as of 10 October 2010 |  |
2 On 31 August 2023 Peter Lennkh stepped down from the Management Board.

.
Supervisory Board

Supervisory Board members | Initial appointment | End of term
Erwin Hameseder, Chairman | 8 July 2010 1 | Annual General Meeting 2025
Martin Schaller 1st Deputy Chairman | 4 June 2014 | Annual General Meeting 2024
Heinrich Schaller 2nd Deputy Chairman | 20 June 2012 | Annual General Meeting 2027
Michael Alge | 31 March 2022 | Annual General Meeting 2027
Eva Eberhartinger | 22 June 2017 | Annual General Meeting 2027
Andrea Gaal | 21 June 2018 | Annual General Meeting 2028
Peter Gauper 2 | 22 June 2017 | 14 June 2023
Michael Höllerer | 31 March 2022 | Annual General Meeting 2027
Rudolf Könighofer | 22 June 2017 | Annual General Meeting 2027
Heinz Konrad | 20 October 2020 | Annual General Meeting 2025
Reinhard Mayr | 20 October 2020 | Annual General Meeting 2025
Birgit Noggler | 22 June 2017 | Annual General Meeting 2027
Manfred Wilhelmer 3 | 21 November 2023 | Annual General Meeting 2028
Natalie Egger-Grunicke 4 | 18 February 2016 | Until further notice
Peter Anzeletti-Reikl 4 | 10 October 2010 | Until further notice
Rudolf Kortenhof 4 | 10 October 2010 | Until further notice
Gebhard Muster 4 | 22 June 2017 | Until further notice
Helge Rechberger 4 | 10 October 2010 | Until further notice
Denise Simek 4 | 1 October 2021 | Until further notice
1 Effective as of 10 October 2010 |  |
2 Peter Gauper resigned from his position with effect from 14 June 2023 |  |
3 Member of the Supervisory Board with effect from the Annual General Meeting on 21 November 2023 |
4 Delegated by the Staff Council |  |

State Commissioners
· Alfred Lejsek, State Commissioner (since 1 January 2011)
· Matthias Kudweis, Deputy State Commissioner (since 1 April 2021)
Consolidated financial statements 193
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
(59) Group composition
Subsidiaries
All material subsidiaries over which RBI AG directly or indirectly has control are fully consolidated. The Group has control over
an entity when it is exposed, or has rights, to variable returns from its involvement with the investee and the ability to affect
those returns through its power over the investee. Investments in subsidiaries that are not fully consolidated are shown under
the item investments in subsidiaries and associates.
Structured entities are entities in which the voting or similar rights are not the dominant factor for determining control. This is
the case, for example, if the voting rights are solely related to administration activities and the relevant activities are governed
by contractual agreements.
Same as to subsidiaries, consolidation of structured entities is necessary, if the Group has control over the entity. In the Group,
the obligation to consolidate structured entities is reviewed as part of a process that includes transactions, where the
structured entity is either formed by the Group with or without participation of third parties, or, in which the Group with or
without participation of third parties enters into contractual relationships with already existing structured entities. Whether an
entity should be consolidated or not is reviewed at least quarterly or if an event occurs.
To determine whether an entity should be consolidated, a series of control factors need to be checked. These include an
examination of
· the purpose and the constitution of the entity,
· the relevant activities and how they are determined, if the Group has the ability to determine the relevant activity
through its rights,
· if the Group is exposed to risks of or has rights to variable returns,
· if the Group has the ability to use its power over the investee in order to affect the amounts of variable returns.
If voting rights are relevant, the Group has control over an entity in which it directly or indirectly holds more than 50 per cent of
the voting rights; except when there are indicators that another investee has the ability to determine unilaterally the relevant
activities of the entity. One or more of the following points may be such an indicator:
· Another investor has control over more than half of the voting rights due to an agreement with the Group,
· Another investor has the ability to control financial policy and operational activities of the equity participation due
to legal provisions or an agreement,
· Another investor has control over the equity participation due to its possibility to appoint and withdraw the majority
of members of the Board or members of an equivalent governing body,
· Another investor has control over the entity due to its possibility to possess the majority of the delivered voting
rights in a meeting of members of the Board or of members an equivalent governing body.
When judging control, also potential voting rights are considered as far as they are material.
The Group assesses evidence of control in cases in which it does not hold the majority of voting rights but has the ability to
unilaterally govern the relevant activities of the entity. This ability may occur in cases in which the Group has the ability to
control the relevant activities due to the extent and distribution of voting rights of the investees.
In principle, subsidiaries are initially integrated into the consolidated group on the date when the Group obtains direct or
indirect control and are excluded from the consolidated group from the date on when it no longer has control over the
company. The results from subsidiaries acquired or disposed of during the year are recorded in the consolidated income
statement, either from the assumption of control or up to the loss of control. During the initial consolidation of previously not
included controlled subsidiaries due to their immateriality, changes in the value of individual assets and liabilities between the
date of acquisition or foundation and the initial consolidation as well as profits/losses generated in this period of the
subsidiary in question are taken into account directly in equity. These modifications are reported in the other changes. The
Group reviews the adequacy of previous decisions on which companies to consolidate at least every quarter. Accordingly, any
organizational changes are immediately considered. Apart from changes in ownership, these also include any changes to the
Group’s existing contractual arrangements or new contractual arrangements with a unit.
194 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Non-controlling interests are shown in the consolidated statement of financial position as part of equity, but separately from
RBI AG's equity. The profit attributable to non-controlling interests is shown separately in the consolidated income statement.
In debt consolidation, intra-group loans and liabilities are eliminated. Remaining temporary differences are recognized under
the item other assets or other liabilities in the consolidated statement of financial position.
Intra-group income and expenses are also eliminated and temporary differences resulting from bank business transactions are
included partly in net interest income and partly in net trading income. Other differences are shown in the item other net
operating income.
Intra-group results are eliminated insofar as they have a material effect on the income statement items. Transactions
between Group members are executed principally at market conditions.
Changes in the Group’s ownership interests in existing subsidiaries
If, in the case of existing control, further shares are acquired or sold without loss of control, in subsequent consolidation such
transactions are recognized directly in equity. The carrying amount of the shares held by the Group and the non-controlling
interests are adjusted in such a way as to reflect changes in existing shareholdings in subsidiaries. Any difference between the
amount which is adjusted for the non-controlling interests and the fair value of the consideration paid or received is
recognized directly in equity and is assigned to the shareholders of the parent company.
If the company loses control over a subsidiary, the income/loss from disposal of group assets is shown in the income
statement. This is calculated as the difference between
· the total amount of fair value of the received consideration and fair value of the shares retained and
· the carrying amount of assets (including goodwill), liabilities of the subsidiary and all non-controlling interests.
All amounts related to these subsidiaries and shown in other comprehensive income are recognized in the same way as would
be the case for the sale of assets. This means the amounts are reclassified to the income statement or directly transferred to
retained earnings.
Associated companies
An associated company is an entity over which the Group has significant influence. Significant influence is the power to
participate in the financial and operating policy decisions of an entity in which shares are held. No control or joint management
of decision-making processes exists. As a rule, significant influence is assumed if the Group holds 20 to 50 per cent of the
voting rights. When judging whether the Group has the ability to exert a significant influence on another entity, the existence
and the effect of potential voting rights which are actually exercisable, or convertible are taken into account. Further
parameters for judging significant influence are, for example, the representation in executive committees and supervisory
boards (Supervisory Board in Austrian Joint Stock companies) of the entity and material business transactions with the entity.
Investments in associated companies are valued at equity and shown in the statement of financial position under the item
investments in subsidiaries and associates under the sub-item investments in associates valued at equity.
The acquisition cost of these investments including goodwill is determined at the time of their initial consolidation, applying by
analogy the same rules as for subsidiaries (offsetting acquisition costs against proportional fair net asset value). If associated
companies are material, appropriate adjustments are made to the equity carrying amount, in accordance with developments
in the company’s equity. Profit or losses of companies valued at equity are netted and recognized in the item current income
from investments in associates. Losses attributable to companies accounted for using the equity method are only recognized
up to the level of the equity carrying amount. Losses in excess of this amount are not recognized since there is no obligation to
offset excess losses. Furthermore, any amounts recognized by the associate through other comprehensive income will be
recognized in the other comprehensive income statement of RBI. This is especially relevant for valuation effects seen from
financial assets at fair value through other comprehensive income (FVOCI). At each reporting date, the Group reviews to what
extent there is objective evidence for impairment of an equity participation in an associated company. If there is objective
evidence of impairment, an impairment test is carried out, in which the recoverable value of the participation – this is higher of
the value in use and the fair value less selling costs – is compared to the carrying amount. An impairment made in previous
periods is reversed only if the assumptions underlying the determination of the recoverable value have been changed since
recognition of the last impairment. In this case the carrying amount is written up to the higher recoverable value.
Consolidated financial statements 195
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Business combinations
The acquisition of business operations is recognized according to the acquisition method. The consideration transferred in a
business combination is measured at fair value. This is calculated as the aggregate of the acquisition-date fair values of all
assets transferred, liabilities assumed from former owners of the acquired business combination and equity instruments
issued by the Group in exchange for control of the business combination. Transaction costs related to business combinations
are recognized in the income statement when incurred.
Goodwill is measured as the excess of the aggregate of the value of the consideration transferred, the amount of any non-
controlling interest and the acquisition-date fair value of the acquirer’s previously held equity interest in the acquiree (if any),
and the net of the acquisition-date amounts of the fair values of identifiable assets acquired and the liabilities assumed. In the
case that the difference is negative after further review, the resulting gain is recognized immediately in the income statement.
Non-controlling interests which confer ownership rights and grant the right to the owner to receive a proportionate share of
the net assets of the entity in the event of liquidation, are measured either at fair value or at the non-controlling interest’s
proportionate share of net assets of the acquiree at the acquisition date. This accounting policy option can be newly made for
every business combination. Other components of non-controlling interests are measured at fair value or with measurement
values derived from other standards.
If the consideration transferred includes a contingent consideration, this is measured at the acquisition-date fair value. If the
contingent consideration is classified as equity, it is not re-measured on the following reporting dates. Its settlement is
recognized within equity. A contingent consideration classified as assets or liabilities is measured on the following reporting
dates at fair value and a resulting profit or loss is recognized in the income statement.
Adjustments to the measurement or additional recognition of further assets and liabilities to reflect information about facts
and circumstances which already existed at the time of acquisition are corrected retrospectively within the measurement
period and posted accordingly against goodwill. The measurement period may not exceed one year from the date of
acquisition.
Consolidated subsidiaries where RBI holds less than 50 per cent of the ordinary voting
shares
Subsidiaries in which the Group holds less than half of the voting rights are fully consolidated if RBI has effective control
according to the criteria of IFRS 10. This involves examining whether the Group is exposed or has rights to variable returns from
its involvement in the investee and has the ability to affect those returns through its power over the investee.
Structured units have been designed in such a way that voting rights or other similar rights are not the dominant factor in
establishing control of a company.
The Group has several leasing companies in the legal form of a GmbH & Co KG, in which a Group company assumes the role of
general partner. Through this structure, the Group assumes the requisite personal liability which qualifies as exposure to the
variability of the returns generated by the structured companies. These companies are included in the list of fully consolidated
affiliated companies.
Subsidiaries not fully consolidated where RBI holds more than 50 per cent of the
ordinary voting shares
Due to their negligible contribution to the Group’s assets, earnings, and financial position, 227 subsidiaries were not included in
the consolidated financial statements (previous year: 249). Total assets of the companies not included came to less than 1 per
cent of the Group’s total assets.
196 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
List of fully consolidated affiliated companies

Company, domicile (country) | Subscribed capital 1 | in local currency | Share 1 | Type 2
"Raiffeisen-Rent" Vermögensberatung und Treuhand Gesellschaft m.b.H., Vienna (AT) | 364,000 | EUR | 100.0% | FI
Abade Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Abade Immobilienleasing GmbH & Co Projekt Lauterbach KG, Kriftel (DE) | 5,000 | EUR | 6.0% | FI
Abura Immobilienleasing GmbH & Co. Projekt Seniorenhaus Boppard KG, Kriftel (DE) | 5,000 | EUR | 6.0% | FI
Achat Immobilien GmbH & Co. Projekt Hochtaunus-Stift KG, Kriftel (DE) | 10,000 | EUR | 1.0% | FI
Acridin Immobilienleasing GmbH & Co. Projekt Marienfeld KG, Kriftel (DE) | 5,000 | EUR | 100.0% | FI
Adagium Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Adamas Immobilienleasing GmbH & Co. Projekt Pflegeheim Werdau KG, Kriftel (DE) | 5,000 | EUR | 100.0% | FI
Adiantum Immobilienleasing GmbH & Co. Projekt Schillerhöhe Weimar KG, Kriftel (DE) | 5,000 | EUR | 6.0% | FI
Adorant Immobilienleasing GmbH & Co. Projekt Heilsbronn und Neuendettelsau KG, Kriftel (DE) | 5,000 | EUR | 6.0% | OT
Ados Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 75.0% | FI
Adrittura Immobilienleasing GmbH & Co. Projekt Eiching KG, Kriftel (DE) | 5,000 | EUR | 100.0% | OT
Aedificium Banca pentru Locuinte S.A., Bucharest (RO) | 50,186,880 | RON | 99.9% | BA
Agamemnon Immobilienleasing GmbH & Co. Projekt Pflegeheim Freiberg KG, Kriftel (DE) | 5,000 | EUR | 100.0% | FI
AGIOS Raiffeisen-Immobilien Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 51.0% | FI
Akcenta CZ a.s., Prague (CZ) | 100,125,000 | CZK | 92.5% | BR
AKRISIOS Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
AL Taunussteiner Grundstücks-GmbH & Co KG, Kriftel (DE) | 9,400 | EUR | 93.6% | FI
A-Leasing SpA, Treviso (IT) | 68,410,000 | EUR | 100.0% | FI
Allgäu Reha Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 75.0% | OT
AMYKOS RBI Leasing-Immobilien GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | FI
Anton Proksch Institut Kalksburg RBI Immobilien Leasing GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | OT
AO Raiffeisenbank, Moscow (RU) | 36,711,260,000 | RUB | 100.0% | BA
ARCANA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
A-Real Estate S.p.A., Bozen (IT) | 390,000 | EUR | 100.0% | FI
ASCENT Pflege Borna Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 75.0% | OT
ASCENT Pflege Erfurt Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 75.0% | OT
ASCENT Pflege Hettstedt Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 75.0% | OT
ASCENT Pflege Schleswig Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 75.0% | OT
Austria Leasing Beteiligungsgesellschaft mbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Austria Leasing GmbH, Eschborn (DE) | 1,000,000 | EUR | 100.0% | FI
B52 RBI Leasing-Immobilien GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | OT
BAILE Handels- und Beteiligungsgesellschaft m.b.H., Vienna (AT) | 40,000 | EUR | 100.0% | FI
Baumgartner Höhe RBI Leasing-Immobilien GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | FI
Burgenländische Kommunalgebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 35,000 | EUR | 100.0% | FI
Campus ATZ + DOS RBI Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | OT
Campus NBhf RBI Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | OT
Canopa Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Centralised Raiffeisen International Services & Payments S.R.L., Bucharest (RO) | 2,820,000 | RON | 100.0% | BR
CERES Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
CINOVA RBI Leasing-Immobilien GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | FI
CP Inlandsimmobilien-Holding GmbH, Vienna (AT) | 364,000 | EUR | 100.0% | OT
CUPIDO Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Elevator Ventures Beteiligungs GmbH, Vienna (AT) | 100,000 | EUR | 100.0% | FI
ETEOKLES Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Expo 2000 Real Estate EOOD, Sofia (BG) | 10,000 | BGN | 100.0% | OT
FCC Office Building SRL, Bucharest (RO) | 30,298,500 | RON | 100.0% | BR
Floreasca City Center Verwaltung Kft., Budapest (HU) | 44,000 | HUF | 100.0% | FI
FMK Fachmarktcenter Kohlbruck Betriebs GmbH, Eschborn (DE) | 30,678 | EUR | 94.5% | OT
FMZ PRIMUS Ingatlanfejlesztö Kft., Budapest (HU) | 11,077 | EUR | 100.0% | OT
GENO Leasing Ges.m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
GTNMS RBI Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | OT
HABITO Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
INFRA MI 1 Immobilien Gesellschaft mbH, Vienna (AT) | 72,673 | EUR | 100.0% | OT
Infrastruktur Heilbad Sauerbrunn RBI-Leasing GmbH & Co.KG., Bad Sauerbrunn (AT) | 3,511,188 | EUR | 75.0% | FI
Insurance Limited Liability Company "Priorlife", Minsk (BY) | 7,682,300 | BYN | 87.7% | VV
Invest Vermögensverwaltungs-GmbH, Vienna (AT) | 73,000 | EUR | 100.0% | OT
JLLC "Raiffeisen-leasing", Minsk (BY) | 430,025 | BYN | 91.4% | FI
Kathrein Privatbank Aktiengesellschaft, Vienna (AT) | 20,000,000 | EUR | 100.0% | BA
KAURI Handels und Beteiligungs GmbH, Vienna (AT) | 50,000 | EUR | 88.0% | FI

Consolidated financial statements 197
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital 1 | in local currency | Share 1 | Type 2
LARENTIA Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Lentia Immobilienleasing GmbH & Co. Albert-Osswald-Haus KG, Kriftel (DE) | 5,000 | EUR | 6.0% | FI
Limited Liability Company RB-Digital, Moscow (RU) | 1,500,000 | RUB | 100.0% | BR
LYRA Raiffeisen Immobilien Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Neu-Marx Holding Eins GmbH & Co KG, Vienna (AT) | 10,000 | EUR | 100.0% | OT
Neu-Marx Holding Zwei GmbH & Co KG, Vienna (AT) | 10,000 | EUR | 100.0% | OT
Neu-Marx Immobilien Eins GmbH & Co KG, Vienna (AT) | 10,000 | EUR | 100.0% | OT
Neu-Marx Immobilien Zwei GmbH & Co KG, Vienna (AT) | 10,000 | EUR | 100.0% | OT
Objekt Linser Areal Immoblilienerrichtungs GmbH & Co. KG, Vienna (AT) | 1,000 | EUR | 100.0% | OT
OOO Raiffeisen Capital Asset Management Company, Moscow (RU) | 225,000,000 | RUB | 100.0% | FI
OOO Raiffeisen-Leasing, Moscow (RU) | 1,071,000,000 | RUB | 100.0% | FI
OVIS Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
PELIAS Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 36,400 | EUR | 100.0% | FI
PERSES RBI Leasing-Immobilien GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | FI
PLANA Raiffeisen-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Priorbank JSC, Minsk (BY) | 86,147,909 | BYN | 87.7% | BA
R Karpo Immobilien Linie S.R.L., Bucharest (RO) | 200 | RON | 100.0% | OT
R.P.I. Handels- und Beteiligungsgesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 100.0% | FI
Raiffeisen Bank d.d. Bosna i Hercegovina, Sarajevo (BA) | 247,167,000 | BAM | 100.0% | BA
Raiffeisen Bank JSC, Kiev (UA) | 6,154,516,258 | UAH | 68.2% | BA
Raiffeisen Bank Kosovo J.S.C., Pristina (KO) | 63,000,000 | EUR | 100.0% | BA
Raiffeisen Bank S.A., Bucharest (RO) | 1,200,000,000 | RON | 99.9% | BA
Raiffeisen Bank Sh.a., Tirana (AL) | 14,178,593,030 | ALL | 100.0% | BA
Raiffeisen Bank Zrt., Budapest (HU) | 50,000,090,000 | HUF | 100.0% | BA
Raiffeisen banka a.d., Novi Belgrade (RS) | 27,466,157,580 | RSD | 100.0% | BA
Raiffeisen Bausparkasse Gesellschaft m.b.H., Vienna (AT) | 35,000,000 | EUR | 100.0% | BA
Raiffeisen Bausparkassen Holding GmbH, Vienna (AT) | 10,000,000 | EUR | 100.0% | FI
Raiffeisen CEE Region Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FH
Raiffeisen CIS Region Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FH
Raiffeisen Corporate Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen Corporate Lízing Zrt., Budapest (HU) | 50,100,000 | HUF | 100.0% | FI
Raiffeisen Digital Bank AG, Vienna (AT) | 47,598,850 | EUR | 100.0% | BA
Raiffeisen Factor Bank AG, Vienna (AT) | 10,000,000 | EUR | 100.0% | FI
Raiffeisen FinCorp, s.r.o., Prague (CZ) | 200,000 | CZK | 75.0% | FI
Raiffeisen Group IT GmbH, Vienna (AT) | 100,000 | EUR | 100.0% | BR
Raiffeisen International Liegenschaftsbesitz GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen Kapitalanlage-Gesellschaft m.b.H., Vienna (AT) | 15,000,000 | EUR | 100.0% | FI
Raiffeisen Leasing d.o.o., Belgrade (RS) | 405,021,700 | RSD | 100.0% | FI
Raiffeisen Leasing d.o.o. Sarajevo, Sarajevo (BA) | 11,450,452 | BAM | 100.0% | FI
Raiffeisen Leasing IFN S.A., Bucharest (RO) | 14,935,400 | RON | 99.9% | FI
Raiffeisen Leasing Kosovo LLC, Pristina (KO) | 642,857 | EUR | 100.0% | FI
Raiffeisen Leasing sh.a., Tirana (AL) | 263,520,134 | ALL | 100.0% | FI
Raiffeisen Leasing-Projektfinanzierung Gesellschaft m.b.H., Vienna (AT) | 72,673 | EUR | 100.0% | FI
Raiffeisen Mandatory and Voluntary Pension Funds Management Company Plc., Zagreb (HR) | 19,038,463 | EUR | 100.0% | OT
Raiffeisen ÖHT Beteiligungs GmbH, Vienna (AT) | 35,000 | EUR | 88.0% | FI
Raiffeisen Pension Insurance d.d., Zagreb (HR) | 8,242,086 | EUR | 100.0% | VV
Raiffeisen Property Holding International GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen Property International GmbH, Vienna (AT) | 40,000 | EUR | 100.0% | OT
Raiffeisen Property Management GmbH, Vienna (AT) | 40,000 | EUR | 100.0% | OT
Raiffeisen Rehazentrum Schruns Immobilienleasing GmbH, Vienna (AT) | 36,400 | EUR | 51.0% | FI
Raiffeisen Rent DOO, Belgrade (RS) | 243,099,913 | RSD | 100.0% | OT
Raiffeisen RS Beteiligungs GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FH
Raiffeisen SEE Region Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FH
Raiffeisen stavebni sporitelna a.s., Prague (CZ) | 650,000,000 | CZK | 75.0% | BA
Raiffeisen WohnBau Seeresidenz Weyregg GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Raiffeisen WohnBau Tirol GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Raiffeisen WohnBau Vienna GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Raiffeisen WohnBau Wien GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Raiffeisen WohnBau Zwei GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Raiffeisen Wohnbaubank Aktiengesellschaft, Vienna (AT) | 5,100,000 | EUR | 100.0% | FI
Raiffeisen-Anlagenvermietung Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Raiffeisenbank a.s., Prague (CZ) | 15,460,800,000 | CZK | 75.0% | BA

198 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital 1 | in local currency | Share 1 | Type 2
Raiffeisenbank Austria d.d., Zagreb (HR) | 480,646,626 | EUR | 100.0% | BA
Raiffeisen-Gemeindegebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Raiffeisen-Invest-Gesellschaft m.b.H., Vienna (AT) | 40,000 | EUR | 100.0% | FI
Raiffeisen-Kommunalgebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen-Leasing Beteiligung GesmbH, Vienna (AT) | 36,400 | EUR | 100.0% | FI
Raiffeisen-Leasing d.o.o., Zagreb (HR) | 3,981,684 | EUR | 100.0% | FI
Raiffeisen-Leasing Equipment Finance GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen-Leasing Finanzierungs GmbH, Vienna (AT) | 5,000,000 | EUR | 100.0% | FI
Raiffeisen-Leasing Fuhrparkmanagement Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | OT
Raiffeisen-Leasing Gesellschaft m.b.H., Vienna (AT) | 363,364 | EUR | 100.0% | FI
Raiffeisen-Leasing Immobilienmanagement Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Raiffeisen-Leasing International Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 100.0% | FI
Raiffeisen-Leasing, s.r.o., Prague (CZ) | 450,000,000 | CZK | 75.0% | FI
Raiffeisen-Rent Immobilienprojektentwicklung Gesellschaft m.b.H. Objekt Wallgasse 12 KG, Vienna (AT) | 4,886,449 | EUR | 100.0% | OT
Raiffeisen-Rent-Immobilienprojektentwicklung Gesellschaft m.b.H., Objekt Lenaugasse 11 KG, Vienna (AT) | 6,169,924 | EUR | 100.0% | OT
RALT Raiffeisen-Leasing Gesellschaft m.b.H., Vienna (AT) | 218,500 | EUR | 100.0% | FI
RALT Raiffeisen-Leasing Gesellschaft m.b.H. & Co. KG, Vienna (AT) | 20,348,394 | EUR | 100.0% | FI
RAN vierzehn Raiffeisen-Anlagevermietung GmbH, Vienna (AT) | 36,336 | EUR | 100.0% | FI
RAN zehn Raiffeisen-Anlagenvermietung Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 100.0% | FI
RB International Markets (USA) LLC, New York (US) | 8,000,000 | USD | 100.0% | FI
RBI Beteiligungs GmbH, Vienna (AT) | 100,000 | EUR | 100.0% | FH
RBI eins Leasing Holding GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | FI
RBI Invest GmbH, Vienna (AT) | 500,000 | EUR | 100.0% | FH
RBI ITS Leasing-Immobilien GmbH, Vienna (AT) | 35,000 | EUR | 75.0% | FI
RBI LEA Beteiligungs GmbH, Vienna (AT) | 70,000 | EUR | 100.0% | FI
RBI Leasing GmbH, Vienna (AT) | 100,000 | EUR | 75.0% | FI
RBI LGG Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
RBI Retail Innovation GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | BR
REC Alpha LLC, Kiev (UA) | 1,201,407,344 | UAH | 100.0% | BR
Regional Card Processing Center s.r.o., Bratislava (SK) | 539,465 | EUR | 100.0% | BR
RIL VII Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
RIL XIV Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
RIRE Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
RL Anlagenvermietung Gesellschaft m.b.H., Eschborn (DE) | 50,000 | DEM | 100.0% | FI
RL Grundstückverwaltung Klagenfurt-Süd GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
RL LUX Holding S.a.r.l., Luxembourg (LU) | 12,500 | EUR | 100.0% | OT
RL Retail Holding GmbH, Vienna (AT) | 36,000 | EUR | 100.0% | FI
RL-ALPHA Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
RLI Holding Gesellschaft m.b.H., Vienna (AT) | 40,000 | EUR | 100.0% | FI
RL-Mörby AB, Stockholm (SE) | 100,000 | SEK | 100.0% | FI
RL-Nordic AB, Stockholm (SE) | 50,000,000 | SEK | 100.0% | FI
RL-Pro Auxo Sp.z.o.o., Warsaw (PL) | 50,000 | PLN | 100.0% | FI
RL-PROMITOR Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
RL-PROMITOR Sp. z.o.o., Warsaw (PL) | 50,000 | PLN | 100.0% | OT
RUBRA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
RZB - BLS Holding GmbH, Vienna (AT) | 500,000 | EUR | 100.0% | FI
RZB Versicherungsbeteiligung GmbH, Vienna (AT) | 500,000 | EUR | 100.0% | FI
S.A.I. Raiffeisen Asset Management S.A., Bucharest (RO) | 10,656,000 | RON | 99.9% | FI
SALVELINUS Handels- und Beteiligungsgesellschaft m.b.H, Vienna (AT) | 40,000 | EUR | 100.0% | FI
SAMARA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
SINIS Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 35,000 | EUR | 100.0% | FI
Sky Tower Immobilien- und Verwaltung Kft, Budapest (HU) | 44,000 | HUF | 100.0% | OT
Skytower Building SRL, Bucharest (RO) | 126,661,500 | RON | 100.0% | OT
SOLAR II Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Tatra Asset Management, správ. spol., a.s., Bratislava (SK) | 1,659,700 | EUR | 78.8% | FI
Tatra banka, a.s., Bratislava (SK) | 64,326,228 | EUR | 78.8% | BA
Tatra-Leasing, s.r.o., Bratislava (SK) | 6,638,785 | EUR | 78.8% | FI
Ukrainian Processing Center PJSC, Kiev (UA) | 180,000 | UAH | 100.0% | BR
Unterinntaler Raiffeisen-Leasing GmbH & Co KG, Vienna (AT) | 36,336 | EUR | 100.0% | FI

Consolidated financial statements 199
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital 1 | in local currency | Share 1 | Type 2
URSA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Valida Holding AG, Vienna (AT) | 5,000,000 | EUR | 57.4% | FI
Valida Pension AG, Vienna (AT) | 10,200,000 | EUR | 57.4% | OT
Valida Plus AG, Vienna (AT) | 5,500,000 | EUR | 57.4% | FI
Viktor Property, s.r.o., Prague (CZ) | 200,000 | CZK | 75.0% | OT
Vindalo Properties Limited, Limassol (CY) | 67,998 | RUB | 100.0% | BR
WEGA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
WHIBK Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
ZHS Office- & Facilitymanagement GmbH, Vienna (AT) | 36,336 | EUR | 98.6% | BR
1 Less own shares 2 Company type: BA Bank, BR Company rendering banking-related ancillary services, FH Financial holding, FI Financial institution, OT Other companies, VV Insurance, SC Securities firms

Structured units
The following tables show the carrying amounts of the financial assets and financial liabilities to non-consolidated structured
entities broken down by type of structured entity. The carrying amounts presented below do not reflect the true variability of
returns faced by the Group as they do not take the effects of collateral or hedges into account.
Assets

2023 in € million | Loans and advances | Equity instruments | Foreign exchange business | Derivatives
Securitization vehicles | 41 | 0 | 501 | 0
Third party funding entities | 207 | 18 | 0 | 0
Funds | 0 | 0 | 0 | 0
Total | 248 | 18 | 501 | 0

2022 in € million | Loans and advances | Equity instruments | Foreign exchange business | Derivatives
Securitization vehicles | 86 | 0 | 446 | 0
Third party funding entities | 227 | 7 | 0 | 0
Funds | 0 | 0 | 0 | 0
Total | 313 | 7 | 446 | 0

Liabilities

2023 in € million | Deposits | Equity instruments | Debt securities issued | Derivatives
Securitization vehicles | 0 | 0 | 0 | 0
Third party funding entities | 7 | 1 | 0 | 0
Funds | 0 | 0 | 0 | 0
Total | 7 | 1 | 0 | 0

2022 in € million | Deposits | Equity instruments | Debt securities issued | Derivatives
Securitization vehicles | 0 | 0 | 0 | 0
Third party funding entities | 6 | 1 | 0 | 0
Funds | 0 | 0 | 0 | 0
Total | 6 | 1 | 0 | 0

Nature, purpose and extent of the Group’s interests in non-consolidated structured
entities
The Group engages in various business activities with structured entities which are designed to achieve a specific business
purpose. A structured entity is one that has been set up so that any voting rights or similar rights are not the dominant factor
in deciding who controls the entity. An example is when voting rights relate only to administrative tasks and the relevant
activities are directed by contractual arrangements.
200 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
A structured entity often has some of or all the following features or attributes:
· Restricted activities
· A narrow and well-defined objective
· Insufficient equity to permit the structured entity to finance its activities without subordinated financial support
· Financing in the form of the issue of multiple contractually linked instruments to investors that create
concentrations of credit or other risks (tranches)
The principal uses of structured entities are to provide clients with access to specific portfolios of assets and to provide
market liquidity for clients through securitizing financial assets. Structured entities may be established as corporations, trusts,
or partnerships. Structured entities generally finance the purchase of assets by issuing debt and equity securities that are
collateralized by and/or indexed to the assets held by the structured entities.
Structured entities are consolidated when the substance of the relationship between the Group and the structured entities
indicates that the structured entities are controlled by the Group.
Below is a description of the Group’s investments in non-consolidated structured entities by type.
Third party funding entities
The Group provides funding to structured entities that hold a variety of assets. These entities may take the form of funding
entities, trusts, and private investment companies. The funding is collateralized by the assets in the structured entities. The
Group’s investment activity involves predominantly lending.
Securitization vehicles
The Group establishes securitization vehicles which purchase diversified pools of assets, including fixed income securities,
company loans, and asset-backed securities (ABS; predominantly commercial and residential mortgage-backed securities
(RMBS) and credit card receivables). The vehicles fund these purchases by issuing multiple tranches of debt and equity
securities, the repayment of which is linked to the performance of the assets contained in the vehicles.
Funds
The Group establishes structured entities to accommodate client requirements to hold investments in specific assets. The
Group also invests in funds that are sponsored by third parties. A Group entity may act as fund manager, custodian or in
another function and provide funding and liquidity facilities to both Group-sponsored and third-party funds. The funding
provided is collateralized by the underlying assets held by the fund.
Maximum exposure to and size of non-consolidated structured entities
The maximum exposure to loss is determined by considering the nature of the interest in the non-consolidated structured
entity. The maximum exposure for loans and trading instruments is reflected by their carrying amounts in the statement of
financial position. The maximum exposure for derivatives and instruments off the statement of financial position such as
guarantees, liquidity facilities and loan commitments under IFRS 12, as interpreted by the Group, is reflected by the respective
notional amount. Such amounts do not reflect the economic risks faced by the Group because they do not take the effects of
collateral or hedges or the probability of such losses being incurred into account. As at 31 December 2023, the notional values
of derivatives and instruments off the statement of financial position amounted to € 0 million (previous year: € 0 million) and
€ 34 million (previous year: € 27 million) respectively. Since information on the size of structured entities is not always publicly
available, the Group has determined that its exposure is an appropriate guide to the risk of loss from investments in non-
consolidated structured entities.
Financial support
As in the previous year, the Group has not provided financial support to non-consolidated structured entities during the
financial year.
Consolidated financial statements 201
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Sponsored structured entities
As a sponsor, the Group is often involved in the legal set up and marketing of the entity and supports the entity in different
ways such as providing operational support to ensure the entity’s continued operation. The Group is also deemed a sponsor for
a structured entity if market participants would reasonably associate the entity with the Group. Additionally, the use of the
Raiffeisen name for the structured entity often indicates that the Group has acted as a sponsor. The gross proceeds from
sponsored entities for the year ending 31 December 2023 amounted to € 246 million (previous year: € 250 million). No assets
were transferred to sponsored non-consolidated structured entities in the reporting period and the previous year.
(60) List of equity participations
Associated companies valued at equity

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
card complete Service Bank AG, Vienna (AT) | 6,000,000 | EUR | 25.0% | BA
EMCOM Beteiligungs GmbH, Vienna (AT) | 37,000 | EUR | 33.6% | FI
LEIPNIK-LUNDENBURGER INVEST Beteiligungs Aktiengesellschaft, Vienna (AT) | 32,624,283 | EUR | 33.1% | OT
NOTARTREUHANDBANK AG, Vienna (AT) | 8,030,000 | EUR | 26.0% | FI
Oesterreichische Kontrollbank Aktiengesellschaft, Vienna (AT) | 130,000,000 | EUR | 8.1% | BA
Österreichische Hotel- und Tourismusbank Gesellschaft m.b.H., Vienna (AT) | 11,627,653 | EUR | 31.3% | BA
Posojilnica Bank eGen, Klagenfurt (AT) | 74,555,670 | EUR | 49.7% | BA
Prva stavebna sporitelna a.s., Bratislava (SK) | 66,500,000 | EUR | 32.5% | BA
Raiffeisen Informatik GmbH & Co KG, Vienna (AT) | 1,460,000 | EUR | 47.6% | BR
Limited Liability Company "Insurance Company "Raiffeisen Life", Moscow (RU) | 450,000,000 | RUB | 25.0% | VV
Raiffeisen-Leasing Management GmbH, Vienna (AT) | 300,000 | EUR | 50.0% | OT
UNIQA Insurance Group AG, Vienna (AT) | 309,000,000 | EUR | 10.9% | VV
1 Company type: BA Bank, BR Company rendering banking-related ancillary services, FH Financial holding, FI Financial institution, OT Other companies, VV Insurance, SC Securities firms

Other affiliated companies

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
Abrawiza Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Abrawiza Immobilienleasing GmbH & Co. Projekt Fernwald KG, Kriftel (DE) | 5,000 | EUR | 6.0% | OT
Abura Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
ACB Ponava, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Achat Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Acridin Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Adamas Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Adiantum Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Adipes Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Adipes Immobilienleasing GmbH & Co. Projekt Bremervörde KG, Kriftel (DE) | 5,000 | EUR | 100.0% | OT
Adorant Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Adrett Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Adrittura Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Adufe Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Agamemnon Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Aglaia Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
AKCENTA DE GmbH, Hamburg (DE) | 25,000 | EUR | 100.0% | FI
Akcenta Digital s.r.o., Hradec Kralove (CZ) | 20,000 | CZK | 100.0% | FI
Akcenta Logistic a.s. in Liqu., Hradec Kralove (CZ) | 2,000,000 | CZK | 100.0% | OT
Ananke Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Angaga Handels- und Beteiligungs GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Antoninska 2 s.r.o., Prague (CZ) | 50,000 | CZK | 90.0% | OT
Apate Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Appolon Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Ares property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Argos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
ASCENT Reha Bad Ems Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 100.0% | OT

202 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
ASCENT Reha Lehmrade Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 100.0% | OT
ASCENT Reha Schwedenstein Immobilienleasing GmbH, Kriftel (DE) | 25,000 | EUR | 100.0% | OT
Astra Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Ate Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
AURIGA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Austria Leasing GmbH & Co. KG Immobilienverwaltung CURA, Kriftel (DE) | 10,000 | EUR | 100.0% | FI
Austria Leasing GmbH & Co. KG Immobilienverwaltung Projekt Eberdingen, Kriftel (DE) | 10,000 | EUR | 100.0% | FI
Austria Leasing Immobilienverwaltungsgesellschaft mbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Bafep21 RBI Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Beroe Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Chronos Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
CP Linzerstraße 221-227 Projektentwicklungs GmbH, Vienna (AT) | 37,000 | EUR | 100.0% | OT
CP Logistikcenter Errichtungs- und Verwaltungs GmbH, Vienna (AT) | 37,000 | EUR | 100.0% | OT
CP Projekte Muthgasse Entwicklungs GmbH, Vienna (AT) | 40,000 | EUR | 100.0% | OT
Cranto Property, s.r.o., Prague (CZ) | 50,000 | CZK | 90.0% | OT
Credibilis a.s., Prague (CZ) | 2,000,000 | CZK | 100.0% | OT
CURO Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | OT
Dafne Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Dero Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Dike Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Dolni namesti 34, s.r.o., Prague (CZ) | 10,000 | CZK | 90.0% | OT
Dom-office 2000, Minsk (BY) | 283,478 | BYN | 100.0% | OT
Doplnková dôchodková spoločnosť Tatra banky, a.s., Bratislava (SK) | 1,659,700 | EUR | 100.0% | FI
DORISCUS ENTERPRISES LTD., Limassol (CY) | 19,843,400 | EUR | 86.6% | OT
Eos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Essox d.o.o., Belgrade (RS) | 100 | RSD | 100.0% | OT
Eunomia Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Eurolease RE Leasing, s. r. o., Bratislava (SK) | 6,125,256 | EUR | 100.0% | OT
EV II EuVECA GmbH & Co KG, Vienna (AT) | — | EUR | 100.0% | FI
EV II GmbH, Vienna (AT) | — | EUR | 100.0% | BR
Expo Forest 1 EOOD, Sofia (BG) | 5,000 | BGN | 100.0% | OT
Expo Forest 2 EOOD, Sofia (BG) | 5,000 | BGN | 100.0% | OT
Expo Forest 3 EOOD, Sofia (BG) | 5,000 | BGN | 100.0% | OT
Expo Forest 4 EOOD, Sofia (BG) | 5,000 | BGN | 100.0% | OT
Extra Year Investments Limited, Tortola (VG) | 50,000 | USD | 100.0% | FI
Fairo GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | BR
FARIO Handels- und Beteiligungsgesellschaft m.b.H., Vienna (AT) | 40,000 | EUR | 100.0% | OT
Fidurock Residential a.s., Prague (CZ) | 2,000,000 | CZK | 90.0% | OT
FIRA Properties a.s., Prague (CZ) | 1,800,000 | CZK | 90.0% | OT
First Leasing Service Center GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Fobos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Folos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Gaia Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Golden Rainbow International Limited, Tortola (VG) | 1 | SGD | 100.0% | FI
Grainulos s.r.o., Prague (CZ) | 1 | CZK | 100.0% | OT
GRENA REAL s.r.o., Prague (CZ) | 89,715 | CZK | 100.0% | OT
GS55 Sazovice s.r.o., Prague (CZ) | 15,558,000 | CZK | 90.0% | OT
Harmonia Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Hebe Property, s.r.o., Prague (CZ) | 200,000 | CZK | 95.0% | OT
Hefaistos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Hestia Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Holeckova Property s.r.o., Prague (CZ) | 210,000 | CZK | 100.0% | OT
Humanitarian Fund ''Budimir Bosko Kostic'', Belgrade (RS) | 30,000 | RSD | 100.0% | OT
Hypnos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
IDUS Handels- und Beteiligungs GmbH, Vienna (AT) | 40,000 | EUR | 100.0% | OT
IGNIS Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Immoservice Polska Sp.z.o.o., Warsaw (PL) | 50,000 | PLN | 100.0% | OT
Infrastruktur Heilbad Sauerbrunn GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
INPROX Split d.o.o., Zagreb (HR) | 13,270 | EUR | 100.0% | OT
ISIS Raiffeisen Immobilien Leasing GmbH, Vienna (AT) | 36,400 | EUR | 100.0% | FI
JFD Real s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Kalypso Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT

Consolidated financial statements 203
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
Kappa Estates s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Kathrein & Co Life Settlement Gesellschaft m.b.H., Vienna (AT) | 35,000 | EUR | 100.0% | OT
Kathrein & Co. Trust Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Kathrein Capital Management GmbH, Vienna (AT) | 1,000,000 | EUR | 100.0% | FI
Kathrein Private Equity GmbH, Vienna (AT) | 190,000 | EUR | 100.0% | SC
Keto Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Kleio Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Körlog Logistika Építö és Kivitelezö Korlátolt Feleösségü Társaság, Budapest (HU) | 11,077 | EUR | 100.0% | OT
LENTIA Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | FI
Leto Property, s.r.o., Prague (CZ) | 200,000 | CZK | 77.0% | OT
Ligea Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Limited Liability Company “Raiffeisen Leasing”, Kiev (UA) | 1,240,152,866 | UAH | 100.0% | OT
Limited Liability Company European Insurance Agency, Moscow (RU) | 120,000 | RUB | 100.0% | OT
Limited Liability Company FAIRO, Kiev (UA) | 358,998,892 | UAH | 100.0% | BR
Limited Liability Company REC GAMMA, Kiev (UA) | 49,015,000 | UAH | 100.0% | BR
Limited Liabilty Company RBRU Specialized Depositary, Moscow (RU) | 100,000,000 | RUB | 100.0% | FI
LOTA Handels- und Beteiligungs-GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Lucius Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Luna Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
MAMONT GmbH, Kiev (UA) | 66,872,100 | UAH | 100.0% | OT
Medea Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
MELIKERTES Raiffeisen-Mobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Melpomene Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Morfeus Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
MORHUA Handels- und Beteiligungs GmbH, Vienna (AT) | 36,336 | EUR | 100.0% | OT
Nereus Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Nerudova Property s.r.o., Hradec Kralove (CZ) | 200,000 | CZK | 100.0% | BR
Objekt Linser Areal Immobilienerrichtungs GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
OOO Estate Management, Minsk (BY) | 15,963,046 | BYN | 100.0% | OT
Orchideus Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Orestes Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
OSTARRICHI Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Ostarrichi Immobilienleasing GmbH & Co. Projekt Langenbach KG, Kriftel (DE) | 5,000 | EUR | 100.0% | OT
Palace Holding s.r.o., Prague (CZ) | 2,700,000 | CZK | 90.0% | OT
PARO Raiffeisen Immobilien Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
PLUSFINANCE LAND S.R.L., Bucharest (RO) | 1,000 | RON | 100.0% | BR
Plutos Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Pontos Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Priamos Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Pro Invest da Vinci e.o.o.d., Sofia (BG) | 5,000 | BGN | 100.0% | OT
Production unitary enterprise "PriortransAgro", Minsk (BY) | 50,000 | BYN | 100.0% | OT
Propria Raiffeisen-Immobilien-Leasing GmbH, Vienna (AT) | 35,000 | EUR | 90.0% | OT
Queens Garden Sp z.o.o., Warsaw (PL) | 100,000 | PLN | 100.0% | OT
R.B.T. Beteiligungsgesellschaft m.b.H, Vienna (AT) | 36,336 | EUR | 58.8% | OT
R.L.H. Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Radwinter sp.z o.o., Warsaw (PL) | 20,000 | PLN | 100.0% | OT
Raiffeisen Apart GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
Raiffeisen Assistance D.O.O., Beograd, Belgrade (RS) | 4,307,115 | RSD | 100.0% | OT
Raiffeisen Assistance doo Sarajevo, Sarajevo (BA) | 4,000 | BAM | 100.0% | OT
Raiffeisen Autó Lízing Kft., Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
Raiffeisen Befektetési Alapkezelõ Zrt., Budapest (HU) | 100,000,000 | HUF | 100.0% | FI
Raiffeisen Biztosításközvetítö Kft., Budapest (HU) | 5,000,000 | HUF | 100.0% | VV
Raiffeisen Burgenland Leasing GmbH, Vienna (AT) | 38,000 | EUR | 100.0% | FI
Raiffeisen Capital a.d. Banja Luka, Banja Luka (BA) | 355,000 | BAM | 100.0% | FI
Raiffeisen Continuum GmbH & Co KG, Vienna (AT) | 85,000 | EUR | 58.8% | FI
Raiffeisen Continuum Management GmbH, Vienna (AT) | 100,000 | EUR | 50.0% | FI
Raiffeisen Direct Investments CZ, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Raiffeisen Future AD Beograd drustvo za upravljanje dobrovoljnim penzijskim fondom, Belgrade (RS) | 143,200,000 | RSD | 100.0% | FI
Raiffeisen Immobilien Kapitalanlage-Gesellschaft m.b.H., Vienna (AT) | 5,000,000 | EUR | 100.0% | FI
Raiffeisen Ingatlan Üzemeltető Kft., Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
Raiffeisen Insurance and Reinsurance Broker S.R.L, Bucharest (RO) | 180,000 | RON | 100.0% | BR

204 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
Raiffeisen Insurance Broker Kosovo L.L.C., Pristina (KO) | 10,000 | EUR | 100.0% | BR
Raiffeisen International Invest Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
RAIFFEISEN INVEST AD DRUSTVO ZA UPRAVLJANJE INVESTICIONIM FONDOVIMA BEOGRAD, Belgrade (RS) | 47,660,000 | RSD | 100.0% | FI
Raiffeisen Invest d.o.o., Zagreb (HR) | 1,560,780 | EUR | 100.0% | FI
Raiffeisen Invest Drustvo za upravljanje fondovima d.d. Sarajevo, Sarajevo (BA) | 1,118,600 | BAM | 100.0% | FI
Raiffeisen INVEST Sh.a., Tirana (AL) | 90,000,000 | ALL | 100.0% | FI
Raiffeisen investicni spolecnost a.s., Prague (CZ) | 40,000,000 | CZK | 100.0% | FI
Raiffeisen Investment Advisory GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen Investment Financial Advisory Services Ltd. Co., Istanbul (TR) | 2,930,000 | TRY | 100.0% | FI
Raiffeisen Leasing d.o.o., Ljubljana (SI) | 3,738,107 | EUR | 100.0% | OT
Raiffeisen Property Estate s.r.o., Bratislava (SK) | 5,000 | EUR | 100.0% | OT
Raiffeisen Property Management Bulgaria EOOD, Sofia (BG) | 80,000 | BGN | 100.0% | OT
Raiffeisen Property Management s.r.o., Bratislava (SK) | 5,000 | EUR | 100.0% | OT
Raiffeisen Rent S.R.L, Bucharest (RO) | 2,962,800 | RON | 100.0% | OT
Raiffeisen Salzburg Invest GmbH, Salzburg (AT) | 500,000 | EUR | 100.0% | FI
Raiffeisen Tech GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen Windpark Zistersdorf GmbH, Vienna (AT) | 37,000 | EUR | 100.0% | OT
Raiffeisen Wohnbauleasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
Raiffeisen-Leasing Anlagen und KFZ Vermietungs GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
Raiffeisen-Leasing Immobilienverwaltung Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | OT
Raiffeisen-Wohnbauleasing Österreich GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | FI
RAN elf Raiffeisen-Anlagenvermietung Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 100.0% | FI
RB International Investment Asia Limited, Labuan (MY) | 1 | USD | 100.0% | OT
RB Szolgáltató Központ Kft. - RBSC Kft., Nyíregyháza (HU) | 3,000,000 | HUF | 100.0% | OT
RBI Kantinenbetriebs GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
RBI PE Handels- und Beteiligungs GmbH, Vienna (AT) | 150,000 | EUR | 100.0% | FI
RBI Real Estate Services Czechia s.r.o., Prague (CZ) | 100,000 | CZK | 100.0% | OT
RBI Real Estate Services Polska SP.z.o.o., Warsaw (PL) | 400,000 | PLN | 100.0% | OT
RBI Retail Innovation LLC, Kiev (UA) | 8,241,525 | UAH | 100.0% | BR
RBI Retail Innovation SK s.r.o., Bratislava (SK) | 75,000 | EUR | 100.0% | BR
RBM Wohnbau Ges.m.b.H., Vienna (AT) | 37,000 | EUR | 100.0% | OT
RCR Ukraine LLC, Kiev (UA) | 282,699 | UAH | 100.0% | BR
RDI Czech 1 s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
RDI Czech 3 s.r.o, Prague (CZ) | 200,000 | CZK | 100.0% | OT
RDI Czech 4 s.r.o, Prague (CZ) | 2,500,000 | CZK | 100.0% | OT
RDI Czech 5 s.r.o, Prague (CZ) | 200,000 | CZK | 100.0% | OT
RDI Czech 6 s.r.o, Prague (CZ) | 3,700,000 | CZK | 100.0% | OT
RDI Management s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Real Estate Rent 4 DOO, Belgrade (RS) | 40,310 | RSD | 100.0% | OT
REF HP 1 s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Rent PO, s.r.o., Bratislava (SK) | 6,639 | EUR | 100.0% | FI
Residence Park Trebes, s.r.o., Prague (CZ) | 20,000,000 | CZK | 100.0% | OT
RIL XIII Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 100.0% | FI
R-Insurance Services sp. z o.o., Ruda O.S. (PL) | 5,000 | PLN | 100.0% | OT
RIRBRO ESTATE MANAGEMENT S.R.L., Bucharest (RO) | 1,000 | RON | 100.0% | BR
RK 60 Kft, Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
RL Leasing Gesellschaft m.b.H., Eschborn (DE) | 25,565 | EUR | 100.0% | FI
RL-BETA Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
RL-Lamda s.r.o., Bratislava (SK) | 6,639 | EUR | 100.0% | OT
RL-Opis Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
RL-Prom-Wald Sp. Z.o.o, Warsaw (PL) | 50,000 | PLN | 100.0% | OT
RLRE Carina Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
RLRE Ypsilon Property, s.r.o., Prague (CZ) | 200,000 | CZK | 100.0% | OT
Robert Károly Körút Irodaház Kft., Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
RPM Budapest KFT, Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
SASSK Ltd., Kiev (UA) | 152,322,000 | UAH | 88.7% | OT
Sazavska 826 s.r.o., Prague (CZ) | 50,000 | CZK | 90.0% | OT
Scantius Holding GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
SCT Kárász utca Ingatlankezelő Kft., Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
SCTE Elsö Ingatlanfejlesztö és Ingatlanhasznosító Kft., Budapest (HU) | 3,000,000 | HUF | 100.0% | OT
SeEnergy PT, s.r.o., Prague (CZ) | 700,000 | CZK | 100.0% | OT

Consolidated financial statements 205
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
SF Hotelerrichtungsgesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 100.0% | OT
Sky Solar Distribuce s.r.o., Prague (CZ) | 200,000 | CZK | 77.0% | OT
SOLIDA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 50.5% | FI
St. Marx-Immobilien Verwertungs- und Verwaltungs GmbH, Vienna (AT) | 36,336 | EUR | 100.0% | OT
Stara 19 s.r.o., Prague (CZ) | 200,000 | CZK | 90.0% | OT
STYRIA Immobilienleasing GmbH, Eschborn (DE) | 25,000 | EUR | 100.0% | OT
Szentkiraly utca 18 Kft., Budapest (HU) | 5,000,000 | HUF | 100.0% | OT
Tatra Leasing Broker, s.r.o., Bratislava (SK) | 6,639 | EUR | 100.0% | OT
TEG 1 Immobilienentwicklungs GmbH & Co KG, Vienna (AT) | 10,000 | EUR | 100.0% | OT
Thaumas Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Theia Property, s.r.o., Prague (CZ) | 50,000 | CZK | 100.0% | OT
Valida Consulting GmbH, Vienna (AT) | 500,000 | EUR | 100.0% | OT
Veletrzni 42 s.r.o., Prague (CZ) | 100,000 | CZK | 90.0% | OT
Vlhka 26 s.r.o., Prague (CZ) | 200,000 | CZK | 90.0% | OT
Zahradnicka Property s.r.o., Bratislava (SK) | 5,000 | EUR | 100.0% | OT
ZUNO GmbH, Vienna (AT) | 35,000 | EUR | 100.0% | OT
1 Company type: BA Bank, BR Company rendering banking-related ancillary services, FH Financial holding, FI Financial institution, OT Other companies, VV Insurance, SC Securities firms

Other equity participations

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
Accession Mezzanine Capital III L.P., St. Helier (JE) | 1,501 | EUR | 3.3% | OT
Adoria Grundstückvermietungs Gesellschaft m.b.H., St. Pölten (AT) | 36,360 | EUR | 24.5% | FI
Agricultural Open Joint Stock Company Illintsi Livestock Breeding Enterprise, Illinci (UA) | 703,100 | UAH | 4.7% | OT
AIL Swiss-Austria Leasing AG, Glattbrugg (CH) | 5,000,000 | CHF | 50.0% | FI
ALCS Association of Leasing Companies in Serbia, Belgrade (RS) | 853,710 | RSD | 12.5% | OT
Analytical Credit Rating Agency (Joint Stock Company), Moscow (RU) | 3,000,024,000 | RUB | 3.7% | OT
A-Trust GmbH, Vienna (AT) | 5,290,013 | EUR | 12.1% | OT
Austrian Reporting Services GmbH, Vienna (AT) | 41,176 | EUR | 15.0% | BR
AVION-Grundverwertungsgesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 49.0% | FI
Bad Sauerbrunn Thermalwasser Nutzungs- und Verwertungs GmbH., Bad Sauerbrunn (AT) | 36,336 | EUR | 50.0% | OT
Belarussian currency and stock exchange JSC, Minsk (BY) | 14,328,656 | BYN | <0,1% | OT
Biroul de Credit S.A., Bucharest (RO) | 4,114,615 | RON | 13.2% | FI
BTS Holding a.s. "v likvidácii", Bratislava (SK) | 35,700 | EUR | 19.0% | OT
Budapest Stock Exchange, Budapest (HU) | 541,348,100 | HUF | <0,1% | OT
CADO Raiffeisen-Immobilien-Leasing Ges.m.b.H., Vienna (AT) | 36,400 | EUR | 50.0% | OT
Central Depository and Clearing Company, Inc., Zagreb (HR) | 12,545,623 | EUR | 0.1% | FI
CIT ONE SA, Bucharest (RO) | 21,270,270 | RON | 33.3% | BR
Commodity Exchange Crimean Interbank Currency Exchange, Simferopol (UA) | 420,000 | UAH | 4.8% | OT
CONATUS Grundstückvermietungs Gesellschaft m.b.H., St. Pölten (AT) | 36,360 | EUR | 24.5% | OT
CULINA Grundstückvermietungs Gesellschaft m.b.H., St. Pölten (AT) | 36,360 | EUR | 25.0% | FI
D. Trust Certifikacná Autorita, a.s., Bratislava (SK) | 331,939 | EUR | 10.0% | OT
Die Niederösterreichische Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 35.0% | FI
Die Niederösterreichische Leasing GmbH & Co KG, Vienna (AT) | 72,673 | EUR | 40.0% | FI
Einlagensicherung AUSTRIA Ges.m.b.H., Vienna (AT) | 515,000 | EUR | 0.2% | FI
EMERGING EUROPE GROWTH FUND II, L.P., Delaware (US) | 370,000,000 | USD | 1.9% | OT
Epsilon - Grundverwertungsgesellschaft m.b.H. in Liqu., Vienna (AT) | 36,336 | EUR | 24.0% | OT
ESQUILIN Grundstücksverwaltungs Gesellschaft m.b.H., St. Pölten (AT) | 36,336 | EUR | 24.5% | FI
Euro Banking Association (ABE Clearing S.A.S.), Paris (FR) | 48,000 | EUR | 2.1% | FI
European Investment Fund S.A., Luxembourg (LU) | 7,370,000,000 | EUR | 0.1% | FI
Export and Industry Bank Inc., Makati City (PH) | 4,734,452,540 | PHP | 9.5% | BA
FORIS Grundstückvermietungs Gesellschaft m.b.H., St. Pölten (AT) | 36,360 | EUR | 24.5% | FI
G + R Leasing Gesellschaft m.b.H., Graz (AT) | 36,400 | EUR | 25.0% | FI
G + R Leasing Gesellschaft m.b.H. & Co. KG., Graz (AT) | 72,673 | EUR | 50.0% | FI
Garantiqa Hitelgarancia ZRt., Budapest (HU) | 7,839,600,000 | HUF | 0.2% | BR
Greenix Limited, Tortola (VG) | 100,000 | USD | 25.0% | OT
HOBEX AG, Salzburg (AT) | 1,000,000 | EUR | 8.5% | FI
Hrvatski registar obveza po kreditima d.o.o., Zagreb (HR) | 1,791,758 | EUR | 10.5% | BR
Joint Stock Company Stock Exchange PFTS, Kiev (UA) | 32,010,000 | UAH | 0.2% | OT
Kommunal-Infrastruktur & Immobilien Zeltweg GmbH, Zeltweg (AT) | 35,000 | EUR | 20.0% | OT

206 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
LITUS Grundstückvermietungs Gesellschaft m.b.H., St. Pölten (AT) | 36,360 | EUR | 24.5% | FI
Lorit Kommunalgebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 42,000 | EUR | 8.3% | FI
MASTERINVEST Kapitalanlage GmbH, Vienna (AT) | 2,500,000 | EUR | 37.5% | FI
MAZ-Kupava, Minsk (BY) | 4,000 | BYN | 7.6% | OT
Medicur - Holding Gesellschaft m.b.H., Vienna (AT) | 4,360,500 | EUR | 25.0% | OT
Minsk shoe open joint-stock company "Luch", Minsk (BY) | 9,002,918 | BYN | 5.2% | OT
MIRA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 50.0% | FI
Monilogi s.r.o., Bratislava (SK) | — | EUR | 26.0% | OT
National Settlement Depositary, Moscow (RU) | 1,180,675,000 | RUB | <0,1% | FI
NÖ Raiffeisen Kommunalprojekte Service Gesellschaft m.b.H., Vienna (AT) | 50,000 | EUR | 26.0% | FI
NÖ Raiffeisen-Leasing Gemeindeprojekte Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 1.0% | FI
NÖ. HYPO Leasing und Raiffeisen-Immobilien-Leasing Traisenhaus GesmbH & Co OG, St. Pölten (AT) | 24,868,540 | ATS | 50.0% | OT
NÖ-KL Kommunalgebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 37,400 | EUR | 33.3% | FI
Oberpinzg. Fremdenverkehrförderungs- und Bergbahnen AG, Neukirchen am Großvenediger (AT) | 3,297,530 | EUR | <0,1% | OT
OJSC NBFI Single Settlement and Information Space, Minsk (BY) | 474,917,123,425 | BYN | 4.2% | FI
Open Joint Stock Company Kyiv Special Project and Design Bureau Menas, Kiev (UA) | 3,383,218 | UAH | 4.7% | OT
Orpea S.A, Puteaux Cedex (FR) | 646,291,571 | EUR | 0.6% | OT
Österreichische Raiffeisen-Sicherungseinrichtung eGen, Vienna (AT) | 121,200 | EUR | 8.7% | FI
Österreichische Wertpapierdaten Service GmbH, Vienna (AT) | 100,000 | EUR | 25.3% | BR
Pisano Limited, London (GB) | 4,041 | GBP | 17.6% | OT
Private Joint Stock Company Bird Farm Bershadskyi, Viytivka (UA) | 6,691,141 | UAH | 0.5% | OT
Private Joint Stock Company First All-Ukrainian Credit Bureau, Kiev (UA) | 11,750,000 | UAH | 5.1% | OT
Private Joint Stock Company Sumy Enterprise Agrotechservice, Sumy (UA) | 1,545,000 | UAH | 0.6% | OT
Private Joint Stock Company Ukrainian Interbank Currency Exchange, Kiev (UA) | 36,000,000 | UAH | 3.1% | OT
PSA Payment Services Austria GmbH, Vienna (AT) | 285,000 | EUR | 11.2% | FI
Public Joint Stock Company National Depositary of Ukraine, Kiev (UA) | 103,200,000 | UAH | 0.1% | BR
Public Joint Stock Company Settlement Center for Servicing of Contracts in Financial Markets, Kiev (UA) | 206,700,000 | UAH | <0,1% | OT
QUIRINAL Grundstücksverwaltungs Gesellschaft m.b.H., Vienna (AT) | 37,063 | EUR | 33.3% | FI
Raiffeisen Continuum GmbH, Vienna (AT) | 100,000 | EUR | 14.3% | OT
Raiffeisen Digital GmbH, Vienna (AT) | 75,000 | EUR | 1.2% | BR
Raiffeisen e-force GmbH, Vienna (AT) | 145,346 | EUR | 28.2% | BR
Raiffeisen Informatik Geschäftsführungs GmbH, Vienna (AT) | 70,000 | EUR | 47.6% | BR
Raiffeisen Kooperations eGen, Vienna (AT) | 9,000,000 | EUR | 11.1% | OT
Raiffeisen Salzburg Leasing GmbH, Salzburg (AT) | 35,000 | EUR | 19.0% | FI
Raiffeisen Software GmbH, Linz (AT) | 150,000 | EUR | 1.2% | BR
RAIFFEISEN-HOLDING NIEDERÖSTERREICH-WIEN registrierte Genossenschaft mit beschränkter Haftung, Vienna (AT) | 96,391,536 | EUR | <0,1% | BA
Raiffeisen-IMPULS-Liegenschaftsverwaltung Gesellschaft m.b.H., Linz (AT) | 500,000 | ATS | 25.0% | FI
Raiffeisen-Impuls-Zeta Immobilien GmbH, Linz (AT) | 58,333 | EUR | 40.0% | FI
Raiffeisenlandesbank Kärnten - Rechenzentrum und Revisionsverband, registrierte Genossenschaft mit beschränkter Haftung, Klagenfurt (AT) | 6,715,500 | EUR | <0,1% | BA
Raiffeisen-Landesbank Tirol AG, Rum (AT) | 90,850,000 | EUR | <0,1% | BA
Raiffeisen-Leasing BOT s.r.o., Prague (CZ) | 100,000 | CZK | 20.0% | OT
Raiffeisen-Leasing Mobilien und KFZ GmbH, Vienna (AT) | 35,000 | EUR | 15.0% | FI
Registry of Securities in FBH, Sarajevo (BA) | 2,052,300 | BAM | 1.4% | BR
Rehazentrum Kitzbühel Immobilien-Leasing GmbH, Innsbruck (AT) | 35,000 | EUR | 19.0% | FI
REMUS Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 50.0% | FI
RLB Holding eGen OÖ, Linz (AT) | 1,566,758 | EUR | <0,1% | FI
RLKG Raiffeisen-Leasing GmbH, Vienna (AT) | 40,000 | EUR | 12.5% | FI
RSAL Raiffeisen Steiermark Anlagenleasing GmbH, Graz (AT) | 38,000 | EUR | 19.0% | FI
RSC Raiffeisen Service Center GmbH, Vienna (AT) | 2,000,000 | EUR | 50.3% | BR
RSIL Immobilienleasing Raiffeisen Steiermark GmbH, Graz (AT) | 38,000 | EUR | 19.0% | FI
S.C. DEPOZITARUL CENTRAL S.A., Bucharest (RO) | 25,291,953 | RON | 2.6% | OT
Sarajevska berza-burza vrijednosnih papira dd Sarajevo, Sarajevo (BA) | 1,967,680 | BAM | 10.5% | FI
Seilbahnleasing GmbH, Innsbruck (AT) | 36,000 | EUR | 33.3% | OT
SELENE Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Innsbruck (AT) | 36,400 | EUR | 1.0% | OT
SKR Lager 102 AB, Stockholm (SE) | 100,000 | SEK | 49.0% | OT
Slovak Banking Credit Bureau, s.r.o., Bratislava (SK) | 9,958 | EUR | 33.3% | BR
Societatea de Transfer de Fonduri si Decontari-TRANSFOND S.A, Bucharest (RO) | 6,720,000 | RON | 3.4% | FI
Society for Worldwide Interbank Financial Telekommunication scrl, La Hulpe (BE) | 638,483,100 | EUR | 0.4% | FI
SPICA Raiffeisen-Immobilien-Leasing Gesellschaft m.b.H., Vienna (AT) | 36,400 | EUR | 50.0% | FI

Consolidated financial statements 207
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Company, domicile (country) | Subscribed capital | in local currency | Share | Type 1
Steirische Gemeindegebäude Leasing Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 50.0% | FI
Steirische Kommunalgebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 25.0% | FI
Steirische Leasing für Gebietskörperschaften Ges.m.b.H., Vienna (AT) | 36,336 | EUR | 50.0% | FI
Steirische Leasing für öffentliche Bauten Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 50.0% | OT
SWO Kommunalgebäudeleasing Gesellschaft m.b.H., Vienna (AT) | 36,336 | EUR | 50.0% | FI
Syrena Immobilien Holding AG, Spittal an der Drau (AT) | 22,600,370 | EUR | 21.0% | OT
Tarfin Limited, London (GB) | 13,958,993 | GBP | 5.7% | OT
The Zagreb Stock Exchange joint stock company, Zagreb (HR) | 46,357,000 | EUR | 2.9% | OT
TKL II. Grundverwertungsgesellschaft m.b.H., Vienna (AT) | 39,000 | EUR | 8.3% | OT
TKL V Grundverwertungsgesellschaft m.b.H., Innsbruck (AT) | 39,000 | EUR | 33.3% | OT
TKL VI Grundverwertungsgesellschaft m.b.H., Innsbruck (AT) | 39,000 | EUR | 33.3% | FI
TKL VII Grundverwertungsgesellschaft m.b.H., Innsbruck (AT) | 39,000 | EUR | 33.3% | FI
TKL VIII Grundverwertungsgesellschaft m.b.H., Innsbruck (AT) | 39,000 | EUR | 24.5% | FI
Tojon Beteiligungs GmbH, Vienna (AT) | 70,000 | EUR | 25.0% | OT
Top Vorsorge-Management GmbH, Vienna (AT) | 35,000 | EUR | 50.0% | OT
TRABITUS Grundstücksvermietungs Gesellschaft m.b.H., Vienna (AT) | 36,360 | EUR | 25.0% | OT
VALET-Grundstücksverwaltungs Gesellschaft m.b.H., St. Pölten (AT) | 36,360 | EUR | 24.5% | FI
vc trade GmbH, Frankfurt am Main (DE) | 40,688 | EUR | 9.5% | BR
VERMREAL Liegenschaftserwerbs- und -betriebs GmbH, Vienna (AT) | 36,336 | EUR | 17.0% | OT
Visa Inc., San Francisco (US) | 192,981 | USD | <0,1% | BR
Vorarlberger Kommunalgebäudeleasing Gesellschaft m.b.H. in Liqu., Dornbirn (AT) | 42,000 | EUR | 33.3% | OT
W 3 Errichtungs- und Betriebs-Aktiengesellschaft, Vienna (AT) | 800,000 | EUR | 20.0% | OT
Wiener Börse Aktiengesellschaft, Vienna (AT) | 18,620,720 | EUR | 7.0% | OT
Zhytomyr Commodity Agroindustrial Exchange, Zhitomir (UA) | 476,515 | UAH | 3.1% | OT
Ziloti Holding S.A., Luxembourg (LU) | 48,963 | EUR | 0.9% | OT
1 Company type: BA Bank, BR Company rendering banking-related ancillary services, FH Financial holding, FI Financial institution, OT Other companies, VV Insurance, SC Securities firms

208 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Regulatory information
(61) Capital management and total capital according to CRR/CRD IV and
Austrian Banking Act (BWG)
RBI is subject to the own funds requirements in accordance with Article 92 CRR and the combined capital buffer requirement in
accordance with the provisions of the BWG. For RBI, the combined capital buffer requirement currently includes a capital
conservation buffer (§ 22 BWG), a systemic risk buffer (§ 23e BWG), a capital buffer for systemically important institutions
(§ 23d BWG) and a countercyclical capital buffer (§ 23a BWG). A violation of the combined capital buffer requirement would
potentially lead to restrictions on, for example, dividend distributions and coupon payments for certain capital instruments.
In addition, based on the Supervisory Review and Evaluation Process (SREP) carried out annually, ECB currently requires RBI to
hold additional capital to cover those risks that are not or not adequately covered under Pillar 1. The so-called Pillar 2 Capital
Requirement (P2R) of 2.80 per cent (31 December 2023: 2.58 per cent) is determined based on the assessment of the business
model, the assessment of governance and risk management, the assessment of risks to capital and the assessment of risks to
liquidity and financing. Based on ECB's final decision, this requirement must be complied with only at the consolidated level of
RBI as of January 1, 2024. In addition, the ECB expects the Pillar 2 Guidance (P2G) of 1.25 per cent to also be adhered to at the
consolidated level.
In principle, national supervisors can implement the systemic risk buffer (up to 3 per cent), the capital buffer for systemically
important institutions (up to 3 per cent) and the countercyclical capital buffer (up to 2.5 per cent). The Financial Market Stability
Board (FMSB), which is responsible in Austria, has recommended that the Austrian Financial Market Authority (FMA) prescribes a
systemic risk buffer (SyRP) for certain banks, including RBI. In addition, a capital buffer was also recommended for certain
systemically important banks (O-SII buffer), including RBI. Both buffers were put into force by the FMA via the Capital Buffer
Regulation (Kapitalpuffer-Verordnung). For RBI the SyRP was set at 1 per cent and the O-SII buffer at 1.25 per cent on
consolidated level. From January 1, 2024, the SyRP is set at 1 per cent at the consolidated level and 0.50 per cent at the
unconsolidated level, the O-SII buffer is set at 1.75 per cent at the consolidated level and 0.50 per cent at the unconsolidated
level. Furthermore a capital conservation buffer of 2.5 per cent must be adhered to.
The determination of the countercyclical capital buffer is also the responsibility of national supervisors and results at RBI level
in a weighted average based on the country distribution of the business. This buffer was set at 0 per cent in Austria. At its 39th
meeting on 11 December 2023, the FMSB recommended the countercyclical capital buffer to be maintained further at 0 per
cent. In addition, those buffer rates that have been set in other member states are included at RBI level and considered based
on a weighted average calculation in the capital requirements. In RBI, the countercyclical capital buffer amounts to
0.65 per cent.
The capital requirements applicable throughout the year were continuously complied with. In total, there was a requirement
for the CET1 ratio (including the combined capital buffer requirement) of 11.33 per cent for RBI as at 31 December 2023 and
considering P2G, this means a quota of 12.58 per cent to be adhered to. As of January 1, 2024, the requirement for the CET1
ratio increases by 39 basis points to 11.72 per cent and considering P2G, the quota to be adhered to is 12.98 per cent for RBI.
Any expected regulatory changes or developments are continuously monitored, presented, and analyzed in scenario
calculations. Potential effects are considered in planning and control, provided that the extent and implementation are
foreseeable.
Consolidated financial statements 209
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Total capital
The following consolidated figures have been calculated in accordance with the provisions of the Capital Requirements
Regulation (CRR) and other statutory provisions such as the Implementing Technical Standards (ITS) of the European Banking
Authority (EBA).

in € million | 2023 | 2022
Capital instruments and the related share premium accounts | 5,990 | 5,991
Retained earnings | 13,518 | 10,482
Accumulated other comprehensive income (and other reserves) | (5,046) | (3,974)
Minority interests (amount allowed in consolidated CET1) | 695 | 607
Common equity tier 1 (CET1) capital before regulatory adjustments | 17,028 | 16,442
Additional value adjustments (negative amount) | (66) | (93)
Deductions for new net provisioning | 0 | 0
Intangible assets (net of related tax liability) (negative amount) | (620) | (605)
Deferred tax assets that rely on future profitability excluding those arising from temporary differences (net of related tax liability where the conditions in Article 38 (3) are met) (negative amount) | (12) | (23)
Fair value reserves related to gains or losses on cash flow hedges | 52 | 51
Negative amounts resulting from the calculation of expected loss amounts | 0 | 0
Gains or losses on liabilities valued at fair value resulting from changes in own credit standing | (9) | (4)
Direct and indirect holdings by an institution of own CET1 instruments (negative amount) | (20) | (20)
Exposure amount of the following items which qualify for a risk weight of 1250%, where the institution opts for the deduction alternative | (52) | (30)
hereof: securitization positions (negative amount) | (52) | (30)
Other regulatory adjustments | (97) | (74)
Total regulatory adjustments to common equity tier 1 (CET1) | (825) | (799)
Common equity tier 1 (CET1) capital | 16,203 | 15,643
Capital instruments and the related share premium accounts | 1,669 | 1,675
Amount of qualifying items referred to in Article 484 (4) and the related share premium accounts subject to phase out from AT1 | 0 | 0
Qualifying tier 1 capital included in consolidated AT1 capital (including minority interests not included in row 5) issued by subsidiaries and held by third parties | 41 | 34
Total regulatory adjustments to Additional Tier 1 (AT1) capital | (33) | (33)
Additional tier 1 (AT1) capital | 1,677 | 1,676
Tier 1 capital (T1 = CET1 + AT1) | 17,881 | 17,319
Capital instruments and the related share premium accounts | 2,244 | 2,362
Qualifying own funds instruments included in consolidated T2 capital (including minority interests and AT1 instruments not included in rows 5 or 34) issued by subsidiaries and held by third parties | 29 | 51
Credit risk adjustments | 253 | 282
Total regulatory adjustments to Tier 2 (T2) capital | (239) | (312)
Tier 2 (T2) capital | 2,287 | 2,383
Total capital (TC = T1 + T2) | 20,168 | 19,702
Total risk-weighted assets (RWA) | 93,664 | 97,680

210 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Total capital requirement and risk-weighted assets

in € million | 2023 | 2022
| Risk-weighted exposure | Capital requirement | Risk-weighted exposure | Capital requirement
Total risk-weighted assets (RWA) | 93,664 | 7,493 | 97,680 | 7,814
Risk-weighted exposure amounts for credit, counterparty credit and dilution risks and free deliveries | 68,068 | 5,445 | 76,208 | 6,097
Standardized approach (SA) | 25,966 | 2,077 | 29,196 | 2,336
Exposure classes excluding securitization positions | 25,966 | 2,077 | 29,196 | 2,336
Central governments or central banks | 5,285 | 423 | 2,666 | 213
Regional governments or local authorities | 119 | 10 | 128 | 10
Public sector entities | 124 | 10 | 16 | 1
Institutions | 188 | 15 | 241 | 19
Corporates | 6,412 | 513 | 7,274 | 582
Retail | 5,131 | 410 | 6,823 | 546
Secured by mortgages on immovable property | 3,249 | 260 | 6,461 | 517
Exposure in default | 548 | 44 | 635 | 51
Items associated with particular high risk | 56 | 4 | 233 | 19
Covered bonds | 0 | 0 | 4 | 0
Collective investments undertakings (CIU) | 81 | 6 | 66 | 5
Equity interests | 1,620 | 130 | 1,537 | 123
Other items | 3,116 | 249 | 3,112 | 249
Internal ratings based approach (IRB) | 42,102 | 3,368 | 47,012 | 3,761
IRB approaches when neither own estimates of LGD nor conversion factors are used | 32,526 | 2,602 | 38,960 | 3,117
Central governments or central banks | 0 | 0 | 2,657 | 213
Institutions | 3,014 | 241 | 3,111 | 249
Corporates - SME | 2,767 | 221 | 3,375 | 270
Corporates - Specialized lending | 4,299 | 344 | 3,827 | 306
Corporates - Other | 22,446 | 1,796 | 25,991 | 2,079
IRB approaches when own estimates of LGD and/or conversion factors are used | 8,616 | 689 | 7,302 | 584
Retail - Secured by real estate SME | 101 | 8 | 72 | 6
Retail - Secured by real estate non-SME | 3,433 | 275 | 3,057 | 245
Retail - Qualifying revolving | 569 | 46 | 423 | 34
Retail - Other SME | 367 | 29 | 376 | 30
Retail - Other non-SME | 4,146 | 332 | 3,374 | 270
Equity interests | 661 | 53 | 409 | 33
Simple risk weight approach | 0 | 0 | 0 | 0
Other equity exposure | 0 | 0 | 0 | 0
PD/LGD approach | 0 | 0 | 0 | 0
Other non-credit obligation assets | 300 | 24 | 341 | 27

Consolidated financial statements 211
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € million | 2023 | 2022
| Risk-weighted exposure | Capital requirement | Risk-weighted exposure | Capital requirement
Total risk exposure amount for settlement/delivery | 21 | 2 | 19 | 1
Settlement/delivery risk in the non-trading book | 0 | 0 | 0 | 0
Settlement/delivery risk in the trading book | 21 | 2 | 19 | 1
Total risk exposure amount for position, foreign exchange and commodities risk | 8,573 | 686 | 6,889 | 551
Risk exposure amount for position, foreign exchange and commodities risks under standardized approaches (SA) | 7,270 | 582 | 5,634 | 451
Traded debt instruments | 917 | 73 | 962 | 77
Equity interests | 58 | 5 | 74 | 6
Particular approach for position risk in CIUs | 1 | 0 | 1 | 0
Foreign exchange | 6,292 | 503 | 4,591 | 367
Commodities | 2 | 0 | 6 | 0
Risk exposure amount for position, foreign exchange and commodities risks under internal models (IM) | 1,303 | 104 | 1,255 | 100
Total risk exposure amount for operational risk | 14,786 | 1,183 | 12,667 | 1,013
OpR standardized (STA) /alternative standardized (ASA) approaches | 14,786 | 1,183 | 12,667 | 1,013
OpR advanced measurement approaches (AMA) | 0 | 0 | 0 | 0
Total risk exposure amount for credit valuation adjustments | 201 | 16 | 280 | 22
Standardized method | 201 | 16 | 280 | 22
Other risk exposure amounts | 2,015 | 161 | 1,618 | 129
of which risk-weighted exposure amounts for credit risk: securitization positions (revised securitization framework) | 2,015 | 161 | 1,618 | 129

Regulatory capital ratios

in per cent | 2023 | 2022
Common equity tier 1 ratio (transitional) | 17.3 % | 16.0 %
Common equity tier 1 ratio (fully loaded) | 17.0 % | 15.6 %
Tier 1 ratio (transitional) | 19.1 % | 17.7 %
Tier 1 ratio (fully loaded) | 18.8 % | 17.3 %
Total capital ratio (transitional) | 21.5 % | 20.2 %
Total capital ratio (fully loaded) | 21.4 % | 20.0 %

Leverage ratio
The leverage ratio is defined in Part 7 of the CRR. As at 31 December 2023, there is a mandatory quantitative requirement of
3 per cent:

in € million | 2023 | 2022
Leverage exposure | 229,189 | 235,640
Tier 1 | 17,881 | 17,319
Leverage ratio in per cent (transitional) | 7.8 % | 7.3 %
Leverage ratio in per cent (fully loaded) | 7.7 % | 7.1 %

212 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Overview of the calculation methods that are applied to determine total capital requirements in the subsidiaries:

| Credit risk | Market risk | Operational risk
Unit | Non-Retail | Retail |  |
Raiffeisen Bank International AG, Vienna (AT) | IRB | STA | Internal model, STA | STA
Raiffeisenbank a.s., Prague (CZ) | IRB | IRB | STA | STA
Raiffeisen Bank Zrt., Budapest (HU) | IRB | IRB | STA | STA
Tatra banka a.s., Bratislava (SK) | IRB | IRB | STA | STA
Raiffeisen Bank S.A., Bucharest (RO) | IRB | IRB | STA | STA
Raiffeisen Bank d.d. Bosna i Hercegovina, Sarajevo (BA) | IRB | IRB | STA | STA
Raiffeisenbank Austria d.d., Zagreb (HR) | IRB | STA | STA | STA
Raiffeisen Banka a.d., Novi Beograd (RS) | IRB | IRB | STA | STA
AO Raiffeisenbank, Moscow (RU) | IRB | STA | STA | STA
Raiffeisen Bank Sh.a., Tirana (AL) | IRB | IRB | STA | STA
Kathrein Privatbank Aktiengesellschaft, Vienna (AT) | STA | STA | n/a | STA
Raiffeisen Bausparkasse Gesellschaft m.b.H., Vienna (AT) | IRB | IRB | STA | STA
All other units | STA | STA | STA | STA

IRB: Internal Ratings Based Approach
Internal model for open currency position risks and general interest rate risk in the trading book
STA: Standardized Approach
Consolidated financial statements 213
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Key figures
Alternative Performance Measures (APM)
The Group uses alternative performance measures in its financial reporting, not defined by IFRS or CRR regulations, to describe
RBI Group's financial position and performance. These should not be viewed in isolation but treated as supplementary
information.
These key figures are often used in the financial sector to analyze and describe the earnings and financial position. The special
items used below to calculate some alternative performance measures arise from the nature of Group’s business, i.e. that of a
universal banking group. However, it is to mention that the definitions mostly vary between companies. Please find the
definitions of these ratios below.
Consolidated return on equity – Consolidated profit less dividend on additional tier 1 capital in relation to average
consolidated equity (i.e. the equity attributable to the shareholders of RBI). Average consolidated equity is based on month-end
figures excluding non-controlling interests and does not include current year profit.
Cost/income ratio is an economic metric and shows the company’s costs in relation to its income. The ratio gives a clear view
of operational efficiency. Banks use the cost/income ratio as an efficiency measure for steering the bank and for easily
comparing its efficiency with other financial institutions. General administrative expenses in relation to operating income
(before impairment) are calculated for the cost/income ratio. General administrative expenses comprise staff expenses, other
administrative expenses, and depreciation/amortization of intangible and tangible fixed assets. Operating income comprises
net interest income, dividend income, current income from investments in associates, net fee and commission income, net
trading income and fair value result, net gains/losses from hedge accounting and other net operating income.
Effective tax rate (ETR) – Relation of income tax expense to profit before tax. The effective tax rate differs from the
company’s jurisdictional tax rate due to many accounting factors and enables a better comparison among companies. The
effective tax rate of a company is the average rate at which its pre-tax profits are taxed. It is calculated by dividing total tax
expense (income taxes) by profit before tax. Total tax expense includes current income taxes and deferred taxes.
Loan/deposit ratio is used to assess a bank’s liquidity. It is calculated with loans to non-financial corporations and households
in relation to deposits from non-financial corporations and households.
Net interest margin is used for external comparison with other banks as well as an internal profitability measurement of
products and segments. It is calculated with net interest income set in relation to average interest-bearing assets (total assets
less investments in subsidiaries and associates, tangible fixed assets, intangible fixed assets, tax assets and other assets).
NPE – Non-performing exposure – It contains all non-performing loans and debt securities according to the applicable
definition of the EBA document Implementing Technical Standards (ITS) on Supervisory Reporting (Forbearance and non-
performing exposures).
NPL – Non-performing loans – It contains all non-performing loans according to the applicable definition of the EBA
document Implementing Technical Standards (ITS) on Supervisory Reporting (Forbearance and non-performing exposures).
NPE ratio is an economic ratio to demonstrate the proportion of non-performing loans and debt securities in relation to the
entire loan portfolio of customers and banks, and debt securities. The ratio reflects the quality of the loan portfolio of the bank
and provides an indicator for the performance of the bank’s credit risk management.
NPL ratio is an economic ratio to demonstrate the proportion of non-performing loans in relation to the entire loan portfolio to
customers and banks. The ratio reflects the quality of the loan portfolio of the bank and provides an indicator for the
performance of the bank’s credit risk management.
NPE coverage ratio describes to which extent non-performing loans and debt securities have been covered by impairments
(Stage 3) thus expressing the ability of a bank to absorb losses from its NPE. It is calculated with impairment losses on loans to
customers and banks and on debt securities set in relation to non-performing loans to customers and banks and debt
securities.
NPL coverage ratio describes to which extent non-performing loans have been covered by impairments (Stage 3) thus
expressing the ability of a bank to absorb losses from its NPL. It is calculated with impairment losses on loans to customers
and banks set in relation to non-performing loans to customers and banks.
214 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Operating result is used to describe the operative performance of a bank for the reporting period. It consists of operating
income less general administrative expenses.
Operating income – They are primarily income components of the ongoing business operations (before impairment). It
comprises net interest income, dividend income, current income from investments in associates, net fee and commission
income, net trading income and fair value result, net gains/losses from hedge accounting and other net operating income.
Provisioning ratio is an indicator for development of risk costs and provisioning policy of an enterprise. It is computed by
dividing impairment or reversal of impairment on financial assets (customer loans) by average customer loans.
Return on assets (ROA before/after tax) is a profitability ratio and measures how efficiently a company can manage its
assets to produce profits during a period. It is computed by dividing profit before tax/after tax by average assets (based on
total assets, average means the average of year-end figure and the relevant month´s figures).
Return on equity (ROE before/after tax) provides a profitability measure for both management and investors by expressing
the profit for the period as presented in the income statement as a percentage of the respective underlying (either equity or
total assets). Return on equity demonstrates the profitability of the bank on the capital invested by its shareholders and thus
the success of their investment. Return on equity is a useful measure to easily compare the profitability of a bank with other
financial institutions. Return on the total equity including non-controlling interests, i.e. profit before tax respectively after tax in
relation to average equity on the statement of financial position. Average equity is calculated on month-end figures including
non-controlling interests and does not include current year profit.
Return on risk-adjusted capital (RORAC) is a ratio of a risk-adjusted performance management and shows the yield on the
risk-adjusted capital (economic capital). The return on risk-adjusted capital is computed by dividing consolidated profit by the
risk-adjusted capital (i.e. average economic capital). This capital requirement is calculated within the economic capital model
for credit, market, and operational risk.
Total capital specific key figures
Common equity tier 1 ratio – Common equity tier 1 as a percentage of total risk-weighted assets (RWA) according to CRR/CRD
IV regulation.
Leverage ratio – The ratio of tier 1 capital to all exposures on and off the statement of financial position insofar as they are
not deducted when determining the capital measurand. The calculation is in accordance with the methodology set out in CRD
IV.
Total risk-weighted assets (RWA) – Risk-weighted assets (credit risk, CVA risk) including market risk and operational risk.
Tier 1 ratio – Tier 1 capital to total risk-weighted assets (RWA).
Total capital ratio – Total capital as a percentage of total risk-weighted assets (RWA).
Consolidated financial statements 215
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· List of abbreviations
AI Artificial Intelligence
BP Basis Points
BWG Austrian Banking Act (Bankwesengesetz)
CDS Credit Default Swap
CE Central Europe
CEE Central and Eastern Europe
CET 1 Common Equity Tier 1
CIB Corporate and Investment Banking
CoE Cost of Equity
CRR Capital Requirements Regulation
DCF Discounted Cash-Flow
EAD Exposure at Default
EBA European Banking Authority
ECL Expected Credit Losses
EE Eastern Europe
ECB European Central Bank
ESAEG Deposit Protection and Investor Compensation Act
(Einlagensicherungs- und
Anlegerentschädigungsgesetz)
ESG Environmental, Social and Governance
EVI Electronic Disclosure and Information Platform
FMA Financial Market Authority
FMSB Financial Market Stability Board
GDP Gross Domestic Product
HQLA High Quality Liquid Assets
IAS/IFRS International Accounting Standards/International
Financial Reporting Standards
IBOR Interbank Offered Rate
IPS Institutional Protection Scheme
IRB Internal Ratings Based
ITS Implementing Technical Standards
LCR Liquidity Coverage Ratio
LGD Loss Given Default
MREL Minimum Requirement for Own Funds and Eligible
Liabilities
NGEU NextGenerationEU-Fonds
NPE Non-Performing Exposure
NPL Non-Performing Loans
NSFR Net Stable Funding Ratio
OTC Over The Counter
PD Past Due
PEPP Pandemic Emergency Purchase Programme
POCI Purchased or Originated Credit Impaired
RBI Raiffeisen Bank International Group
RBI AG Raiffeisen Bank International Aktiengesellschaft
RWA Risk-Weighted Assets
RORAC Return on Risk Adjusted Capital
SA Standardized Approach
SA-CCR Standardized Approach to Counterparty Credit Risk
SEE Southeastern Europe
SICR Significant Increase in Credit Risk
SIRP Special Interest Rate Period
SRB Systemic Risk Buffer
SREP Supervisory Review and Evaluation Process
TLTRO Targeted Longer-Term Refinancing Operations
UNEP FI UN Environment Programme Finance Initiative
VaR Value-at-Risk
WACC Weighted Average Cost of Capital
216 Consolidated financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Events after the reporting
date
There were no significant events after the reporting date.
.
Qualified electronically signed by:
Vienna, 12 February 2024
The Management Board

Johann Strobl m.p. | Marie-Valerie Brunner m.p.
Andreas Gschwenter m.p. | Łukasz Januszewski m.p.
Hannes Mösenbacher m.p. | Andrii Stepanenko m.p.

Consolidated financial statements 217
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Statement of all legal
representatives
We confirm to the best of our knowledge that the consolidated financial statements give a true and fair view of the assets,
liabilities, financial position and profit or loss of the Group as required by the applicable accounting standards and that the
Group management report gives a true and fair view of the development and performance of the business and the position of
the Group, together with a description of the principal risks and uncertainties the Group faces.
Qualified electronically signed by:
Vienna, 12 February 2024
The Management Board

Johann Strobl m.p. | Marie-Valerie Brunner m.p.
Andreas Gschwenter m.p. | Łukasz Januszewski m.p.
Hannes Mösenbacher m.p. | Andrii Stepanenko m.p.

218 Statement of all legal representatives
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Independent Auditor's
Report
Report on the Audit of the Consolidated Financial Statements
Opinion
We have audited the consolidated financial statements of Raiffeisen Bank International AG, Vienna, and its subsidiaries (the
Group), which comprise the statement of financial position as at 31 December 2023, the statement of comprehensive income,
the statement of changes in equity and the statement of cash flows for the financial year then ended, and notes to the
consolidated financial statements.
In our opinion, the accompanying consolidated financial statements comply with legal requirements and give a true and fair
view of the financial position of the Group as at 31 December 2023, and of its consolidated financial performance and
consolidated cash flows for the year then ended in accordance with International Financial Reporting Standards (IFRS) as
adopted by the EU and the additional requirements under section 245a UGB (Austrian Commercial Code) and the Austrian
Banking Act.
Basis for Opinion
We conducted our audit in accordance with the Regulation (EU) No. 537/2014 and the Austrian Standards on Auditing. Those
standards require the application of the International Standards on Auditing (ISAs). Our responsibilities under those standards
are further described in the Auditors' Responsibilities for the Audit of the Consolidated Financial Statements section of our
report. We are independent of the Group in accordance with laws and regulations applicable in Austria and we have fulfilled
our other professional responsibilities in accordance with these requirements. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the
consolidated financial statements of the current period. These matters were addressed in the context of our audit of the
consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters.
1. Expected credit losses for loans and advances to non-financial corporations and households
2. Adequacy of “provision” for foreign currency loans in the branch in Poland
1. Expected credit losses for loans and advances to non-financial corporations and
households
Description and Issue
Loans and advances to non-financial corporations and households are reported under the balance sheet item "Financial assets
- amortized cost" with an amount of EUR 86.2 billion after deduction of valuation allowances of EUR 2.7 billion. Loans and
advances to non-financial corporations are EUR 47.0 billion and loans and receivables to households are EUR 39.2 billion.
The Management Board describes the process for monitoring credit risk and the procedure for determining impairment losses
in Note 31 “Expected credit losses” and Note 42 “Credit risk” in the Notes.
Calculations of expected credit losses for individually significant exposures in default are based on losses determined for
various weighted scenarios. These are determined by the assessment of the economic situation and development of the
respective customer, the valuation of collateral, and the estimate of the amount and timing of the recoveries derived from
Independent Auditor's Report 219
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
these. The allowances for defaulted, individually non-significant receivables are determined on the basis of common risk
characteristics. The valuation parameter are based on statistical data as well as assumptions about future developments.
For not defaulted receivables, the expected credit loss for the next twelve months or – in case of a significant increase in credit
risk since initial recognition – for the entire remaining lifetime is recognized (Stage 1 and Stage 2).
Significant estimates and assumptions are required in determining the expected credit loss. These include rating-based
probabilities of default, the expected development of the outstanding amount at the time of default and loss rates. The
estimates take into account current and forward-looking information.
If the input parameters, assumptions and modelling do not cover all relevant risk factors, the Bank will temporarily use post-
model adjustments and adjustments for other risk factors.
The calculation of expected credit losses and the additional provisions from the post-model adjustments and the adjustments
for other risk factors are based on assumptions and estimates that give rise to significant uncertainties with regard to the
amount of the expected credit losses. Therefore, we have determined the expected credit losses for loans and advances to
non-financial corporations and households as a key audit matter.
Our response
In testing expected credit losses for loans and advances to non-financial corporations and households, we performed the
following significant audit procedures:
▪ We assessed the methodologies used to determine expected credit losses and their compliance with IFRS.
▪ We analyzed the documentation of the processes of monitoring loans and risk provisioning, and critically assessed
whether these processes are suitable for identifying loan losses and adequately reflecting the recoverability of
exposures. We also assessed the processes and tested key controls regarding their design and implementation,
including the relevant IT systems, and tested their effectiveness on a sample basis.
▪ By performing analytical audit procedures, we examined the development of receivables with regard to the key
characteristics relevant to the classification of the loan, such as quality, type of care, rating and level allocation
throughout the year and in comparison with the previous year.
▪ We tested individual exposures selected on the basis of a sample determined according to risk criteria. For defaulted
loans, we assessed the Bank's estimates of the amount and timing of recoveries, taking into account collateral, and
examined whether the assumptions used in the calculation were appropriate and derivable from internal or external
evidence. For non-defaulted loans, we examined whether indicators of default exist.
▪ In order to assess the appropriateness of the expected credit losses for non-defaulted loans (Stage 1 and Stage 2),
we examined the plausibility of assumptions and the statistical/mathematical appropriateness of the models used,
as well as the proper application of the models. In particular, we examined the assumptions in connection with
forward-looking information and post-model adjustments and adjustments for other risk factors. Furthermore, we
examined the appropriateness of the assumptions “probability of default”, “loss given default” and the level
allocation model, taking into account the results of the bank's internal validations, and reperformed selected
calculation steps. In addition, IT specialists tested the effectiveness of key automated controls of the IT systems
relevant for the calculation.
▪ Finally, we assessed whether the disclosures in the notes to the consolidated financial statements regarding the
calculation of expected credit losses and the significant assumptions and estimation uncertainties are appropriate.
2. Adequacy of “provisions” for foreign currency loans of the branch in Poland
Description and Issue
As at December 31, 2023, the Bank has recorded in total a “provision” in connection with foreign currency loans of the branch in
Poland in the amount of EUR 1.652 million.
The bank describes the legal risk, the procedure for determining the “provision” and related uncertainties in the chapter
“Poland” in Note 46 “Pending legal issues” of the notes to the consolidated financial statements.
Due to the lack of clear answers by the competent courts, including the supreme courts, and the necessary assumptions about
the future behavior of borrowers and former borrowers, there are considerable estimation uncertainties and scope for
judgment in determining the amount of the “provision”, which is why we have determined the adequacy of the “provision” for
foreign currency loans of the branch in Poland to be a key audit matter.
Our Response
220 Independent Auditor's Report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In particular, we performed the following audit procedures in testing the adequacy of the “provision”:
▪ We assessed the Bank's processes and controls for determining the provision, including the key controls applied, and
their suitability for ensuring the determination of an appropriate “provision”.
▪ We verified the plausibility and critically assessed the Bank's method for determining the “provision”, including the
derivation of the underlying assumptions and their appropriateness.
▪ We verified the mathematical accuracy of the Bank's calculations.
▪ We have obtained information from lawyers commissioned by the bank to deal with the issue and critically
evaluated it.
▪ We reviewed the current case law with regard to foreign currency loans and appreciated their consideration for the
calculation of provision.
▪ We reviewed the disclosure of the risks in the notes to the consolidated financial statements for appropriateness.
Other Information
The legal representatives are responsible for the other information. Other information comprises all information in the Annual
Financial Report and in the Annual Report, but does not include the annual financial statements, management report,
consolidated financial statements, the consolidated management report and the related auditor's reports.
Except for the report of the Supervisory Board, we received the other information prior to the date of this auditor's report. The
report of the Supervisory Board is expected to be made available to us after this date.
Our opinion on the consolidated financial statements does not cover this other information and we do not and will not express
any form of assurance thereon.
In connection with our audit of the consolidated financial statements, our responsibility is to read the other information
identified above and, in doing so, consider whether it is materially inconsistent with the consolidated financial statements or
our knowledge obtained in the audit or otherwise appears to be materially misstated.
If, based on our work performed on the other information obtained before the date of the auditor's report, we conclude that
there has been a material misstatement of such other information, we are required to report that fact. We have nothing to
report in this regard.
Responsibilities of Management and the Audit Committee for the Consolidated
Financial Statements
Management is responsible for the preparation of the consolidated financial statements that give a true and fair view in
accordance with International Financial Reporting Standards (IFRS) as adopted by the EU, the additional requirements under
section 245a UGB and the Austrian Banking Act, and for such internal control as management determines is necessary to
enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud
or error.
In preparing the consolidated financial statements, management is responsible for assessing the Group's ability to continue as
a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting
unless management either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.
The audit committee is responsible for overseeing the Group's financial reporting process.
Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free
from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with EU rules
and Austrian Generally Accepted Auditing Standards, which require the application of the ISAs, will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these
consolidated financial statements.
As part of an audit in accordance with Regulation (EU) 537/2014 and with Austrian Generally Accepted Auditing Standards,
which require the application of the ISAs, we exercise professional judgement and maintain professional skepticism throughout
the audit.
Independent Auditor's Report 221
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
We also:
▪ Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to
fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
omissions, misrepresentations, or the override of internal control.
▪ Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
Group's internal control.
▪ Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by management.
▪ Conclude on the appropriateness of the directors' use of the going concern basis of accounting and based on the
audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast
significant doubt on the Group's ability to continue as a going concern. If we conclude that a material uncertainty
exists, we are required to draw attention in our auditors' report to the related disclosures in the consolidated
financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the
audit evidence obtained up to the date of our auditors' report. However, future events or conditions may cause the
Group to cease to continue as a going concern.
▪ Evaluate the overall presentation, structure and content of the consolidated financial statements, including the
disclosures, and whether the consolidated financial statements represent the underlying transactions and events in
a manner that give a true and fair view.
▪ Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities
within the Group to express an opinion on the consolidated financial statements. We are responsible for the
direction, supervision and performance of the group audit. We remain solely responsible for our audit opinion.
We communicate with the audit committee regarding, among other matters, the planned scope and timing of the audit and
significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide the audit committee with a statement that we have complied with relevant ethical requirements regarding
independence, and to communicate with them all relationships and other matters that may reasonably be thought to affect
our independence and, where relevant, any actions taken to eliminate hazards or safeguards applied
From the matters communicated with the audit committee, we determine those matters that were of most significance in the
audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe
these matters in our auditors' report unless law or regulation precludes public disclosure about the matter or when, in
extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse
consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Report on the Consolidated Management Report
Pursuant to Austrian Commercial Code, the consolidated management report is to be audited as to whether it is consistent
with the consolidated financial statements and whether it has been prepared in accordance with the applicable legal
requirements.
Management is responsible for the preparation of the consolidated management report in accordance with the Austrian
Commercial Code.
We conducted our audit in accordance with laws and regulations applicable with respect to the consolidated management
report.
222 Independent Auditor's Report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Opinion
In our opinion, the consolidated management report attached is prepared in accordance with the applicable legal
requirements, the disclosures pursuant to section 243a UGB are appropriate, and it is consistent with the consolidated financial
statements.
Statement
Based on the findings during the audit of the consolidated financial statements and due to the thus obtained understanding
concerning the Group and its circumstances no material misstatements in the consolidated management report came to our
attention.
Additional Information in Accordance with Article 10 of EU Regulation (EU)
537/2014
We were elected as auditor of the Group at the annual general shareholders' meeting on 31 March 2022 for the fiscal year
ending on 31 December 2023 and mandated by the chairman of the Supervisory Board on 31 March 2022. Furthermore, we were
elected as auditor at the annual general shareholders' meeting on 30 March 2023 for the subsequent fiscal year and mandated
by the chairman of the Supervisory Board on 31 March 2023.
We have been the auditor, without interruption since the financial year ending 31 December 2021.
We confirm that the audit opinion in the section "Report on the Consolidated Financial Statements" is consistent with the
additional report to the audit committee referred to in article 11 of the EU regulation.
We declare that no prohibited non-audit services (article 5 par. 1 of the EU regulation) were provided by us and that we
remained independent from the Group in conducting the audit.
Engagement Partner
The engagement partner responsible for the audit is Peter Bitzyk.
Qualified electronically signed by:
Vienna, 13 February 2024

Deloitte Audit Wirtschaftsprüfungs GmbH
Peter Bitzyk
Certified Public Accountant

Publication or sharing with third parties of the consolidated financial statements together with our auditors' opinion is only
allowed if the financial statements and the management report are identical with the audited version. This audit opinion is
only applicable to the German and complete financial statements with the management report. Section 281 para 2 UGB applies
to alternated versions.
This translation is for convenience purposes only. Only the German original is legally valid and binding.
Independent Auditor's Report 223
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Annual financial
statements
Annual financial statements 224
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Statement of financial
position

| ASSETS | 31/12/2023 | 31/12/2022
|  | in € | in € thousand
1. | Cash in hand and balances with central banks | 9,986,222,925.94 | 20,375,942
2. | Treasury bills and other bills eligible for refinancing with central banks | 8,780,883,575.24 | 6,798,155
3. | Loans to banks | 13,583,573,841.50 | 13,491,490
| a) Repayable on demand | 1,471,800,364.72 | 1,448,055
| b) Other loans and advances | 12,111,773,476.78 | 12,043,434
4. | Loans to customers | 27,699,948,522.95 | 29,863,730
5. | Debt securities and other fixed-income securities | 3,777,295,419.35 | 4,793,367
| a) Issued by public bodies | 156,606,619.50 | 159,656
| b) Issued by other borrowers | 3,620,688,799.85 | 4,633,710
| hereof own financial instruments | 1,459,889,748.02 | 2,501,811
6. | Shares and other variable-yield securities | 1,042,844,657.39 | 859,072
7. | Equity interests | 67,646,421.27 | 58,941
| hereof: in credit institutions | 27,157,140.97 | 19,192
8. | Investments in affiliated companies | 10,262,525,020.16 | 9,674,953
| hereof: in credit institutions | 1,718,194,689.67 | 1,177,956
9. | Intangible fixed assets | 19,508,748.07 | 27,548
10. | Tangible fixed assets | 16,891,864.81 | 27,394
11. | Other assets | 6,989,545,060.22 | 6,551,745
12. | Deferred income and accrued expenses | 96,652,180.03 | 91,199
13. | Deferred tax assets | 411,458.82 | 1,077
| Total | 82,323,949,695.75 | 92,614,612

Annual financial statements 225
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

| EQUITY AND LIABILITIES | 31/12/2023 | 31/12/2022
|  | in € | in € thousand
1. | Deposits from banks | 26,684,645,838.09 | 35,300,134
| a) Repayable on demand | 4,525,879,654.76 | 5,532,067
| b) With agreed maturity dates or periods of notice | 22,158,766,183.33 | 29,768,067
2. | Deposits from customers | 19,901,522,232.04 | 23,097,485
| a) Savings deposits | 0.00 | 0
| b) Other liabilities | 19,901,522,232.04 | 23,097,485
| aa) Repayable on demand | 6,759,789,691.49 | 7,188,568
| bb) With agreed maturity dates or periods of notice | 13,141,732,540.55 | 15,908,917
3. | Debt securities issued | 17,079,035,550.25 | 15,470,239
| a) Debt securities issued | 14,909,121,579.06 | 13,419,345
| b) Other securitised liabilities | 2,169,913,971.19 | 2,050,893
4. | Other liabilities | 4,572,765,378.93 | 5,380,247
5. | Deferred income and accrued expenses | 203,194,080.14 | 208,620
6. | Provisions | 947,696,455.07 | 766,903
| a) Provisions for severance payments | 51,173,984.33 | 51,039
| b) Provisions for pensions | 61,474,724.36 | 61,150
| c) Provisions for taxation | 18,253,470.04 | 10,356
| d) Other | 816,794,276.34 | 644,358
7. | Supplementary capital pursuant to chapter 4 of title I of part 2 of regulation (EU) no 575/2013 | 2,107,910,127.81 | 2,696,099
8. | Additional Tier 1 capital pursuant to chapter 3 of title I of part 2 of regulation (EU) no 575/2013 | 1,655,025,324.73 | 1,655,025
9. | Subscribed capital | 1,001,515,333.15 | 1,001,709
| a) Share capital | 1,003,265,844.05 | 1,003,266
| b) Nominal value of own shares | (1,750,510.90) | (1,557)
10. | Capital reserves | 4,427,905,632.09 | 4,429,065
| a) Committed | 4,334,726,183.14 | 4,334,286
| b) Uncommitted | 93,179,448.95 | 94,779
11. | Retained earnings | 2,376,177,728.22 | 1,686,418
| a) Legal reserve | 5,500,000.00 | 5,500
| b) Other reserves | 2,370,677,728.22 | 1,680,918
12. | Liability reserve pursuant to article 57 (5) | 535,097,489.59 | 535,097
13. | Net profit for the year | 831,458,525.64 | 387,571
| Total | 82,323,949,695.75 | 92,614,612

Items off the statement of financial position

| ASSETS | 31/12/2023 | 31/12/2022
|  | in € | in € thousand
1. | Foreign assets | 45,380,132,414.21 | 45,641,871

| EQUITY AND LIABILITIES | 31/12/2023 | 31/12/2022
|  | in € | in € thousand
1. | Contingent liabilities | 7,736,762,142.74 | 7,188,967
| Guarantees and assets pledged as collateral security | 7,736,762,142.74 | 7,188,967
2. | Commitments | 19,711,703,105.00 | 19,434,120
| hereof: liabilities from repurchase agreements | 0.00 | 0
3. | Commitments arising from agency services | 187,452,782.11 | 203,304
4. | Eligible own funds according to part 2 of regulation (EU) no 575/2013 | 11,695,854,570.80 | 11,179,557
| hereof: supplementary capital pursuant to chapter 4 of title I of part 2 of regulation EU) no 575/2013 | 1,990,442,752.19 | 2,252,687
5. | Capital requirements pursuant to Article 92 of Regulation (EU) No 575/2013 | 40,461,265,709.96 | 41,903,360
| hereof: capital requirements pursuant to article 92 (1) (a) to (c) of regulation (EU) no 575/2013 |  |
| a) hereof: Common Equity Tier 1 capital ratio pursuant to Article 92 (a) | 19.9 % | 17.3 %
| b) hereof: Tier 1 capital ratio pursuant to Article 92 (b) | 23.9 % | 21.1 %
| c) hereof: total capital ratio pursuant to Article 92 (c) | 28.8 % | 26.6 %
6. | Foreign liabilities | 22,092,657,400.53 | 27,096,050

226 Annual financial statements
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Income statement

|  | 2023 | 2022
|  | in € | in € thousand
1. | Interest receivable and similar income | 2,952,782,419.21 | 1,187,116
| hereof: from fixed-income securities | 235,123,538.19 | 74,642
2. | Interest payable and similar expenses | (2,529,367,782.75) | (700,655)
I. | NET INTEREST INCOME | 423,414,636.46 | 486,461
3. | Income from securities and participating interests | 1,786,418,289.76 | 564,321
| a) Income from shares and other variable-yield securities | 76,684,279.09 | 49,133
| b) Income from participating interests | 8,056,442.47 | 7,543
| c) Income from shares in affiliated undertakings | 1,701,677,568.20 | 507,644
4. | Fee and commission income | 555,787,190.12 | 531,264
5. | Fee and commission expenses | (194,354,216.19) | (178,609)
6. | Net profit or net loss on financial operations | 56,805,678.37 | 93,490
7. | Sundry operating income | 305,412,883.90 | 212,648
II. | OPERATING INCOME | 2,933,484,462.42 | 1,709,574
8. | General administrative expenses | (1,022,229,060.98) | (872,307)
| a) Staff costs | (506,046,469.45) | (420,295)
| hereof: aa) Wages and salaries | (389,021,415.47) | (336,897)
| bb) Expenses for statutory social contributions and compulsory contributions related to wages and salaries | (82,452,037.06) | (74,747)
| cc) Other social expenses | (10,295,253.39) | (8,471)
| dd) Expenses for pensions and assistance | (12,772,307.35) | (10,255)
| ee) Allocation/Release of provision for pensions | (324,566.15) | 5,238
| ff) Expenses for severance payments and contributions to severance funds | (11,180,890.03) | 4,836
| b) Other administrative expenses | (516,182,591.53) | (452,011)
9. | Value adjustments in respect of asset items 9 and 10 | (12,315,181.65) | (13,685)
10. | Sundry operating expenses | (1,131,444,148.30) | (655,486)
III. | OPERATING EXPENSES | (2,165,988,390.93) | (1,541,479)
IV. | OPERATING RESULT | 767,496,071.49 | 168,096
11./12. | Net income/expenses from the disposal and valuation of loans and advances and securities classified as current assets | 49,986,970.25 | (164,641)
13./14. | Net income/expenses from the disposal and valuation of securities evaluated as financial investments and of shares in affiliated companies and participating interests | 568,408,510.85 | (976,414)
V. | PROFIT ON ORDINARY ACTIVITIES | 1,385,891,552.59 | (972,960)
15. | Current income taxes | 14,410,365.46 | 5,531
16. | Other taxes not reported under item 15 | (3,840,568.15) | (20,193)
17. | Result from Business Combinations | 0.00 | (3,553)
VI. | PROFIT FOR THE YEAR AFTER TAX | 1,396,461,349.90 | (991,175)
18. | Changes in reserves | (688,135,440.86) | 998,747
| hereof: allocation to liability reserve | 0.00 | 0
VII. | NET INCOME FOR THE YEAR | 708,325,909.04 | 7,571
19. | Profit/Loss brought forward | 123,132,616.60 | 380,000
VIII. | Net profit for the year | 831,458,525.64 | 387,571

Annual financial statements 227
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Notes
· General disclosures
Raiffeisen Bank International AG (RBI AG] is registered in the company register at the Commercial Court of Vienna under FN
122119m. Its registered office is at Am Stadtpark 9, 1030 Vienna. The annual financial statements are deposited at the company
register court and published in the Austrian Electronic Announcement and Information Platform of the Federation (“EVI”) in
accordance with the Austrian disclosure regulations.
The annual financial statements for the year ending 31 December 2023 were prepared by the Management Board in
accordance with the Austrian Commercial Code (UGB) as amended by the latest version of the Austrian Financial Reporting
Amendment Act (RAG), taking into account the special provisions of the Austrian Banking Act (BWG) that apply to credit
institutions, including the CRR Regulation 575/2013/EU and the Austrian Stock Corporation Act (AktG).
According to Section 221 (Size categories) of the Austrian Commercial Code (UGB), RBI AG qualifies as a large corporation. It is
also a public interest entity pursuant to Section 43 (1a) of the Austrian Banking Act (BWG) in conjunction with Section 189a of
the Austrian Commercial Code. RBI AG is a corporate and investment bank for companies in Austria and for large corporate
customers in Western Europe. Through its equity participations, RBI has one of the largest networks held by Western banking
groups in Central and Eastern Europe (CEE). It transacts business in this region through subsidiary banks, leasing companies
and numerous specialized financial service providers with some 1,500 branches. In Austria, RBI AG is also active in business
activities in the areas of housing finance, leasing, asset management, pension funds, factoring and private banking. RBI AG's
18.6 million clients include commercial clients, small and medium-sized entities, private individuals, financial institutions and
government entities. In addition, RBI is the lead institution of the Raiffeisen Banking Group Austria (RBG) and serves as the
central institution of the Raiffeisen regional banks as defined by the Austrian Banking Act (BWG).
RBI AG also has branch offices in Bratislava, Frankfurt, London, Warsaw, Singapore and Beijing.
As shares in the company are traded on a regulated market within the meaning of Section 1 (2) BörseG (prime market of the
Vienna Stock Exchange) and numerous securities issued by RBI AG are admitted to a regulated market in the EU, RBI AG has to
publish annual consolidated financial statements in accordance with Section 59a of the Austrian Banking Act (BWG) in
compliance with International Financial Reporting Standards. These consolidated financial statements are published on the
Internet (https://www.rbinternational.com/en/investors/reports.html).
As a credit institution within the meaning of Section 1 of the Austrian Banking Act (BWG), RBI AG is subject to the regulatory
oversight of the Financial Market Authority, Otto-Wagner-Platz 5, A-1090 Vienna (www.fma.gv.at) and the European Central
Bank, Sonnemannstrasse 20 D-60314 Frankfurt am Main (www.bankingsupervision.europa.eu).
The disclosure requirements set out in Part 8 of the EU Regulation 575/2013 on prudential requirements for credit institutions
(Capital Requirements Regulation, CRR) are published online on the bank’s website at https://www.rbinternational.com/en/
investors/reports.html.l
Statutory deposit guarantee and investor protection
scheme –Austrian Raiffeisen-Sicherungseinrichtung
eGen
Up until 28 November 2021, Raiffeisen Bank International AG and its Austrian bank subsidiaries were part of the Einlagensicher-
ung AUSTRIA Gesellschaft m.b.H. (ESA), as a general protection scheme in Austria.
In March 2021, RBI AG, its Austrian subsidiary banks, the regional Raiffeisen banks and the local Raiffeisen banks concluded an
agreement on a new institutional protection scheme (Raiffeisen-IPS) in accordance with Article 113 (7) CRR (Capital
228 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Requirements Regulation of the European Union). Under the agreement, the participating institutions undertake to provide
mutual cover and, in particular, to ensure each other's liquidity and solvency if necessary. This new Raiffeisen-IPS was approved
in May 2021 by the competent supervisory authorities ECB and FMA as an institutional protection scheme within the meaning
of Article 113 (7) CRR with the associated rights and obligations of the participating institutions. According to one of the
provisions of the agreement, exposures between Raiffeisen-IPS members may be assigned a risk weight of zero per cent.
Raiffeisen-IPS is subject to joint regulatory supervision, according to which the capital adequacy requirements must be
complied with on a consolidated basis.
The Austrian Raiffeisen-Sicherungseinrichtung eGen (ÖRS) performs early risk identification and reporting tasks for Raiffeisen-
IPS. ÖRS also manages the liquid special assets of Raiffeisen-IPS as trustee.
The Raiffeisen-IPS is controlled by a joint risk council, comprising representatives of RBI AG, the regional Raiffeisen banks and
the Raiffeisen banks. Tasks that could be solved on a regional level were delegated to the regional risk councils, each
comprising representatives of the respective regional Raiffeisen banks and Raiffeisen banks, by the joint risk council.
· Recognition and
measurement principles
General principles
The annual financial statements are prepared in accordance with the principles of proper accounting, the disclosure and
valuation rules of the Austrian Banking Act, and taking into account standard practice as described in Section 222 (2) of the
Austrian Commercial Code (UGB), to give a true and fair view of the company's net assets, financial position and earnings.
The consolidated financial statements were prepared in compliance with the consistency principle.
Assets and liabilities are valued on the principle of individual valuation and on the assumption that the company will continue
to exist as a going concern. The principle of prudence is applied, taking into account the special characteristics of the banking
business.
Regarding negative interest, RBI AG has adopted the accounting approach of recognizing negative interest from loans under
interest income and negative interest from liabilities under interest expenses.
Amounts in foreign currencies
Assets and liabilities in foreign currencies are converted at the ECB’s reference exchange rates as at 29 December 2023
pursuant to Section 58 (1) of the Austrian Banking Act (BWG).
As the ECB stopped publishing an official EUR/RUB exchange rate at the beginning of March 2022, RBI AG was forced to
generate a valid alternative exchange rate. For EUR/RUB, official conversion rates (onshore rates), which are set by the Russian
Central Bank or on the basis of data from the Moscow Stock Exchange, and effectively achievable conversion rates (offshore
rates), such as those disseminated by Bloomberg, sprang up on foreign exchange markets. Due to the current restrictions,
payment flows with Russia are assumed to not be convertible at the official exchange rate. Since EUR/RUB transactions with
international banks are usually settled at offshore rates, the latter are more likely to reflect the actual and effectively
achievable exchange rate. Consequently, an offshore EUR/RUB exchange rate is used for the valuation of RUB transactions and
assets in RBI AG as of the reporting date.
Notes 229
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Fair value measurement
Stock market prices are used to determine the fair value of listed products. If stock market prices are not available, prices for
original financial instruments and forward transactions are determined based on the calculated present value. The prices for
options are determined based on suitable option price models. The calculation of present value is based on a yield curve
composed of money-market, futures and swap rates and does not include a credit spread. Option pricing formulas as
described by Black-Scholes 1972, Black 1976 and Garman-Kohlhagen are used together with other common models for the
valuation of structured options.
The price definition of OTC derivatives involves both value adjustments for the counterparty’s probability of default (credit
value adjustment – CVA) as well as adjustments for own credit risk (debit value adjustment – DVA). The CVA involves, first, the
determination of the expected positive exposure and, second, the counterparty's probability of default. The DVA is determined
by the expected negative exposure and RBI AGs credit quality.
To determine the expected positive exposure, a large number of scenarios for future points in time are simulated, reflecting all
available risk factors (e.g. currency and yield curves). Having regard to these scenarios, the OTC derivatives are measured at
market value and aggregated at counterparty level to finally determine the positive exposure for all the dates.
As a further component for the CVA, a probability of default has to be determined for each counterparty. If CDS (credit default
swap) quotes are available, RBI AG derives the market-based probability of default for the respective counterparty and
implicitly the loss-given default (LGD). To determine the probability of default of counterparties that are not actively traded in
the market, the counterparty's internal rating is assigned to a sector- and rating-specific CDS curve.
The DVA is determined by the expected negative exposure and RBI's credit quality and represents the value adjustment with
regard to RBI AG's own probability of default. The method applied to calculate the negative exposure is similar to that used for
the CVA; the expected negative market value is applied instead of the expected positive market value. From the simulated
future aggregated counterparty market values, negative, rather than positive, exposures are determined. These represent the
expected liability to the counterparty at the respective future dates.
To determine the own probability of default, direct CDS quotes of RBI AG are used.
The capital-guaranteed products (guarantee funds and pension provisions) are reported as put options sold on the respective
funds to be guaranteed. Valuation is based on a Monte Carlo simulation and is in accordance with the framework conditions
stipulated by law pursuant to Section 57 of the Austrian Banking Act.
Financial instruments in the banking book
Securities intended to serve business purposes on a permanent basis (investment portfolio) are valued as fixed assets. The
difference between the purchase cost and repayment amount is recognized under financial assets and written off or
recognized over the residual term according to the effective interest method.
Securities held as current assets have been valued strictly according to the lower of cost or market value principle, with any
reversals of impairment losses up to amortized cost.
Derivatives on interest rates (interest rate swaps, interest rate options and forward rate agreements) and on exchange rates
(cross currency interest rate swaps and forward exchange transactions) are accounted for according to the accrued interest
method, in which interest amounts are accrued for each period.
In designating derivatives as part of effective micro hedging transactions, compensatory valuation of the underlying
transaction and hedging derivative takes place.
RBI AG uses interest rate swaps to hedge the interest rate risk from assets (bonds and loans) and liabilities (own issues,
promissory notes and custodian business) on the statement of financial position. Fixed cash flows are exchanged for variable
cash flows to minimize the interest rate risk. The currency risk is hedged by currency-related swaps, such as cross currency
swaps, FX swaps or FX forward contracts.
When the requirements are met, the above-mentioned derivatives form part of a valuation unit. Their market value is therefore
not reported in the annual financial statements, as they are offset by cash flows from the underlying transactions recognized
through profit and loss.
The hedging relationships are recognized as micro fair value hedges in accordance with AFRAC 15 “Derivatives and Hedging
Instruments”. On designation, the effectiveness of the hedging relationship is reviewed by a prospective effectiveness test with
100 basis point shifts in the yield curve.
230 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The effectiveness is measured retrospectively on the basis of a monthly regression analysis. Here, a set of 20 data points is
used to determine the required calculation parameters used for the retrospective effectiveness test. A hedge is deemed to be
effective if changes in the fair value of the underlying and hedging transaction are in a range of 80-125 per cent.
The banking book also includes derivatives which do not meet the criteria of a trading book and are not part of a micro hedge
relationship. The focus is not on short-term gains but on management of income and interest rate risk through positioning
based on medium- to long-term market opinion. These derivatives were administrated in defined portfolios in order to
guarantee a documented mapping to functional units. Within these functional units an imparity-based valuation takes place.
For a negative accounting balance per functional unit a provision for impending loss will be allocated, while a positive
accounting balance will be unrecognized.
Derivatives of the bank book, which are not reflected in functional units, are valued according to the imparity principle. In the
case of negative market values, a provision for impending loss will be allocated. The disclosure is shown in the income
statement under position 7 and/or 10 – Other operating income/Other operating expenses . Credit default swaps have the
following effect on the income statement: The margins received or paid (including accruals) are reported under net commission
income. Valuations are conducted in adherence to the imparity principle under the tenants of prudence. A provision for
impending losses is recognized in the event that negative market values arise.
Financial instruments in the trading book
The securities in the trading portfolio are valued on a mark-to-market basis. In the absence of observable market rates or
prices, the fair value is determined using valuation models. All derivatives transactions in the trading book are also recognized
at fair value.
Loans and advances
Loans and advances are generally recognized at amortized cost, taking into account the effective interest method in
accordance with the AFRAC 14 rules and/or the measurement options they provide for in connection with the position paper of
the AFRAC and the FMA on issues relating to subsequent measurement of credit exposures at banks. For loans, acquisition cost
is the starting point for the valuation. In the case of an original financial asset, the cost of acquisition is generally equal to the
amount paid out, including any incidental acquisition costs. In general, the acquisition is not recognized through the income
statement. In the case of acquired loans, the cost of acquisition is measured by reference to the purchase price. Pursuant to
section 56 (2) and (3) of the Austrian Banking Act, premiums and discounts resulting from the issue, as well as differences
arising from the acquisition on the secondary market, may either be recognized immediately in profit or loss or on a scheduled
basis. When exercising the above-mentioned measurement option in relation to securities recognized as fixed assets in
accordance with section 56 BWG, any difference between the acquisition cost and the repayment amount is deferred and
reported in net interest income. On every reporting date, an assessment is conducted to determine whether there is objective
evidence that a financial asset or group of financial assets is impaired. Impairments are in any case accounted for by loan loss
provisions either in the form of specific loan loss provisions or portfolio-based loan loss provisions. If the reasons for an
impairment no longer apply, the impairment is reversed up to a maximum of no more than the cost of acquisition after
reversing the difference (premium/discount).
Net provisioning for impairment losses
The IFRS 9 credit risk provisioning model is also applied in accordance with commercial law for the determination of credit risk
provisions. Expected credit losses for credit risks, risks for credit commitments and off-balance sheet credit risks from financial
guarantees and letters of credit are recognized as impairments and determined according to the change in credit risk from the
date of addition. Impairment losses on loans are deducted from the carrying amount at amortized cost in the statement of
financial position. Provisions are recognized for impairment losses on loan commitments, financial guarantees and letters of
credit.
Accordingly, two options exist for calculating the amount of risk provisioning:
· according to the expected 12-month loss (12-month ECL) or
· according to the total lifetime loss (Lifetime ECL)
Depending on the change in credit risk between the date of initial recognition and the measurement date, the financial
instruments are classified into one of three impairment levels:
Notes 231
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Stage 1 covers all newly recognized financial instruments as well as those for which the credit risk has not increased
significantly since initial recognition. In addition, Stage 1 comprises all financial instruments that have a low credit
risk and for which RBI AG makes use of the “low credit risk exemption.” All debt securities with an investment-grade
level credit rating as of the reporting date are considered to have a low credit risk. This rule is not applied in the
lending business. For loans, an impairment loss is recognized for the expected 12-month loss on initial recognition.
Loans from Stage 2 for which the credit risk has significantly improved are reclassified and recognized in Stage 1. A
Stage 1 impairment loss is added to the portfolio loan loss provisions in the statement of changes in valuation (12-
month loss).
· Stage 2 contains financial instruments for which the credit risk has increased significantly since initial recognition
but no default has yet occurred. For these receivables, an impairment loss is calculated on the basis of the total
lifetime loss and also recognized as a portfolio-based loan loss provision.
· Stage 3 covers financial instruments that are classified as impaired as at the reporting date. For the purposes of the
definition of default, RBI AG applies the conditions stipulated under Article 178 CRR. For defaults on financial
instruments in Stage 3, the expected credit loss over the entire remaining term of the financial instrument is also to
be recognized as impairment.
Portfolio-based loan loss provisions
For loans made in Austria by RBI AG, the expected loss for both stages is calculated on an individual transaction basis applying
statistical risk parameters derived from the Basel IRB approach and adjusted to the requirements of IFRS 9. Stage 1 and 2
provisions for Swiss franc-denominated loans are recognized on a portfolio level. Additional details pertaining to this subject
can be referenced in the section addressing litigation risk associated with foreign currency loans in Poland. The following are
the most important inputs for calculating expected credit losses at RBI AG:
· Probability of default (PD): At RBI AG, the probability of default (PD) is the probability with which a borrower will be
unable to meet its payment obligations either within the next twelve months or over the entire remaining term.
· Exposure at default (EAD): Exposure at default corresponds to the amount at the time of default owed to RBI AG
over the next twelve months or over the entire term.
· Loss given default (LGD): Loss given default corresponds to the expectation at RBI AG relating to the loss amount in
the event of default.
The estimation of risk parameters includes not only historical default information but also the current economic environment
(point-in-time orientation) and forward-looking information. In particular, the bank’s macroeconomic forecasts are reviewed
regularly in relation to their impact on the level of expected credit losses, and such forecasts are integrated into the related
calculations. For this purpose, a baseline scenario is applied based on current RBI Research forecasts relating to key
macroeconomic parameters, supplemented by other model-relevant macroeconomic parameters. In addition to the base
scenario, Raiffeisen Research has also compiled both an optimistic and a pessimistic scenario to ensure that non-linearity is
captured in its models. For the pessimistic and optimistic scenarios, the methodology was adjusted due to the high level of
uncertainty associated with the current geopolitical situation (war in Ukraine).
Post-model adjustments to expected credit loss allowance estimates are adjustments which are used in circumstances where
existing inputs, assumptions and model techniques do not capture all relevant risk factors. This is generally the case when
existing inputs, assumptions and model techniques might not capture all relevant risk factors due to transient circumstances
or insufficient time to appropriately incorporate relevant new information in the rating, and when individual lending exposures
within a group of lending exposures react to factors or events differently than initially expected. The emergence of new
macroeconomic, microeconomic or political events, along with expected changes to parameters, models or data that are not
incorporated in current parameters, internal risk rating migrations or forward-looking information are examples of such
circumstances. In general RBI units use post-model adjustments to allowances for expected credit losses only as an interim
solution. In order to reduce the potential for bias, add-ons and post-model adjustments are of a temporary nature and
typically remain valid for no longer than one to two years. All material adjustments are authorized by the Group Risk
Committee (GRC). From an accounting point of view, add-ons (post-model adjustments) are based on a collective assessment.
“Other risk factors” typically comprise a longer time horizon than post-model adjustments (e.g. the prolongation of sanctions
risks), which leads to ECL-overlays. Post-model adjustments are transferred to in-model adjustments.
232 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Individual loan loss provisions
Impairments are recognized on an individual basis for financial instruments that are classified as impaired on the reporting
date. RBI employs the definition of default as the criteria for classifying a financial instrument as impaired.
Default is assessed in relation to quantitative and qualitative triggers. Firstly, a borrower is considered to be in default if they
are assessed to be more than 90 days past due on their contractual payments. Secondly, a borrower is considered to be in
default if they are in significant financial difficulty and are unlikely to repay any credit obligation in full. This definition of
default has been applied consistently in RBI’s expected credit loss calculations to model the probability of default, the exposure
at default and the loss given default.
Objective evidence of impairment leading to impairment charges on an individual exposure includes the counterparty
experiencing significant financial difficulties, a breach of contract (e.g. default or delinquency in interest or principal payments),
or a high probability that the borrower will enter bankruptcy or another form of financial reorganization.
Loans for which there is objective evidence of impairment are tested for impairment. For this purpose, the expected default
amount is calculated as the difference between the expected repayments of principal, interest payments and collateral
proceeds and the gross carrying amount of the loan. The expected repayment amounts are discounted in accordance with
their probability of occurrence and the scenarios, weighted using the effective interest rate. The loan is recognized in the
balance sheet less the total loss on maturity. The resulting net carrying amount is used as the basis for calculating future
interest income.
General individual loan loss provisions for retail lending in the Polish branch are recognized based on the best statistically
derived estimate of the expected loss after adjusting for indirect costs.
Investments and shares in affiliated companies
Equity participations and interests in affiliated companies are carried at cost unless sustained losses, a reduction in their
equity or other indicators require them to be written down to their fair value. They are written up to no more than their cost of
acquisition if the reasons for the long-term impairment no longer apply.
Equity participations and affiliated companies are valued at the end of each financial year (and on ad-hoc basis) by means of
an impairment test. Their fair value is determined during the test.
Fair value is calculated using a discounted cash flow model, which calculates the enterprise value as the present value of
future financial profits. The dividend discount model is also employed to account for the specific characteristics of investment
companies operating in the financial services sector, and the weighted average cost of capital model is used for investment
companies outside the financial services sector (e.g., LEIPNIK-LUNDENBURGER INVEST Beteiligungs AG, Vienna). The dividend
discount model accounts for the specific characteristics of the banking business, including the need to comply with capital
adequacy regulations. The present value of the expected future dividends that may be distributed to the shareholders after
meeting all appropriate capital adequacy regulations is the recoverable amount. Accordingly, under the WACC method, the fair
value of total capital is determined in a first step on the basis of free cash flows and, in a second step, the recoverable amount
is determined by deducting net financial debt.
The recoverable amount is calculated based in principal on a three to five-year detailed planning period. Significant planning
uncertainties, which came about to some extent as a result of the direct consequences of the crisis in Ukraine, were taken into
account in scenario analyses. The sustainable future (permanent dividend phase) is generally based on a going concern
assumption (perpetuity). In most cases, the income used for the valuation is assumed to grow at a country-specific nominal
rate based on the projected long-term inflation rate. If companies are significantly overcapitalized, an interim phase of five
years is defined without extending the detailed planning phase. During this period, these companies can distribute full
dividends without violating capital adequacy regulations. In the permanent dividend phase, earnings must be retained as the
company grows in order to continue to comply with capital adequacy regulations. Earnings retention is not required if no
growth is expected in the permanent dividend phase.
In the permanent dividend phase, the model assumes a normalized, economically sustainable earnings situation in which the
return on equity and the costs of equity or cost of capital converge.
According to AFRAC 24 (16), liquidation value is generally the lower bound of any investment valuation absent any legal or de
facto constraints to continue the investee company. Liquidation value is defined as the pro rata breakup value of the assets
minus the liabilities held by the entity. When setting a liquidation value, a sector-specific, individual analysis is conducted, which
includes a comparison using the discounted cash flow method. Liquidation value is employed when it represents the lower
bound of the investment’s valuation range under the conditions set out.
Notes 233
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Tangible and intangible fixed assets
Intangible fixed assets and tangible fixed assets are valued at acquisition or production cost less scheduled depreciation.
Scheduled depreciation is on a straight-line basis (pro rata temporis). An impairment loss is recognized if an asset is
permanently impaired below its carrying amount.
Scheduled depreciation is based on the following periods of use:

Useful life | Years | Useful life | Years
Buildings | 50 | Software | 4 bis 10
Office equipment | 3 to 5 | Hardware | 3
Office fixtures and fittings | 5 to 10 | Business equipment | 5 bis 10
Vehicles | 5 | Tenancy rights | 10

Low-value fixed assets are written off in full in the year of acquisition.
Issuance expenses
Issuance and management fees and premiums or discounts for bonds issued are distributed over the given term of the
obligation using the effective interest method. Other issuance expenses are expensed immediately.
Pension and severance payment obligations
The provisions for pension and severance payment obligations are determined in accordance with IAS 19 – Employee Benefits –
based on the projected unit credit method.
The actuarial calculation of pension obligations for active employees is based on an interest rate of 3.66 per cent (31/12/2022:
3.64 per cent) p.a. and an effective pensionable salary increase of 7.5 per cent in the first year, 4.2 per cent in the second year
and 3.1 per cent in the third year as well as 3.0 per cent in subsequent years (31/12/2022: 8.0 per cent in the first year, 5.1 per
cent in the second year and 3.2 per cent in subsequently years). The parameters for retired employees are calculated using a
capitalization rate of 3.66 per cent (31/12/2022: 3.64 per cent) per year and an expected increase in retirement benefits of 7.5
per cent in the first year, 4.2 per cent in the second year and 3.1 per cent in the third year as well as 3.0 per cent in subsequent
years (31/12/2022: 8.0 per cent in the first year, 5.1 per cent in the second year and 3.2 per cent in the subsequent years), and in
the case of pension commitments with existing reinsurance policies of 0.5 per cent (31/12/2022: 0.5 per cent). The calculations
are based on an assumed retirement age of 65, subject to transitional statutory requirements for women as well as special
arrangements contained in individual contracts. The imputed retirement age was applied as the end date of funding.
The basis for the calculation of provisions for pensions is provided by the AVÖ 2018-P Rechnungsgrundlagen für die
Pensionsversicherung (Computational Framework for Pension Insurance), using the variant for salaried employees.
The actuarial calculation of severance payments and long-service bonus obligations is based on an interest rate of 3.66 per
cent (31/12/2022: 3.65 per cent for severance payments and 3.64 per cent for long-service bonus obligations) p. a., for birthday
benefits 3.68 per cent (31/12/2022: 3.64 per cent) and an average salary increase of 7.5 per cent in the first year, 4.2 per cent in
the second year, 3.1 per cent in the third year and 3.0 per cent in subsequent years (31/12/2022: 8.0 per cent in the first year, 5.1
per cent in second year and 3.2 per cent in subsequent years) p.a.
234 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other provisions
Other provisions are recorded at the level at which they are likely to be required. They take into account all identifiable risks
and liabilities, the level of which is not yet known. Long-term provisions are currently discounted in accordance with § 211 (2) of
the Austrian Commercial Code (UGB), whereby they are discounted at a standard market rate if the effect of discounting is
deemed material. Provisions for litigation costs for lawsuits filed in connection with foreign currency loans in Poland (please
refer to the section titled “Litigation risk for foreign currency loans in Poland” for details on the accounting method applied and
any changes made to such method) were discounted at a rate of 6.90 per cent (31/12/2022: 7.25 per cent).
Other provisions include provisions for bonuses for identified staff (pursuant to European Banking Authority CP 42, 46). RBI AG
fulfills the obligations set forth in the Annex to Section 39b of the Austrian Banking Act (BWG) as follows: 60 per cent of the
annual bonus is paid out 50 per cent as an upfront cash payment and 50 per cent by way of a phantom share plan with a
retention period of one year. Forty per cent of the annual bonus is subject to a five-year deferral period and likewise paid out
50 per cent in cash and 50 per cent by way of the phantom share plan. The phantom shares are converted on allocation and
payment each using the average price of the preceding financial year.
Liabilities
These are recognized at the higher of the nominal value or the repayment amount. The difference between the issue and
repayment amount is allocated according to the effective interest method.
Zero-coupon bonds are recognized at nominal value plus accrued interest on a pro rata basis up to the reporting date.
Notes 235
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Notes to the statement of
financial position
Assets
Loans and advances
Breakdown of maturities
Loans and advances to credit institutions, loans and advances to customers and other assets are broken down by their
residual terms as follows:

in € thousand | 31/12/2023 | 31/12/2022
Loans to banks | 13,583,573.8 | 13,491,489.6
Repayable on demand | 1,471,800.4 | 1,448,055.5
Up to 3 months | 9,476,260.8 | 8,662,406.1
More than 3 months, up to 1 year | 401,584.1 | 505,354.7
More than 1 year, up to 5 years | 1,667,223.0 | 1,156,799.4
More than 5 years | 566,705.6 | 1,718,873.9
Loans to customers | 27,699,948.5 | 29,863,729.7
Repayable on demand | 6,270,409.7 | 5,634,842.9
Up to 3 months | 1,175,753.0 | 587,523.8
More than 3 months, up to 1 year | 3,781,101.1 | 3,437,810.6
More than 1 year, up to 5 years | 13,630,523.7 | 13,863,947.0
More than 5 years | 2,842,161.1 | 6,339,605.4
Other assets | 6,989,545.1 | 6,551,745.3
Up to 3 months | 4,805,290.0 | 5,709,447.2
More than 3 months, up to 1 year | 1,700,000.0 | 500,000.0
More than 5 years | 484,255.1 | 342,298.1

The risk section of the management report includes more details about the distribution of loans and advances on a regional
basis.
Derivative financial instruments
Hedging relationships
Hedges with hedging periods up to 2043 existed as at 31 December 2023.
Derivative financial instruments for hedging interest rate and credit risks are used for underlying transactions on both the
assets and liabilities side. As of the reporting date, risks from bonds and loans are hedged on the assets side, and risks from
own issues, registered bonds, promissory note loans and deposits are hedged on the liabilities side.
The clean present value of the hedging transactions (i.e. excluding accrued interest) for the existing hedging relationships
together amounts to a negative market value of € 109,773 thousand (31/12/2022: € 154,294 thousand), of which € 262,353
thousand (31/12/2022: € 368,402 thousand) is attributable to positive market values and € 372,126 thousand (31/12/2022:
€ 522,696 thousand) to negative market values.
In the financial year 2023, no material settlement payments were made in connection with derivatives in hedging relationships
(31/12/2022: € 0 thousand).
In the course of the IBOR reform, compensation payments were made in the amount of € 196 thousand (2022: € 0 thousand),
which were immediately recognized in profit or loss in accordance with AFRAC Statement 15 on Derivatives and Hedging
Instruments (UGB) Rz 77 et seq.
236 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Interest rate management derivatives
RBI employs interest rate derivatives to hedge interest rate risks in accordance with the accounting regulations pertaining to
hedging relationships and functional units, as outlined in AFRAC 15 “Derivatives and Hedging Instruments” and the FMA Circular
on “Accounting issues relating to interest rate derivatives and valuation adjustments for derivatives.” Provisions for impending
losses on these derivatives amount to € 68,708 thousand on the reporting date (31/12/2022: € 73,140 thousand). In the financial
year 2023, allocations in the amount of € 14,557 thousand (31/12/2022: € 53,430 thousand) and reversals in the amount of
€ 18,988 thousand (31/12/2022: € 10,259 thousand) resulted from the change in the market values of the functional units of the
hedging derivatives.
Currency derivatives
In financial year 2023, provisions were recognized in the amount of € 6,199 thousand (31/12/2022: € 6,727 thousand) for
impending losses on non-netted UAH transactions that were initially recognized in 2022 based on the geopolitical situation. In
the reporting year, reversals were made in the amount of € 528 thousand (31/12/2022: € 0 thousand).
Credit default swaps
To a lesser extent, RBI AG also actively manages positions in credit derivatives (in the form of credit default swaps), which
require individual valuation in accordance with the FMA circular on accounting issues relating to interest rate derivatives and
valuation adjustments for derivatives. Provisions for impending losses amount to € 7,575 thousand as of the reporting date
(31/12/2022: € 2,316 thousand). In the financial year 2023, allocations in the amount of € 5,259 thousand (31/12/2022: € 2,316
thousand) and reversals in the amount of € 0 thousand (31/12/2022: € 879 thousand) resulted from changes in the market value
of these derivatives.
Functional units
The portfolio-based management of functional units is summarized according to the strategy applied to manage interest risk
for the currencies contained therein, with the positive and negative fair values shown below:

| 31/12/2023 | 31/12/2022 | Valuation effect
in € thousand | Positive values | Negative values | Positive values | Negative values | 31/12/2023
CHF | 0 | (150) | 0 | (387) | 237
CZK | 3,186 | (2,184) | 2,706 | (1,131) | (573)
EUR | 49,614 | (26,448) | 62,025 | (31,789) | (7,070)
GBP | 0 | 0 | 6 | 0 | (6)
HUF | 9,800 | 0 | 7,335 | 0 | 2,465
NOK | 2 | 0 | 6 | 0 | (4)
PLN | 0 | (1,895) | 0 | 0 | (1,895)
RON | 54 | 0 | 125 | 0 | (71)
RUB | 1,010 | 0 | 0 | (568) | 1,578
USD | 340 | (831) | 275 | (1,215) | 449
Total | 64,006 | (31,508) | 72,478 | (35,090) | (4,890)

The main factors driving the valuation result were the change in the level of interest rates in EUR and USD, an expansion in
netting volumes, an increase in PLN business and a reduction in RUB business.
The following table summarizes the currencies of the hedging derivatives that are not suitable for management under
functional units. This gives the following picture for the positive and negative fair values as of the reporting date:

| 31/12/2023 | 31/12/2022 | Valuation effect
in € thousand | Positive values | Negative values | Positive values | Negative values | 31/12/2023
EUR | 4,252 | (7,575) | 15,096 | (2,316) | (16,103)
Total | 4,252 | (7,575) | 15,096 | (2,316) | (16,103)

Notes 237
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The following tables show the open forward transactions for the reporting year and the previous year:

31/12/2023 | Nominal amount by maturity |  | Fair value | Carrying amount
in € thousand | Up to 1 year | More than 1 year, up to 5 years | More than 5 years | Total | hereof trading book | positive | negative | positive | negative
Total | 89,725,880 | 132,170,152 | 79,372,038 | 301,268,070 | 196,313,436 | 4,746,270 | 4,455,184 | 4,054,656 | 3,718,712
a) Interest rate contracts | 41,809,732 | 119,847,836 | 75,887,155 | 237,544,723 | 137,653,487 | 3,753,124 | 3,736,511 | 3,096,764 | 3,009,582
OTC products |  |  |  |  |  |  |  |  |
Interest rate swaps | 35,590,026 | 106,659,018 | 71,908,239 | 214,157,283 | 123,298,779 | 3,604,223 | 3,717,766 | 2,935,971 | 2,908,823
Floating Interest rate swaps |  |  |  | 0 |  |  |  |  |
Interest rate futures | 1,900,987 | 404,465 | 0 | 2,305,452 | 2,305,452 | 1,017 | 670 | 1,017 | 670
Interest rate options - buy | 1,582,871 | 3,970,076 | 1,360,797 | 6,913,744 | 5,618,012 | 114,477 |  | 126,369 |
Interest rate options - sell | 2,462,441 | 7,891,137 | 2,142,651 | 12,496,229 | 4,759,229 |  | 8,003 | 0 | 90,017
Other similar interest rate contracts | 109,934 | 575,405 | 375,818 | 1,061,157 | 1,061,157 | 31,197 | 6,745 | 31,197 | 6,745
Products traded on stock exchange
Interest rate futures | 30,308 | 7,349 | 1,178 | 38,835 | 38,835 | 31 | 4 | 31 | 4
Interest rate options | 133,165 | 340,386 | 98,472 | 572,023 | 572,023 | 2,179 | 3,323 | 2,179 | 3,323
b) Foreign exchange rate contracts | 46,459,532 | 8,097,831 | 2,117,202 | 56,674,565 | 52,247,454 | 688,941 | 597,612 | 653,687 | 591,391
OTC products |  |  |  |  |  |  |  |  |
Cross-currency interest rate swaps | 2,463,602 | 7,239,990 | 2,117,202 | 11,820,794 | 7,452,175 | 293,869 | 191,412 | 258,033 | 185,191
Forward foreign exchange contracts | 39,726,990 | 20,956 | 0 | 39,747,946 | 39,747,946 | 385,675 | 402,013 | 385,675 | 402,013
Currency options – purchased | 3,443,566 | 275,712 | 0 | 3,719,278 | 3,660,786 | 9,397 | 0 | 9,979 |
Currency options – sold | 807,849 | 561,173 | 0 | 1,369,022 | 1,369,022 | 0 | 4,120 | 0 | 4,120
Other similar interest rate contracts |  |  |  |  |  |  |  |  |
Products traded on stock exchange
Currency contracts (futures) | 17,525 | 0 | 0 | 17,525 | 17,525 |  | 67 | 0 | 67
c) Securities-related transactions | 1,243,703 | 2,935,613 | 870,787 | 5,050,103 | 5,050,103 | 277,234 | 79,153 | 277,234 | 79,153
OTC products |  |  |  |  |  |  |  |  |
Equity/Index options -buy | 226,524 | 1,925,388 | 651,696 | 2,803,608 | 2,803,608 | 276,270 | 0 | 276,270 | 0
Equity/Index options -sell | 243,717 | 929,950 | 219,091 | 1,392,758 | 1,392,759 | 0 | 79,153 | 0 | 79,153
Products traded on stock exchange
Equity/Index options | 773,462 | 80,275 | 0 | 853,737 | 853,736 | 964 | 0 | 964 | 0
d) Commodity contracts | 19,520 | 1,839 | 0 | 21,359 | 21,359 | 598 | 37 | 598 | 37
OTC products |  |  |  |  |  |  |  |  |
Commodities | 1,900 | 1,839 | 0 | 3,739 | 3,739 | 598 | 0 | 598 | 0
Products traded on stock exchange
Commodity futures | 17,620 | 0 | 0 | 17,620 | 17,620 | 0 | 37 | 0 | 37
e) Credit derivative contracts | 193,393 | 1,287,033 | 496,894 | 1,977,320 | 1,341,033 | 26,373 | 41,871 | 26,373 | 38,549
OTC products |  |  |  |  |  |  |  |  |
Credit default swap | 193,393 | 1,287,033 | 496,894 | 1,977,320 | 1,341,033 | 26,373 | 41,871 | 26,373 | 38,549

238 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

31/12/2022 | Nominal amount by maturity |  | Fair value | Carrying amount
in € thousand | Up to 1 year | More than 1 year, up to 5 years | More than 5 years | Total | hereof trading book | positive | negative | positive | negative
Total | 84,330,522 | 116,250,894 | 78,496,258 | 279,077,674 | 184,149,989 | 9,105,538 | 9,090,068 | 5,191,707 | 5,037,385
a) Interest rate contracts | 38,761,427 | 104,613,375 | 74,926,013 | 218,300,815 | 126,491,881 | 7,824,676 | 8,047,858 | 3,976,963 | 4,013,510
OTC products |  |  |  |  |  |  |  |  |
Interest rate swaps | 34,439,803 | 91,032,083 | 69,960,936 | 195,432,822 | 112,883,883 | 7,603,198 | 7,943,494 | 3,729,873 | 3,854,152
Floating Interest rate swaps |  |  |  | 0 |  |  |  |  |
Interest rate futures | 2,344,706 | 100,000 | 0 | 2,444,706 | 2,070,520 | 4,314 | -433 | 4,314 | 433
Interest rate options - buy | 644,694 | 4,900,701 | 1,726,545 | 7,271,940 | 5,761,131 | 210,329 |  | 217,336 |
Interest rate options - sell | 1,259,091 | 7,970,283 | 2,908,678 | 12,138,052 | 4,763,052 |  | 98,559 |  | 152,687
Other similar interest rate contracts | 36,759 | 502,150 | 311,238 | 850,147 | 850,147 | 4,769 | 5,841 | 23,374 | 5,841
Products traded on stock exchange
Interest rate futures | 6,874 | 9,282 | 7,366 | 23,522 | 23,522 | 0 | 19 | 0 | 19
Interest rate options | 29,500 | 98,876 | 11,250 | 139,626 | 139,626 | 2,066 | 378 | 2,066 | 378
b) Foreign exchange rate contracts | 45,078,733 | 7,690,209 | 2,281,218 | 55,050,160 | 52,494,737 | 1,072,114 | 862,829 | 1,014,083 | 839,801
OTC products |  |  |  |  |  |  |  |  |
Cross-currency interest rate swaps | 2,925,917 | 5,533,956 | 2,281,218 | 10,741,091 | 8,195,130 | 465,995 | 252,206 | 407,964 | 229,178
Forward foreign exchange contracts | 41,214,037 | 1,952,743 | 0 | 43,166,780 | 43,166,779 | 596,759 | 600,886 | 596,759 | 600,886
Currency options – purchased | 388,265 | 66,683 | 0 | 454,948 | 445,487 | 9,360 |  | 9,360 | 0
Currency options – sold | 550,514 | 136,826 | 0 | 687,340 | 687,341 |  | 9,737 | 0 | 9,737
Products traded on stock exchange
c) Securities-related transactions | 469,362 | 2,496,741 | 745,700 | 3,711,802 | 3,711,802 | 190,022 | 165,528 | 190,022 | 165,528
OTC products |  |  |  |  |  |  |  |  |
Equity/Index options -buy | 199,755 | 1,379,749 | 639,661 | 2,219,165 | 2,219,166 | 190,022 | 0 | 190,022 |
Equity/Index options -sell | 269,606 | 1,116,992 | 106,039 | 1,492,637 | 1,492,637 | 0 | 165,528 |  | 165,528
Products traded on stock exchange
d) Commodity contracts | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
e) Credit derivative contracts | 21,000 | 1,450,569 | 543,327 | 2,014,896 | 1,451,569 | 18,726 | 13,853 | 10,639 | 18,546
OTC products |  |  |  |  |  |  |  |  |
Credit default swap | 21,000 | 1,450,569 | 543,327 | 2,014,896 | 1,451,569 | 18,726 | 13,853 | 10,639 | 18,546

The following derivatives shown in the list of open forward transactions are recognized at fair value in the statement of
financial position:

Derivative financial instruments | Positive fair values | Negative fair values
in € thousand | 31/12/2023 | 31/12/2022 | 31/12/2023 | 31/12/2022
Derivatives in the trading book |  |  |  |
a) Interest rate contracts | 2,728,475 | 3,787,182 | 2,744,555 | 3,914,276
b) Foreign exchange rate contracts | 649,185 | 1,003,131 | 574,235 | 826,011
c) Share and index contracts | 200,563 | 25,764 | 2,091 | 1,270
d) Credit derivatives | 26,373 | 10,757 | 26,987 | 9,948
e) Commodities | 598 | 0 | 37 | 0

Securities
Debt securities and other fixed-income securities amounting to € 406,606 thousand (31/12/2022: € 350,601 thousand) will
mature next financial year.
The table below lists the securities admitted to stock exchange trading (asset side), broken down into listed and unlisted
securities (amounts incl. interest accrued):

Securities | Listed | Unlisted | Listed | Unlisted
in € thousand | 31/12/2023 | 31/12/2023 | 31/12/2022 | 31/12/2022
Debt securities and other fixed-income securities | 3,749,212.0 | 28,083.5 | 4,746,281.7 | 47,085.3
Shares and other variable-yield securities | 365,001.7 | 0.0 | 256,359.0 | 1,439.0

The table below lists securities admitted to stock exchange trading (asset side) measured as fixed assets or current assets
(including trading portfolio):
Notes 239
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Securities | Fixed assets | Current assets | Fixed assets | Current assets
in € thousand | 31/12/2023 | 31/12/2023 | 31/12/2022 | 31/12/2022
Debt securities and other fixed-income securities | 1,933,349.7 | 1,843,945.7 | 1,922,436.3 | 2,870,930.7
Shares and other variable-yield securities | 0.0 | 365,001.7 | 0.0 | 257,799.0

The table below shows the disposal of securities from fixed assets. Of this amount, € 1,019,992 thousand related to repayments
(31/12/2022: € 924,927 thousand).

On-balance | Nominal amount | Net result | Nominal amount | Net result
in € thousand | 31/12/2023 | 31/12/2023 | 31/12/2022 | 31/12/2022
Treasury bills and other bills eligible for refinancing with central banks | 447,841.7 | (3,895.1) | 248,160.0 | (6,532.1)
Loans to banks | 53,893.6 | 0.0 | 82,120.2 | 0.0
Loans to customers | 286,049.3 | (225.0) | 312,016.2 | (1,142.6)
Debt securities and other fixed-income securities | 301,207.2 | 112.3 | 564,538.5 | (2,148.5)
Shares and other variable-yield securities | 0.0 | 0.0 | 58,000.0 | 0.0
Total | 1,088,991.8 | (4,007.8) | 1,264,834.9 | (9,823.2)

Difference between the acquisition cost and the repayment amount for securities (except zero-coupon bonds) in the
investment portfolio (banking book):
The difference between the amortized costs and the repayment amounts is comprised of € 55,075 thousand (31/12/2022:
€ 75,036 thousand) to be recognized in the future as expenditure, and € 165,708 thousand (31/12/2022: € 93,801 thousand) to be
recognized as income.
In the case of securities admitted to stock exchange trading and recognized at fair value that do not have the characteristics
of financial investments, the difference between the acquisition cost and the higher fair value is € 7,742 thousand (31/12/2022:
€ 4,934 thousand) pursuant to Section 56 (4) of the Austrian Banking Act (BWG) and € 0 thousand (31/12/2022: € 2,458
thousand) pursuant to Section 56 (5) of the Austrian Banking Act (BWG).
The item loans and advances to credit institutions contains own bonds that are not admitted for public trading in an amount
of € 16,509 thousand (31/12/2022: € 15,272 thousand).
Securities amounting to € 496,340 thousand (31/12/2022: € 583,472 thousand) are the subject of genuine repurchase
transactions on the reporting date, whereby RBI AG is the seller and the securities continue to be recognized on the statement
of financial position.
The volume of RBI’s trading book pursuant to Article 103 CRR is € 203,359,690 thousand (31/12/2022: € 120,771,058 thousand),
with € 7,046,254 thousand (31/12/2022: € 4,612,566 thousand) accounted for by securities and € 196,313,436 thousand
(31/12/2022: € 116,158,492 thousand) accounted for by other financial instruments. Securities relates to the carrying amounts of
the instruments, while other financial instruments relates to derivatives, including nominal values.
The fair value is lower than the carrying amount for the following financial instruments that are reported as financial
investments:

Financial investments | Carrying amount | Fair value | Carrying amount | Fair value
in € thousand | 31/12/2023 | 31/12/2023 | 31/12/2022 | 31/12/2022
1. | Treasury bills and other bills eligible for refinancing with central banks | 5,885,751.1 | 5,367,189.4 | 6,404,251.8 | 5,612,351.7
2. | Loans to banks | 98,581.5 | 96,588.0 | 158,905.8 | 153,715.1
3. | Loans to customers | 311,806.0 | 305,201.8 | 218,440.7 | 211,276.9
4. | Debt securities and other fixed-income securities |  |  |  |
| a) Issued by public bodies | 0.0 | 0.0 | 0.0 | 0.0
| b) Issued by other borrowers | 1,461,315.4 | 1,369,290.2 | 1,848,630.9 | 169,663.2
5. | Shares and other variable-yield securities | 363,288.0 | 361,463.5 | 440,222.1 | 431,710.6
Total | 8,120,742.0 | 7,499,732.9 | 9,070,451.3 | 6,578,717.5

An impairment (in accordance with Section 204 (2) of the Austrian Commercial Code (UGB) is not accounted for as the
assessment of the credit rating of the security borrower is such that scheduled interest payments and repayments are
expected to be made.
240 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Investments and shares in affiliated companies
There are cross shareholdings with UNIQA Insurance Group AG, Vienna, and Posojilnica Bank eGen, Klagenfurt. There are no
profit and loss transfer agreements as at 31 December 2023.
Affiliated companies

Company, domicile (country) | Total nominal value in thousand | Currency | Direct share of RBI | Equity in € thousand | Result in € thousand 1 | From annual financial statements 2
Akcenta CZ a.s., Prag 3 | 100,125 | CZK | 70 % | 602 | 86 | 31/12/2023
Akcenta Logisitic a.s., Prag 3 | 2,000 | CZK | 70 % | 200 | 17 | 31/12/2022
Angaga Handels- und Beteiligungs GmbH, Wien | 35 | EUR | 100 % | 2,150 | (291) | 31/12/2023
AO Raiffeisenbank, Moskau 3 | 36,711,260 | RUB | 100 % | 4,358,883 | 1,349,655 | 31/12/2023
BAILE Handels- und Beteiligungsgesellschaft m.b.H.,Wien 2 | 40 | EUR | 100 % | 249,295 | 12,867 | 31/12/2023
Centralised Raiffeisen International Services & Payments S.R.L., Bukarest | 2,820 | RON | 100 % | 19,996 | 2,991 | 31/12/2023
Elevator Ventures Beteiligungs GmbH, Wien | 100 | EUR | 100 % | 36,457 | (2,082) | 31/12/2023
Extra Year Investments Limited, Tortola | 50 | USD | 100 % | 7,080 | 760 | 31/12/2022
Fairo GmbH, Wien 2 | 35 | EUR | 100 % | 2,692 | (2,979) | 31/12/2023
FAIRO LLC, Kiew | 1,881 | UAH | 100 % | 7,575 | 750 | 31/12/2022
FARIO Handels- und Beteiligungsgesellschaft m.b.H., Wien | 40 | EUR | 100 % | 2,070 | (9) | 31/12/2023
GABARTS Beteiligungs GmbH & Co. KG | 10 | EUR | 100 % | N/A 4 | N/A | N/A
Golden Rainbow International Limited, Tortola | <1 | USD | 100 % | 7,080 | 60 | 31/12/2022
Kathrein Privatbank Aktiengesellschaft, Wien (AT)2 | 20,000 | EUR | 100 % | 50,453 | 2,285 | 31/12/2023
KAURI Handels und Beteiligungs GmbH, Wien 2 | 50 | EUR | 88 % | 7,080 | 760 | 31/12/2023
LOTA Handels- und Beteiligungs-GmbH, Wien | 35 | EUR | 100 % | 1,921 | (15) | 31/12/2023
R.L.H. Holding GmbH, Wien | 35 | EUR | 100 % | 7,575 | 750 | 31/12/2023
R.P.I. Handels- und Beteiligungsges.m.b.H., Wien 2 | 36 | EUR | 100 % | 155 | (11) | 31/12/2023
RADWINTER SP.Z.O.O | 10 | PLN | 100 % | 2,400 | (18) | 31/12/2022
Raiffeisen Bank Aval JSC, Kiew (UA) | 6,154,516 | UAH | 68 % | 511,892 | 121,394 | 31/12/2023
Raiffeisen Continuum GmbH & Co KG, Wien | 85 | EUR | 59 % | 110 | (45) | 31/12/2022
Raiffeisen Continuum GmbH, Wien | 100 | EUR | 14 % | 967,574 | 15,226 | 31/12/2022
Raiffeisen Continuum Management GmbH, Wien | 100 | EUR | 50 % | 248,357 | 20,664 | 31/12/2022
Raiffeisen Digital Bank AG | 47,599 | EUR | 100 % | 115,913 | (32,823) | 31/12/2023
Raiffeisen Investment Advisory GmbH, Wien | 730 | EUR | 100 % | 997 | 60 | 31/12/2023
Raiffeisen RS Beteiligungs GmbH, Wien 2 | 35 | EUR | 100 % | 5,894,010 | 1,518,059 | 31/12/2023
Raiffeisen Tech GmbH 4 | 35 | EUR | 100 % | N/A | N/A | N/A
RALT Raiffeisen Leasing Ges.m.b.H, Wien 2 | 219 | EUR | 100 % | 46,971 | 1,010 | 31/12/2023
RALT Raiffeisen-Leasing GmbH & Co. KG, Wien 2 | 19,970 | EUR | 97 % | 32,799 | 0 | 31/12/2023
RB International Investment Asia Limited, Labuan | <1 | USD | 100 % | 178 | (23) | 31/12/2022
RB International Markets (USA) LLC, New York 3 | 8,000 | USD | 100 % | 13,392 | 375 | 31/12/2022
RBI Group IT GmbH, Wien | 100 | EUR | 100 % | 110 | <1 | 31/12/2023
RBI Invest GmbH, Wien 2 | 500 | EUR | 100 % | 967,574 | 20,977 | 31/12/2023
RBI Kantinenbetriebs GmbH, Wien | 35 | EUR | 100 % | 1,086 | (616) | 31/12/2022
RBI LEA Beteiligungs GmbH, Wien 2 | 70 | EUR | 100 % | 248,357 | 8,566 | 31/12/2023
RBI PE Handels- und Beteiligungs GmbH, Wien 2 | 150 | EUR | 100 % | 686 | (27) | 31/12/2023
RBI Retail Innovation GmbH, Wien 2 | 35 | EUR | 100 % | 5,289 | (45) | 31/12/2023
REC Alpha LLC, Kiew 3 | 1,596,843 | UAH | 85 % | 3,328 | (109) | 31/12/2023
Regional Card Processing Center s.r.o., Bratislava 3 | 539 | EUR | 100 % | 23,207 | 2,193 | 31/12/2023
R-Insurance Services sp. z o.o. | 5 | PLN | 100 % | 3,319 | 640 | 31/12/2023
RL Leasing GmbH, München (DE) | 26 | EUR | 25 % | 28 | (6) | 31/12/2022
RZB-BLS Holding GmbH, Wien 2 | 500 | EUR | 100 % | 430,042 | (109) | 31/12/2023
Salvelinus Handels- und Beteiligungsges.m.b.H., Wien 2 | 40 | EUR | 100 % | 391,709 | 2,193 | 31/12/2023
Scantius Holding GmbH 4 | 35 | EUR | 100 % | N/A | N/A | N/A
TEG 1 Imm GmbH & Co KG 4 | 10 | EUR | 100 % | N/A | N/A | N/A
Ukrainian Processing Center PJSC, Kiew 3 | 180 | UAH | 100 % | 34,192 | 9,625 | 31/12/2023
ZHS Office- & Facilitymanagement GmbH, Wien 2 | 36 | EUR | 1 % | 909 | 49 | 31/12/2023
1 The result (in part from the consolidated financial statements) in € thousand corresponds to the annual profit/loss 2 Equity and result reported in accordance with IFRS (fully consolidated domestic entities) 3 Equity and result reported in accordance with IFRS (fully consolidated foreign entities) 4 Foundation 2023

Notes 241
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Fixed assets
The land value of developed land amounts to € 33 thousand (31/21/2022: € 2,667 thousand). The reduction relates to a
contribution into a project company.
RBI AG was not directly involved in the leasing business as a lessor in 2023.
Obligations from the use of tangible fixed assets not reported on the statement of financial position amount to € 42,528
thousand (31/12/2022: € 39,998 thousand) for the following financial year, of which € 39,101 thousand were owed to affiliated
companies (31/12/2022: € 36,591 thousand). The total amount of obligations for the following five years amounts to € 248,899
thousand (31/12/2022: € 237,098 thousand), of which € 228,845 thousand are owed to affiliated companies (31/12/2022:
€ 216,900 thousand).
The intangible fixed assets item includes no intangible fixed assets acquired from affiliated companies.
The following tables show the changes in fixed assets:

in € thousand | Cost of acquisition or conversion
Item | Description of fixed assets | As at 1/1/2023 | Additions due to merger | Exchange differences | Additions | Disposals | Transfers | As at 31/12/2023
|  | 1 | 2 | 3 | 4 | 5 | 6 | 7
1. | Treasury bills and other bills eligible for refinancing with central banks | 6,495,961 | 0 | (918) | 1,791,342 | (449,791) | 0 | 7,836,594
2. | Loans to banks | 157,863 | 0 | (2,540) | 55,000 | (53,120) | 0 | 157,203
3. | Loans to customers | 641,962 | 0 | (2,594) | 193,327 | (205,940) | 0 | 626,755
4. | Debt securities and other fixed-income securities | 1,917,673 | 0 | (6,420) | 301,020 | (291,995) | 0 | 1,920,278
a) | Issued by public bodies | 0 | 0 | 0 | 0 | 0 | 0 | 0
b) | own debt securities | 0 | 0 | 0 | 0 | 0 | 0 | 0
c) | Issued by other borrowers | 1,917,673 | 0 | (6,420) | 301,020 | (291,995) | 0 | 1,920,278
5. | Shares and other variable-yield securities | 518,400 | 0 | 0 | 40,000 | 0 | 0 | 558,400
6. | Equity interests | 97,362 | 0 | 0 | 5,168 | (722) | (7,739) | 94,069
7. | Investments in affiliated companies | 12,552,877 | 0 | 0 | 42,108 | (31,327) | (14) | 12,563,644
8. | Intangible fixed assets | 212,403 | 0 | 373 | 3,431 | (26,253) | 0 | 189,954
9. | Tangible fixed assets | 67,125 | 0 | 188 | 2,786 | (23,435) | 0 | 46,664
10. | Other assets | 231 | 0 | 0 | 0 | 0 | 0 | 231
| Total |  | 0 | (18,331) | 2,735,202 | (1,374,578) | (7,753) | 25,914,070

in € thousand | Writing up/depreciation/revaluation | Carrying amount
Item | Cumulative depreciation as of 1/1/2023 | Additions due to merger | Exchange differences | Cumulative depreciation and amortization disposal | Write-ups | Depreciation | Transfers | Cumulative depreciation as of 31/12/2023 | 31/12/2023 | 31/12/2022
| 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17
1. | (33,966) | 0 | (26) | 2,789 | 18,064 | (18,923) | 0 | (32,062) | 7,804,532 | 6,461,995
2. | (11) | 0 | 1 | 42 | 570 | (481) | 0 | 121 | 157,324 | 157,853
3. | (809) | 0 | (11) | 176 | 1,388 | (370) | 0 | 374 | 627,129 | 641,154
4. | (4,501) | 0 | (57) | 590 | 5,451 | (4,658) | 0 | (3,175) | 1,917,103 | 1,913,172
a) | 0 | 0 | 0 | (1) | 0 | 0 | 0 | 0 | 0 | 0
b) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
c) | (4,501) | 0 | (57) | 590 | 5,451 | (4,658) | 0 | (3,175) | 1,917,103 | 1,913,172
5. | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 558,400 | 518,400
6. | (38,421) | 0 | 0 | 0 | 5,923 | (1,675) | 7,751 | (26,422) | 67,646 | 58,941
7. | (2,877,924) | 0 | 0 | 19,388 | 640,789 | (83,374) | 2 | (2,301,119) | 10,262,525 | 9,674,953
8. | (184,856) | 0 | (48) | 22,630 | 0 | (8,171) | 0 | (170,445) | 19,509 | 27,548
9. | (39,731) | 0 | (97) | 14,200 | 0 | (4,144) | 0 | (29,772) | 16,892 | 27,394
10. | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 231 | 231
| (3,184,720) | 0 | (295) | 60,404 | 677,636 | (126,454) | 7,753 | (2,565,676) | 23,348,394 | 21,394,812

242 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other assets
As at 31 December 2023, other assets totaled € 6,989,545 thousand (31/12/2022: € 6,551,745 thousand). This item also contains
loans and advances from treasury transactions (positive market values arising from derivatives in the trading book, including
derivatives for capital guarantees, as well as accrued interest from derivatives in the banking book – for details, refer to the
table on open forward transactions) in the amount of € 4,090,369 thousand (31/12/2022: € 5,105,179 thousand). This item also
includes loans and advances (special fund) to the Austrian Raiffeisen Deposit Guarantee scheme (ÖRES) relating to the
Raiffeisen-IPS contribution of € 484,255 thousand (31/12/2022: € 392,005 thousand), loans and advances to the tax
administration in the amount of € 48,510 thousand (31/12/2022: € 54,935 thousand), holdings of precious metals in coin and
other forms in the amount of € 238,726 thousand (31/12/2022: € 113,743 thousand), loans and advances to Group members
arising from tax transfers in the amount of € 51,846 thousand (31/12/2022: € 51,225 thousand) and dividends receivable totaling
€ 1,700,550 thousand (31/12/2022: € 500,540 thousand).
The other assets also contain income of € 2,154,521 thousand (31/12/2022: € 746,521 thousand) which is not payable until after
the reporting date.
Deferred tax assets
The deferred tax assets of € 411 thousand (31/12/2022: € 1,077 thousand) shown in the statement of financial position result
primarily from tax loss carryforwards against American tax authorities of the subsidiary RB International Finance (USA), LLC,
New York, which was liquidated in 2017. They are based on the planned future taxable profit of the subsidiary RB International
Markets (USA) LLC, New York (tax rate: 25.4 per cent). Existing liability-side temporary differences were fully offset against
asset-side temporary differences in the amount of € 23,354 thousand (31/12/2022: none). No deferred tax assets were
recognized for asset-side temporary differences of € 155,083 thousand (31/12/2022: € 207,025 thousand) and € 1,841,125
thousand (31/12/2022: € 2,107,800 thousand) from domestic tax loss carry forwards as it does not appear that they can be
realized within a reasonable time from today's perspective.
For the calculation of deferred tax assets and liabilities, the applicable tax rate is that which is likely to be applied upon
realization (reversal) of the underlying temporary difference. With the eco-social tax reform 2022, a gradual reduction of the
corporate income tax rate from 25 per cent to 23 per cent (2023: 24 per cent, from 2024: 23 per cent) was adopted in Austria.
For deferred tax assets, a tax rate of 11.5 per cent is to be applied. For deferred tax liabilities, the corresponding tax rates are
24 per cent and 23 per cent, or 12 per cent and 11.5 per cent where such liabilities can be offset against loss carryforwards or
deferred tax assets.
The rationale behind recognizing deferred tax assets at half the statutory corporate tax rate is grounded in the certainty of
future relief at this rate, as stipulated by the relevant group allocation agreement. Any additional relief cannot be reliably
estimated for the respective group member, given the member’s lack of influence on the determination of the taxable profit
share at group level. Deferred tax liabilities are recognized at 23 per cent (in the absence the possibility of offsetting them
with deferred tax assets) due to the agreed allocation rate for positive results. This rate is only lower when there is a taxable
profit share.
Subordinated assets
Subordinated assets contained under assets:

in € thousand | 31/12/2023 | 31/12/2022
Loans to banks | 547,425.1 | 857,921.5
hereof to affiliated companies | 545,687.2 | 856,230.6
hereof to companies linked by virtue of a participating interest | 1,737.8 | 1,690.9
Loans to customers | 36,844.0 | 112,583.6
hereof to affiliated companies | 0.0 | 6,480.8
hereof to companies linked by virtue of a participating interest | 2,215.0 | 2,212.1
Debt securities and other fixed-income securities | 56,615.1 | 62,497.3
hereof to affiliated companies | 0.0 | 0.0
hereof to companies linked by virtue of a participating interest | 0.0 | 3,047.2
Shares and other variable-yield securities | 636,420.3 | 597,828.3
hereof to affiliated companies | 594,673.9 | 543,470.1
hereof to companies linked by virtue of a participating interest | 1,364.2 | 3,262.5

The table above incorporates proprietary holdings of Tier 2 and AT1 instruments, delineated in finer granularity within the
respective liability line item.
Notes 243
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Restrictions related to asset availability
As at the reporting date, there were restrictions related to asset availability (in accordance with Section 64 (1) 8 BWG):

in € thousand | 31/12/2023 | 31/12/2022
Indemnification for securities lending transactions | 229,491.9 | 142,868.5
Loans assigned to Oestereichische Kontrollbank (OeKB) | 3,089,881.1 | 2,736,859.9
Indemnification for OeNB tender | 0.0 | 3,582,633.5
Loans assigned to European Investment Bank (EIB) | 21,004.7 | 37,533.6
Loans assigned to Kreditanstalt für Wiederaufbau (KfW) | 156,420.6 | 170,249.6
Institutional Protection Scheme | 484,255.1 | 342,298.1
Margin requirements | 54,620.7 | 54,671.8
Treasury call deposits for contractual netting agreements | 1,652,917.7 | 2,120,256.9
Total | 5,688,591.8 | 9,187,371.9

In addition, assets with usage restrictions in an amount of € 2,160,860 thousand (31/12/2022: € 2,469,367 thousand) exist for
covered bonds which have been established but not yet issued.
RBI AG recognizes derivatives with a carrying amounts of € 4,090,369 thousand (31/12/2022: € 5,105,179 thousand) under other
assets, of which € 3,718,901 thousand (31/12/2022: € 4,633,419 thousand) are collateralized by cash collateral. The item other
liabilities also includes derivatives with a carrying amount of € 3,722,604 thousand (31/12/2022: € 4,916,710 thousand), of which
€ 3,333,134 thousand (31.12.2022: € 4,345,431 thousand) are collateralized by cash collateral. These carrying amounts of
derivatives classified under other assets include carrying amounts attributable to members of the Austrian resolution group in
the amount of € 879 thousand (31/12/2022: € 1,557 thousand) and carrying amounts attributable to other liabilities in the
amount of € 24,993 thousand (31/12/2022: € 8,224 thousand), which are also collateralized by cash collateral.
None of the balance sheet items are netted out, as each contracting party is granted the right to offset recognized amounts,
which is enforceable only if an event such as insolvency or bankruptcy occurs. Moreover, there exists is no intention to settle on
a net basis..
Asset items for affiliated companies and companies linked by virtue of a
participating interest
Loans and advances as well as debt securities and other fixed-income securities to and from affiliated companies and
companies linked by virtue of a participating interest:

in € thousand | 31/12/2023 | 31/12/2022
Loans to banks |  |
To affiliated companies | 2,601,073.4 | 3,522,104.8
To companies linked by virtue of a participating interest | 399,564.3 | 374,155.7
Loans to customers |  |
To affiliated companies | 1,370,064.6 | 1,399,316.8
To companies linked by virtue of a participating interest | 71,038.3 | 87,615.2
Debt securities and other fixed-income securities |  |
To affiliated companies | 74,124.1 | 71,157.9
To companies linked by virtue of a participating interest | 58,586.6 | 157,889.7

244 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Equity and liabilities
Liabilities
Breakdown of maturities
Liabilities to credit institutions, liabilities to customers, securitized liabilities and other liabilities break down by their residual
terms as follows:

in € thousand | 31/12/2023 | 31/12/2022
Deposits from banks | 26,684,645.8 | 35,300,134.0
Repayable on demand | 4,525,879.7 | 5,532,066.9
Up to 3 months | 15,007,974.9 | 17,210,346.0
More than 3 months, up to 1 year | 1,106,792.6 | 5,619,876.2
More than 1 year, up to 5 years | 3,851,217.8 | 4,227,131.9
More than 5 years | 2,192,781.0 | 2,710,713.0
Deposits from customers | 19,901,522.2 | 23,097,485.1
Repayable on demand | 6,759,789.7 | 7,188,567.9
Up to 3 months | 9,496,320.5 | 9,960,315.9
More than 3 months, up to 1 year | 2,426,369.5 | 4,274,787.6
More than 1 year, up to 5 years | 449,384.2 | 795,655.4
More than 5 years | 769,658.4 | 878,158.2
Debt securities issued | 17,079,035.6 | 15,470,238.6
Up to 3 months | 346,615.9 | 480,233.0
More than 3 months, up to 1 year | 701,189.3 | 1,350,599.4
More than 1 year, up to 5 years | 15,269,369.8 | 11,582,481.1
More than 5 years | 761,860.6 | 2,056,925.0
Other liabilities | 4,572,765.4 | 5,380,247.1
Up to 3 months | 4,572,765.4 | 5,380,247.1

Bonds and notes issued amounting to € 1,057,003 thousand (31/12/2022: € 1,780,679 thousand) will become due in next financial
year.
Liabilities to affiliated companies and companies linked by virtue of a participating interest:

in € thousand | 31/12/2023 | 31/12/2022
Deposits from banks |  |
From affiliated companies | 4,958,637.2 | 5,956,385.9
From companies linked by virtue of a participating interest | 5,242,490.3 | 5,182,369.3
Deposits from customers |  |
From affiliated companies | 4,519,741.4 | 4,153,936.4
From companies linked by virtue of a participating interest | 66,141.3 | 67,874.5

TLTRO III program (Targeted Longer-Term Refinancing Operations)
As of the reporting date, RBI AG had no long-term financing from the TLTRO-III Program (31/12/2022: nominal amount of
€ 4,925,000 thousand). In 2023, all open tranches were repaid early, which included € 3,500,000 thousand in January 2023
(maturing in June 2023), € 800,000 thousand in June 2023 (maturing in December 2023), and in December 2023 € 200,000
thousand (maturing in March 2024) and € 425,000 thousand (maturing in June 2024).
In the year under review, negative interest from the TLTRO III programs in the amount of € 919 thousand (31/12/2022: € 28,831
thousand) was recognized in net interest income, while interest expenses in the amount of € 27,496 thousand were recognized
(31/12/2022: € 0 thousand.
Notes 245
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other liabilities
As at 31 December 2023, other liabilities amounted to € 4,572,765 thousand (31/12/2022: € 5,380,247 thousand). This item also
contains liabilities from treasury transactions (primarily negative market values arising from derivatives in the trading book, as
well as accrued interest from derivatives in the banking book – for details, refer to the table on open forward transactions) in
the amount of € 3,715,786 thousand (31/12/2022: € 4,901,000 thousand) and liabilities from shot positions in bonds of € 555,015
thousand (31/12/2022: € 80,929 thousand) from short positions in bonds. The fair market value of the hedges for capital
guarantees for funds is € 6,799 thousand (31/12/2022: € 15,710 thousand). The item also includes accrued interest for Tier 2
capital of € 20,418 thousand (31/12/2022: € 70,933 thousand), liabilities from tax transfers (corporate income tax) and liabilities
from creditable capital yields and withholding tax toward Group members totaling € 21,194 thousand (31/12/2022: € 27,067
thousand).
The other liabilities also contain expenses in the amount of € 388,166 thousand (31/12/2022: € 233,751 thousand), for which
payment is to be made after the reporting date.
Provisions
Provisions amount to € 51,174 thousand (31/12/2022: € 51,039 thousand) for severance payments, € 61,475 thousand
(31/12/2022: € 61,150 thousand) for pensions, € 18,253 thousand (31/12/2022: € 10,356 thousand) for tax provisions, and € 816,794
thousand (31/12/2022: € 644,358 thousand) for other provisions (for additional information about other provisions, please refer
to the breakdown in the table below). Reinsurance policies for pension provisions are in place in the amount of € 9,768
thousand (31/12/2022: € 9,955 thousand). In the financial year under review these were offset with claims of the same amount.
The tax provisions of € 18,253 thousand mainly relate to provisions for corporate income tax from 2020 in the amount of
€ 7,500 thousand, with an additional € 1,744 thousand related to 2022 and € 8,150 thousand to 2023.
The increase in other provisions to € 192,881 thousand resulted primarily from higher provisions for litigation risks related to
legal disputes for foreign currency loans in Poland. Provisions for guaranteed loans and for operational risks/claims/other
experienced a year-on-year decline.
As of 31 December 2023, a provision for impending losses is recognized in the amount of € 82,482 thousand (31/12/2022:
€ 82,183 thousand) for derivatives valued as functional units, valuation units as well as credit derivatives and unsettled UAH
transactions.
Litigation risk for foreign currency loans in Poland
In Poland, a significant number of civil lawsuits are pending in relation to certain contractual stipulations connected with
consumer mortgage loans denominated in or indexed to foreign currencies. As at 31 December 2023, the total amount in
dispute was approximately PLN 5,411 million (€ 1,156 million). The number of lawsuits continues to increase.
In this context, a Polish court requested the Court of Justice of the European Union (CJEU) to clarify whether certain clauses in
these agreements breach European law and are unfair. The CJEU’s preliminary ruling (C-260/18) in October 2019 does not
answer whether the loan agreements are invalid in whole or part but merely gives interpretative guidance on the principles
according to which the national courts must decide in each individual case. According to this, a loan agreement without unfair
terms should remain valid provided that it is in conformity with national law. If a loan agreement cannot remain valid without
the unfair term, the entire contract would have to be annulled. If the annulment of the entire contract triggers material
negative consequences for the borrower, the Polish courts can replace the unfair term by a valid term in accordance with
national law. The consequences of the contract being annulled must be carefully examined so that the borrower can consider
all potential negative consequences of annulment. However, the consequences of canceling an annulled loan agreement
remain unclear and may be serious for the borrower, for example due to the obligation to repay the loan immediately including
the costs of using the loan amount. It remains to be seen how the principles developed by the CJEU will be applied under
national law on a case-by-case basis.
In another proceeding involving RBI, the District Court for Warszawa-Wola in Warsaw requested the CJEU to issue a preliminary
ruling concerning the way in which the contractual provisions concerning the rules for determining the buying and selling rates
for foreign currency are to be formulated in the case of consumer mortgage loans indexed to a foreign currency. In the
judgement of 18 November 2021 in case C-212/20, the CJEU considered that the content of a clause of a loan agreement that
sets the buying and selling prices of a foreign currency to which the loan is indexed must enable a reasonably well informed
and reasonably observant consumer, based on clear and intelligible criteria, to understand the way in which the foreign
currency exchange rate used to calculate the amount of the repayment installments is set. Based on information specified in
such a provision, the consumer must be able to determine on his or her own, at any time, the exchange rate applied by the
entrepreneur. In the justification the CJEU specified that a provision that does not enable the consumer to determine the
exchange rate himself or herself is unfair. Moreover, the CJEU indicated in said judgement that the national court, when the
considered term of a consumer contract is unfair, is not allowed to interpret that term in order to remedy its unfairness, even if
that interpretation would correspond to the common intention of the parties to that contract. Only if the invalidity of the
unfair term were to require the national court to annul the contract in its entirety, thereby exposing the consumer to
246 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
particularly unfavorable consequences, so that the consumer would thus be penalized, the national court might replace that
term with a supplementary provision of national law. The CJEU therefore did not entirely preclude national courts hearing such
cases from supplementing the contract with supplementary provisions of national law, but gaps may not be filled solely with
national provisions of a general nature and such remedy may be applied only in strictly limited cases as specified by the CJEU.
The assessment of an unfair nature of contractual provisions as well as the decision concerning supplementation of the
contract after removal of unfair contractual clauses, however, still falls within the competence of the national court hearing
the case. The CJEU did not determine at all whether, in the consequence of the above-mentioned actions, the entire foreign
currency contract is to be annulled. The current judicial practice of Polish courts is already consistent with the CJEU’s
preliminary ruling and, thus, unfavorable for banks holding consumer mortgage loans indexed to a foreign currency. The
respective clauses, depending on the assessment made by the national court hearing the case, may not meet the requirements
as specified in the above CJEU judgement.
On 15 June 2023, the CJEU announced its judgment in case C-520/21 on the consequences of the annulment of a mortgage loan
agreement vitiated by unfair terms. The consumer mortgage loan agreement indexed to CHF had been annulled on the ground
that the conversion clauses determining the rate of exchange into PLN for purposes of the monthly installments were
considered to be unfair and that the loan agreement could not continue in existence after removal of the unfair terms. The
CJEU observed that EU law does not expressly govern the consequences of the annulment of a consumer contract which are to
be determined by domestic legislation in the individual EU member states. Such domestic legislation has to be compatible with
EU law and its objectives, in particular to restore the situation which the consumer would have been in had the annulled
contract not existed as well as not to undermine the deterrent effect sought by EU law. According to the CJEU, EU law does not
preclude consumers from seeking compensation from the bank going beyond the reimbursement of the monthly installments
paid and the expenses paid in respect of the performance the mortgage loan agreement together with the payment of
default interest at the statutory rate from the date on which notice is served. Nevertheless, it is a matter for the national
courts to determine whether upholding such claims on the part of the consumers is in accordance with the principle of
proportionality. By contrast, EU law precludes the bank from being able to claim from the consumer compensation going
beyond reimbursement of the capital paid in respect of the performance of the mortgage loan agreement together with the
payment of default interest at the statutory rate from the date on which notice is served.
A significant inflow of new cases has been observed since the beginning of 2020 as a result of the CJEU preliminary ruling and
of intensified marketing activity by law firms acting on behalf of borrowers. Such an increased inflow of new cases has not
only been observed by RBI’s Polish branch, but by all banks handling currency loan portfolios in Poland.
Furthermore, Polish courts have approached the CJEU with requests for a preliminary ruling in other civil proceedings. That
ruling could lead to further clarifications and may influence how court cases concerning foreign currency loans are decided by
national Polish courts.
The impact assessment in relation to affected FX-indexed or FX-denominated loan agreements may also be influenced by the
outcome of ongoing administrative proceedings conducted by the President of the Office of Competition and Consumer
Protection (UOKiK) against RBI’s Polish branch. Such administrative proceedings are, inter alia, based on the alleged practice of
infringing collective consumer interests as well as on the classification of clauses in standard agreements as unfair. As at this
point of time, it is uncertain what the potential impact of said proceedings could be on FX-indexed or FX-denominated loan
agreements and RBI. Furthermore, such proceedings have resulted in and could result in the imposition of administrative fines
on RBI’s Polish branch – and in the event of appeals – in administrative court proceedings.
Moreover, the Polish Financial Ombudsman, acting on behalf of two borrowers, has initiated a civil proceeding against RBI
alleging employment of unfair commercial practices towards consumers in respect of a case in which RBI – following the
annulment of a loan agreement – claimed the full loan amount originally disbursed without taking into account repayments
made in the meantime as well as amounts due for the use of capital by the borrowers based on the principle of unjust
enrichment, and has demanded that RBI discontinue such practices. In May 2023, the claim of the Financial Ombudsman was
dismissed by the court of first instance.
Model description and sensitivity analysis
RBI has around 26,000 CHF loans to customers outstanding with a total volume of around € 1,9 billion and a further 10,000 loans
have been repaid. These also include loans that are not expected to be the subject of litigation.
RBI has recognized a provision for the lawsuits filed in Poland. As lawsuits have been filed by a number of customers, the
provision is based on a statistical approach that takes into account both statistical data, where relevant, and expert opinions.
Possible decision scenarios have been estimated together with the expected loss rates per scenario. The expected impact is
based on loans from customers who have filed or, based on propensity to litigate, expected to file a lawsuit against the bank.
To calculate the financial impact per scenario, the claim amount is multiplied by the estimated financial outflow in the
scenario and the probability that the bank will ultimately have to pay compensation to the customer. An appropriate discount
rate is applied to outflows that are not expected to arise within one year. The resulting provisions were increased to € 1,652
million (31/12/2022: € 803 million). As at the reporting date of 31/12/2023, RBI AG reported provisions for litigation risks for repaid
loans in connection with this matter in the amount of € 500 million (31/12/2022: € 307 million), which are included in the
following table on other provisions under “Process risks”. In addition, reductions in the carrying amount for active loans in the
amount of € 1,152 million are taken into account as at the reporting date of 31/12/2023 (31/12/2022: € 496 million).
Notes 247
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The total amount of the provision for CHF loans in Poland represents RBI’s best estimate of the future outflow of economic
benefits. In calculating the CHF provision for lawsuits filed in Poland, it is nevertheless necessary to form an opinion on matters
that are inherently uncertain, such as official pronouncements, the number of future lawsuits, the probability of losing court
cases and the development of jurisprudence that lead to negative scenarios.
A number of risks and uncertainties remain, and the cost could therefore differ from RBI’s estimates and the assumptions
underpinning them and result in a further provision being required. The main measurable uncertainties associated with the
calculation of the provision relate to a potential reduction in the discount period, a decrease in discount rates, an increase in
the number of total expected claims for outstanding and repaid loans and an increase in the provision coverage of
outstanding or repaid loans. The sensitivity analysis refined during the reporting year for changes in the actual parameters
over the next 12 months, while holding all other parameters constant, is shown in the table below:

31/12/2023 | Actual parameter | Increase/Decrease of the parameter | New parameter | Increase/Decrease in provision (in € million)
Provision amount in € million | 1,652 |  |  |
Reduction in discounting period in years | 7 | (1) | 6 | 55
Decrease in discount rate (reduction of carrying amounts of loans) | 1.88 % | (0.30)PP | 1.58 % | 22
Increase in propensity to litigate active loans | 85.00 % | 0.01 PP | 86.00 % | 16
Increase in average loss coverage on outstanding loans | 108.00 % | 0.01 PP | 109.00 % | 11
Decrease in discount rate (other provisions) | 6.90 % | (1.00)PP | 5.90 % | 14
Increase in propensity to litigate repaid loans | 42.00 % | 1.00 PP | 43.00 % | 2

The assumptions are based on internal, observable statistics as well as on market observations. The increase in provision is
linear for each change, with the exception of the discount rate changes which are logarithmic increases. Furthermore, the
model does not take into account changes related to unexpected developments in jurisprudence.
Furthermore, RBI has around 10 thousand Euro denominated loans to customers outstanding with a total volume of around
€ 500 million and a further 8,000 loans have been repaid. A small number of customers with Euro denominated loans have filed
litigation against RBI.
Settlement program
After launching a pilot projekt for an out-of- court settlement program based on the proposal by the Chairman of the Polish
Financial Supervisory Authority (KNF) in the second half of 2023, RBI fully launched the settlement program in December 2023.
The major goal of the settlement program is to limit the expected losses resulting from the current negative jurisprudence that
in most case cancels the mortgage contract.
The base offer consists of recalculation of the amount originally disbursed in CHF as if the loan was issued in PLN from the
outset applying a WIBOR reference rate increased by the margin historically applied to such loans. This leads to a write-off of a
portion of the loan balance depending on the individually negotiated settlement offer. The settlements are offered through a
mediation proceeding conducted by the Polish Financial Supervisory Authority.
In 2024 RBI will increase its efforts to encourage customers to join the settlement program through active approaching of
customers. As of 31 of December 2023, RBI made 946 individual settlement proposals, out of which 244 customers have signed
agreements to enter a mediation process. The bank included in the provisioning calculation the estimated number of
settlements to be signed with customers reflecting the adjusted level of future losses in these settlement cases. The
consideration of settlements in the provision calculation is affected by factors such as the interest rate of PLN loans, the CHF/
PLN conversion rate, the development of the ruling practice and the duration of proceedings.
248 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other provisions

in € thousand | 31/12/2023 | 31/12/2022
Losses on bankbook derivatives | 82,482.0 | 82,182.7
Guarantee loans | 36,631.0 | 54,426.1
Process risks | 501,545.5 | 308,664.6
Bonus payments | 51,505.9 | 45,358.0
Anniversary payments and birthday payments | 33,595.6 | 31,267.5
Overdue vacation | 29,510.5 | 29,369.7
Restructuring costs | 874.0 | 1,134.0
Supervisory Board fees | 1,170.7 | 1,127.0
Operational risk/losses/other | 33,833.9 | 46,851.0
Audit costs | 1,374.4 | 1,162.3
Other expenses/outstanding invoices | 44,270.8 | 42,814.6
Total | 816,794.3 | 644,357.5

Tier 2 capital according to part two, title I, chapter 4 of regulation (EU) no.
575/2013
As at 31 December 2023, tier 2 capital amounts to € 2,107,910 thousand (31/12/2022: € 2,696,099 thousand).
Company tier 2 capital according to CRR:

in € thousand | 31/12/2023 | 31/12/2022
6% RBI Schuldverschreibung 2013-2023 | 0.0 | 9,141.4
RBI SUB.CALL.NTS 20-32 | 1,547.7 | 1,970.1
RBI NFS 19-30/S193T1 | 5,091.8 | 5,148.7
RBI NACHR. ANL. 21-33 | 3,792.9 | 3,270.8
RBI NTS 22-32 S258/T1 | 4,320.2 | 4,476.8

In the reporting year, issuances of Tier 2 capital took place in the amount of € 13,958 thousand (31/12/2022: € 5 thousand), and
covered bonds in the amount of € 1,150,000 thousand were redeemed (31/12/2022: € 80 thousand). As a result, this line item had
a positive impact on earnings in the amount of € 7,592 thousand for the financial year 2023 (31/12/2022: € 0 thousand).
Subordinated liabilities
List of subordinated loans (including tier 2 capital) that exceed 10 per cent of the total subordinated liabilities of € 2,107,910
thousand (i.e. that exceed € 210,791 thousand):

Name | ISIN | Nominal value in € thousand | Emission | Due | Currency | Interest rate | Call date | Subordination
Subordinated Notes 2030 Serie 193 | XS2049823763 | 500.0 | 12/09/2019 | 12/03/2030 | EUR | 1.500% | 12/03/2025 | Tier 2
Subordinated Notes 2032 Serie 215 | XS2189786226 | 500.0 | 18/06/2020 | 18/06/2032 | EUR | 2.875% | 18/06/2027 | Tier 2
Subordinated Notes 2033 Serie 231 | XS2353473692 | 500.0 | 17/06/2021 | 17/06/2033 | EUR | 1.375% | 17/03/2028 | Tier 2
Subordinated Notes 2032 Serie 258 | XS2534786590 | 500.0 | 20/09/2022 | 20/12/2032 | EUR | 7.375% | 20/09/2027 | Tier 2

Subordinated liabilities also include eight subordinated schuldschein loans with maturities of between 1 and 10 years, which are
denominated in EUR.
Claims by creditors for repayment of these liabilities are subordinated to other creditors and, in the event of bankruptcy or
liquidation, may only be repaid after all non-subordinated creditors have been repaid.
No contractual regulations exist in relation to the aforementioned liabilities concerning any conversion or early termination.
Expenses for subordinated liabilities
The expenses for subordinated liabilities in the financial year amount to € 102,866 thousand (2022: € 105,593 thousand).
Notes 249
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Additional tier 1 capital
As in the previous year, no additional tier 1 capital was issued in 2023. With the AT1 capital placed to date in the volume of €
1,650,000 thousand (€ 650,000 thousand in 2017, € 500,000 thousand in 2018 and € 500,000 thousand in 2020), RBI AG has
currently completed its planned AT1 issuance program. Additional tier 1 capital, including accrued interest, as of 31 December
2023 amounts to € 1,655,025 thousand (31/12/ 2022: € 1,655,025 thousand). The discount in the amount of € 5,826 thousand is
carried as a deferred expense until the respective first call date (17 June 2024, 15 June 2025, and 15 December 2026).
RBI AG holds the following amounts of its own AT1 instruments:

in € thousand | 31/12/2023 | 31/12/2022
RBI FIX TO FLR 17/UD | 13,689.8 | 16,445.6
RBI FIX TO FLR 18/UD | 3,255.9 | 977.8
RBI FIX TO RES RTE TIER 1 | 8,583.4 | 6,295.3

Assets and liabilities in foreign currency

in € thousand | 31/12/2023 | 31/12/2022
Assets in foreign currency | 13,629,131.0 | 17,634,244.3
Liabilities in foreign currency | 13,754,091.6 | 14,814,848.5

Equity
Subscribed capital
As at 31 December 2023, the company’s share capital amounted to € 1,003,265,844.05 and was divided into 328,939,621 voting
common bearer shares. As at 31 December 2023, 573,938 (31 December 2022: 510,450) of those were own shares, and
consequently 328,365,683 shares were outstanding at the reporting date.
Own shares
The Annual General Meeting held on 31 March 2022 authorized the Management Board pursuant to § 65 (1) 8, § 65 (1a) and § 65
(1b) of the AktG to purchase own shares and to retire them if appropriate without requiring any further prior resolutions to be
passed by the Annual General Meeting, though with the approval of the purchase by the Supervisory Board can also be
effected off-exchange under the exclusion of the shareholders’ pro rata tender right. Own shares, whether already purchased
or to be purchased, may not collectively exceed 10 per cent of the company’s share capital. The authorization to purchase own
shares expires 30 months after the date of the Annual General Meeting resolution, i.e. until 30 September 2024. The acquisition
price for repurchasing the shares may be no lower than € 3.05 per share and no higher than 10 per cent above the average
unweighted closing price over the 10 trading days prior to exercising this authorization. The authorization may be exercised in
full or in part or also in several partial amounts, for one or more purposes – with the exception of securities trading – by the
company, by a subsidiary (§ 189a (7) of the UGB) or by third parties for the account of the company or a subsidiary.
The Management Board was further authorized, pursuant to § 65 (1b) of the AktG, to decide, with the approval of the
Supervisory Board, on the sale of own shares by means other than the stock exchange or a public tender, to the full or partial
exclusion of shareholders’ subscription rights, and to stipulate the terms of sale. Shareholders’ subscription rights may only be
excluded if the own shares are used to pay for a contribution in kind, to acquire enterprises, businesses, operations or stakes in
one or several companies in Austria or abroad. Furthermore, shareholders’ subscription rights may be excluded in the event
that convertible bonds are issued in future, in order that (own) shares may be issued to such convertible bond creditors that
have exercised their right of conversion into or subscription to shares in the company, and also in the event of a conversion
obligation stipulated in the convertible bonds’ issuance conditions in order to fulfil this conversion obligation. This authorization
may be exercised in whole, in part or in several partial amounts for one or more purposes by the company, a subsidiary (§ 189a
7 UGB) or by third parties for the account of the company or a subsidiary and remains in force for five years from the date of
this resolution, i.e. until 31 March 2027. Since that time, there were no own shares purchased based on this authorization from
March 2022.
The Annual General Meeting of 31 March 2022 also authorized the Management Board, under the provisions of § 65 (1) 7 of the
AktG, to purchase own shares for the purpose of securities trading, which may also be conducted off-market, during a period
of 30 months from the date of the resolution (i.e. until 30 September 2024), provided that the trading portfolio of shares
purchased for this purpose does not at the end of any given day exceed 5 per cent of the company's respective share capital.
The consideration for each share to be acquired must not be less than half the closing price at the Vienna Stock Exchange on
250 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
the last day of trading preceding the acquisition and must not exceed twice the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition. This authorization may be exercised in full or in part or also in several partial
amounts by the company, by a subsidiary (§ 189a (7) UGB) or by third parties acting for the account of the company or a
subsidiary.
Authorized capital
Pursuant to § 169 of the Austrian Stock Corporation Act (AktG), the Management Board has been authorized since the Annual
General Meeting of 13 June 2019 to increase the share capital with the approval of the Supervisory Board – in one or more
tranches – by up to € 501,632,920.50 through the issuance of up to 164,469,810 new voting common bearer shares in exchange
for contributions in cash and/or in kind (including by way of the right of indirect subscription by a bank pursuant to § 153 (6) of
the AktG) by 2 August 2024 at the latest and to fix the offering price and terms of the issue with the approval of the
Supervisory Board. The Management Board is further authorized to exclude shareholders’ subscription rights with the approval
of the Supervisory Board (i) if the capital increase is carried out in exchange for contributions in kind, or (ii) if the capital
increase is carried out in exchange for contributions in cash and the shares issued under the exclusion of subscription rights do
not exceed 10 per cent of the company’s share capital (exclusion of subscription rights). The (i) utilization of authorized capital
with exclusion of the statutory subscription right in the event of a capital increase in return for a contribution in cash, and the
(ii) implementation of the conditional capital resolved upon in the Annual General Meeting on 20 October 2020 in order to grant
conversion or subscription rights to convertible bond creditors may not exceed 10 per cent in total of the share capital of the
company. The utilization of the authorized capital in the form of a capital increase in return for a contribution in kind is not
covered by this restriction. No use has been made to date of the authority granted in June 2019 to utilize the authorized
capital.
Capital reserves
The committed capital reserves amounted to € 4,334,726 thousand (31/12/2022: € 4,334,286 thousand), while the uncommitted
capital reserves totaled € 93,179 thousand (31/12/2022: € 94,779 thousand). The change resulted from the recognition of
treasury shares in accordance with section 229 (1a) and (1b) UGB.
Retained earnings
Retained earnings consist of legal reserves of € 5,500 thousand (31/12/2022: € 5,500 thousand) and other free reserves
amounting to € 2,370,678 thousand (31/12/2022: € 1,680,918 thousand). Of the other free reserves, an amount of € 502,050
thousand (31/12/2022: € 403,914 thousand) is allocated to the Raiffeisen-IPS. An amount of € 98,135 thousand (31/12/2022:
€ 51,253 thousand) was allocated to other reserves in the 2023 financial year as a reserve for the Raiffeisen institutional
protection scheme (Raiffeisen-IPS) based on the agreement to establish an institutional protection scheme and a
corresponding resolution by the Raiffeisen-IPS Joint Risk Council. The Raiffeisen-IPS reserve is not eligible for inclusion in the
calculation of own funds pursuant to CRR. In addition, free reserves were increased in the amount of € 590,000 thousand in
financial year 2023 (31/12/2022: release of € 1,050,000 thousand).
Liability reserves
As at 31 December 2023, liability reserves stood unchanged at € 535,097 thousand (31/12/2022: € 535,097 thousand).
Notes 251
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Additional notes
Notes on liability arrangements
In the government-promoted, subsidized forward private planning scheme, RBI AG has issued capital guarantee obligations in
accordance with Section 108h (1) 3 of the Income Tax Act (EStG). In this context, the bank guarantees that in the event of
transferring the capital into a perpetual annuity the payment amount available for this annuity is not less than the sum of the
contributions made by the taxpayer plus the premiums credited to this taxpayer pursuant to Section 108g EStG. As at 31
December 2023, the volume of these guarantees stood at € 855,915 thousand (31/21/2022: € 801,585 thousand).
Raiffeisen Customer Guarantee Scheme (RKÖ)
RBI AG is a member of Raiffeisen-Kundengarantiegemeinschaft Austria (Raiffeisen Customer Guarantee Scheme Austria (RKÖ)).
The members of this association have a contractual obligation to guarantee jointly the punctual fulfillment of the entirety of
an insolvent association member’s commitments arising from customer deposits and its own issues up to the limit of the sum
of the individual capacities of the remaining association members. The individual capacity of an association member is
measured on the basis of its freely available reserves subject to the pertinent provisions of the Austrian Banking Act (BWG).
In view of the change in the legal and regulatory framework and implementation of an institutional protection scheme, the
RKÖ and its respective member institutions decided in 2019 to discontinue the scheme for new transactions. Accordingly, the
supplementary protection by RKÖ may only be granted to protected transactions entered into before 1 October 2019. The
rights of customers with regard to statutory deposit insurance are not affected and remain fully in place.
Institutional protection scheme (Raiffeisen-IPS)
Raiffeisen Bank International AG and its Austrian bank subsidiaries, the regional Raiffeisen banks and the local Raiffeisen
banks, are part of the agreement on an institutional protection scheme (Raiffeisen-IPS) as well as the Austrian Raiffeisen-
Sicherungseinrichtung eGen (ÖRS), as a statutory protection scheme.
In the agreement on the Raiffeisen-IPS, the member institutions agree to ensure one another’s security and in particular, join
forces to ensure liquidity and solvency when required. The new Raiffeisen-IPS was recognized by the relevant supervisory
authorities (ECB and FMA) as an institutional protection scheme according to Article 113 (7) CRR (Capital Requirements
Regulation of the European Union) and its related rights and obligations of the participating member institutions. This allows,
among other things, for receivables to be risk-weighted at zero per cent between Raiffeisen-IPS members. The Raiffeisen-IPS is
subject to joint regulatory supervision and capital requirements must also be met on a consolidated basis.
The Raiffeisen-IPS was recognized together with ÖRS by the Austrian Financial Market Authority (FMA) as a statutory deposit
guarantee and investor protection scheme according to the Austrian Deposit Guarantee and Investor Protection Act
Einlagensicherungs- und Anlegerentschädigungsgesetz (ESAEG).
ÖRS is mandated to operate the reporting and early risk assessment systems for the Raiffeisen-IPS. ÖRS also acts as trustee
and manages the liquid assets for the Raiffeisen-IPS.
The Raiffeisen-IPS is controlled by a joint risk council, comprising representatives of RBI AG, the regional Raiffeisen banks and
the Raiffeisen banks. Tasks that could be solved on a regional level were delegated to the regional risk councils, each
comprising representatives of the respective regional Raiffeisen banks and Raiffeisen banks, by the joint risk council.
Letters of comfort and other financial obligations
As at 31 December 2023, soft letters of comfort in the amount of € 127,632 thousand (31/12/2022: € 133,673 thousand) had been
issued. Open capital commitments on share capital in the amount of € 21,772 thousand were recorded at 31 December 2023
(31/12/2022: € 23,492 thousand).
Contingent liabilities recorded in statement of financial position of RBI AG of € 7,736,762 thousand were reported as at 31
December 2023 (31/12/2022: € 7,188,967 thousand). Of that amount, € 6,780,029 thousand (31/12/2022: € 6,278,399 thousand)
was attributable to guarantees and € 956,733 thousand (31/12/2022: € 910,568 thousand) to letters of credit. Of the
guarantees, an amount of € 638,949 thousand (31/12/2022: € 738,389 thousand) relates to guarantees to affiliated companies.
As at 31 December 2023, € 19,711,703 thousand (31/12/2022: € 19,434,120 thousand) in credit risk was reported under liabilities in
the statement of financial position. In the reporting year, € 10,763,135 thousand of that amount relates to irrevocable loan
commitments not yet drawn down (31/12/2022: € 11,312,946 thousand) and € 8,948,568 thousand to revocable loan
commitments (31/12/2022: € 8,121,174 thousand).
252 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Pending legal issues
RBI AG is involved in various legal, administrative or arbitration proceedings before various courts and authorities, both as a
plaintiff and a defendant. The proceedings generally arise in the ordinary course of business in contractual, employment and
other matters.
A provision is only recognized if there is a legal or constructive obligation as a result of a past event, payment is likely and the
amount can be estimated as accurately as possible. A contingent liability that arises from a past event is disclosed unless
payment is highly unlikely. A contingent asset that arises from a past event is reported if there is high probability of
occurrence. In the following description, no amount is specified in those cases in which it would be severely detrimental to do
so.
Banking business
RBI and its subsidiaries provide services for corporate customers that increase litigation risk at the operating level. The most
important cases are as follows:
Following the insolvency of Alpine Holding GmbH (Alpine) in 2013, a number of lawsuits were filed by retail investors in Austria
against RBI and another credit institution in connection with a bond which had been issued by Alpine in 2012 in an aggregate
principal amount of € 100 million. The claims asserted against RBI originally amounted to approximately € 10 million. In total,
claims of approximately € 8 million had been filed in court by investors either directly or or indirectly through a 'class action' of
the Austrian Federal Chamber for Workers and Employees (Bundeskammer für Arbeiter und Angestellte). Owing to the
termination of some of the proceedings and claim reductions in other proceedings, the value in dispute of the pending court
proceedings against RBI currently amounts to approximately € 7 million. Among other things, it is claimed that the banks acted
as joint lead managers of the bond issue and were or at least should have been aware of financial problems of Alpine at the
time of the issue. Thus, they should have known that Alpine was not in a position to redeem the bonds as set forth in the terms
and conditions of the bonds. It is alleged that the capital market prospectus in relation to the bond issue was misleading and
incomplete and that the joint lead managers including RBI, were aware of that fact. In December 2023, in several joint
proceedings the court of first instance issued a partial judgment and dismissed the claims of the investors based on
prospectus liability in the amount of in total approximately € 5.9 million regarding RBI related claims. The judgment is not final.
In the first quarter of 2021, RBI learned about a claim already filed against it in Jakarta by an Indonesian company in November
2020. The amount of the alleged claim is approximately USD 129 million (€ 121 million) in material damages and USD 200 million
(€ 188 million) in immaterial damages. The claim was served upon RBI in May 2022. On 27 June 2023, the South Jakarta District
Court (Pengadilan Negeri Jakarta Selatan), held that RBI has committed an unlawful act against the Indonesian company and
ordered RBI to pay damages in the amount of USD 119 million (€ 112 million). In view of the facts of the case and the legal
situation, RBI is still of the opinion that the claims are neither valid nor enforceable against RBI and therefore filed an appeal
against the judgment with the High Court of Jakarta (Pengadilan Tinggi Jakarta).
In August 2019, RBI launched a claim for approximately € 44 million against a Cayman Islands incorporated parent company,
several of its subsidiaries and one former subsidiary (the Cayman Islands Defendants) in the Grand Court of the Cayman
Islands, Financial Services Division (the CI Proceedings). In the CI Proceedings, RBI alleges that the Cayman Islands Defendants
participated in transactions to defraud creditors and a fraudulent conspiracy to injure RBI, by dissipating assets so as to
frustrate RBI’s claims under a number of parent company guarantees. Furthermore, RBI alleges that said transfers were carried
out at undervalue or without consideration between or among the Cayman Islands Defendants. RBI obtained an order against
one of the Cayman Islands Defendants in September 2019, placing restrictions on its ability to deal with its assets, pending
determination of the CI Proceedings. RBI obtained a similar order against a further Cayman Islands Defendant in May 2020
(together the Freezing Orders). In November 2019, some of the Cayman Islands Defendants filed a counterclaim in the amount
of € 203 million against RBI in the course of the CI Proceedings. RBI considers that the counterclaim, which is based on
documents that the Cayman Islands Defendants have refused to disclose to date, is entirely without merit. In July 2021, RBI
applied for permission to amend its claim in the CI Proceedings, to add an additional defendant and claim further damages
and associated relief, bringing the total sums claimed by RBI in the CI Proceedings to approximately € 87 million plus interest
and costs. That application has yet to be determined. In December 2021, the Cayman Islands Court of Appeal gave judgment on
an appeal brought by two of the Cayman Islands Defendants, against the Freezing Orders. The Court of Appeal has refused to
dismiss the Freezing Orders, which will remain in place. The CI Proceedings are ongoing. In January 2021, RBI issued an
arbitration claim for an amount of approximately € 87 million plus interest and costs against one of the Cayman Islands
Defendants, at the time incorporated in the Marshall Islands, before the Vienna International Arbitral Centre (VIAC) (the VIAC
Arbitration). The VIAC Arbitration concerned RBI’s claims under guarantees provided by said company to RBI. In October 2022,
the sole arbitrator issued an award, ordering the respondent to pay to RBI: (i) over € 62 million and USD 19 million (€ 18 million) in
respect of the principal sums due under the guarantees, (ii) interest on those amounts at a rate of 5 per cent per annum
accruing from 27 February 2018 until the date of payment, (iii) fees, costs and expenses incurred by RBI in ancillary proceedings
in various jurisdictions worldwide, (iv) the costs of the VIAC Arbitration.
Notes 253
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Regulatory enforcement
The RBI AG provides services to corporate clients that increase the risk of legal disputes at the operational level. The most
significant cases are:
In March 2018, an administrative fine of € 2.7 million (which was calculated by reference to the annual consolidated revenue of
RBI and constitutes 0.06 per cent of the last available annual consolidated revenue) was imposed on RBI in the course of
administrative proceedings based on alleged non-compliance with formal documentation requirements relating to the know-
your-customer principle. According to the interpretation of the Austrian Financial Market Authority (FMA), RBI had failed to
comply with these administrative obligations in a few individual cases. FMA did not allege that any money laundering or other
crime had occurred, or that there was any suspicion of, or any relation to, any criminal act. RBI took the view that it had duly
complied with all due diligence obligations regarding know-your-customer requirements and appealed against the fining order
in its entirety. The Federal Administrative Court (Bundesverwaltungsgericht) confirmed FMA’s decision at first instance, against
which RBI appealed to the Austrian Supreme Administrative Court (Verwaltungsgerichtshof). In December 2019, the Austrian
Supreme Administrative Court revoked the decision of the lower administrative instances and referred the case back to the
Federal Administrative Court. In the retrial on 6 May 2021, the Federal Administrative Court again confirmed FMA’s decision in
general but reduced the administrative fine to € 824 thousand and allowed another appeal before the Austrian Supreme
Administrative Court. Such appeal was filed by RBI. In July 2023, the Austrian Supreme Administrative Court revoked the
decision of the administrative court of first instance and, again, referred the case back to the court of first instance. A
provision of an appropriate amount has been recognized.
In September 2018, two administrative fines totaling PLN 55 million (€ 12 million) were imposed on Raiffeisen Bank Polska S.A.
(RBPL), the former Polish subsidiary of RBI in the course of administrative proceedings based on alleged non-performance of
duties as the depositary and liquidator of certain investment funds. RBPL as custodian of investment funds assumed the role
of liquidator of certain funds in February 2018. According to the interpretation of the Polish Financial Supervision Authority –
which is known by its Polish abbreviation, KNF – RBPL failed to comply with certain obligations in its function as depository
bank and liquidator of the funds. In the course of the transactions related to the sale of the core banking operations of RBPL to
Bank BGZ BNP Paribas S.A., the responsibility for said administrative proceedings and related fines was assumed by RBI. RBI
filed appeals against these fines in their entirety. In September 2019, in relation to the PLN 5 million (€ 1 million) fine regarding
RBPL’s duties as depositary bank, the Voivodship Administrative Court considered RBI’s appeal and overturned the KNF decision
in its entirety. However, the KNF filed an appeal in cassation against the judgement. In relation to the PLN 50 million (€ 11
million) fine regarding RBPL’s function as liquidator, the Voivodship Administrative Court decided to dismiss the appeal and
uphold the KNF decision in its entirety. RBI has raised appeal in cassation to the Supreme Administrative Court because it takes
the view that RBPL has duly complied with all its duties. In April 2023, the Supreme Administrative Court decided to refer the
case regarding the PLN 5 million (€ 1 million) fine back to the Voivodship Administrative Court for reconsideration. Furthermore,
the Supreme Administrative Court dismissed RBI’s appeal in cassation in connection with the PLN 50 million (€ 11 million) fine
which is now final. However in October 2023 RBI filed a complaint to the European Court of Human Rights over this verdict. In
October 2023, the Voivodship Administrative Court dismissed RBI’s appeal and upheld the KNF decision imposing the PLN 5
million (€ 1 million) penalty on RBI in relation to the alleged violations of RBI's duties as depositary of certain investment funds. A
cassation appeal against this judgment to the Supreme Administrative court is possible. Both fines have already been paid.
In this context, several individual lawsuits and four class actions, aggregating claims of holders of certificates in the above-
mentioned investment funds currently in liquidation, were filed against RBI, whereby the total amount in dispute as at 31
December 2023 equals approximately PLN 77 million (€ 16 million). Additionally, RBI was informed that a modification of a
statement of claim had been submitted to the court which could result in an increase of the total amount in dispute by
approximately PLN 91 million (€ 19 million). However, such modification has not yet been served upon RBI. The plaintiffs of the
class actions demand the confirmation of RBI’s responsibility for the alleged improper performance of RBPL (in respect of which
RBI is the legal successor) as custodian bank. Such confirmation would secure and facilitate their financial claims in further
lawsuits. Due to RBI’s legal assessment, no provision has been recognized.
Additionally, RBI received a number of claim notices from BNP in connection with certain bank operations in respect of which
BNP is the legal successor to RBPL. Said claim notices primarily relate to administrative proceedings conducted by the KNF
(Polish Financial Supervision Authority) in connection with alleged failures of RBPL/BNP in acting as a depository of investment
funds and could lead to cash penalties. Furthermore, claims in this context have been raised by investors to BNP, and as a
mitigating measure RBI supports BNP in this regard. The financial impact can not be estimated at this time.
In January 2023, RBI was informed by FMA that an administrative proceeding has been started based on the alleged non-
compliance with certain legal requirements regarding the know-your-customer principle in connection with three customers of
RBI’s correspondent banking business. The transactions relevant for the administrative proceedings had been processed by RBI
between 2017 and 2020. According to the interpretation of FMA, RBI had not sufficiently convinced itself that these banks had
appropriate due diligence procedures in place regarding customers of their own correspondent banking business. Thus, in the
view of FMA, RBI failed to fully comply with its administrative obligations in this regard. FMA did not state that any money
laundering or other crime had occurred, or that there was any suspicion of, or any relation to, any criminal act. The
administrative proceeding is ongoing and might lead to administrative fines.
In January 2023, RBI received a Request for Information (RFI) by the Office of Foreign Assets Control (OFAC) of the US
Department of the Treasury. OFAC administers and enforces economic and trade sanctions based on US foreign policy and
254 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
national security goals. A breach of US sanctions may, among others, result in fines, the freezing of accounts or the termination
of business relationships with US correspondent banks. The questions raised by OFAC in the RFI are seeking to clarify payments
business and related processes maintained by RBI with US correspondent banks in light of the developments related to Russia
and Ukraine. As a matter of principle, RBI maintains policies and procedures that ensure compliance with applicable embargoes
and financial sanctions and is cooperating fully with OFAC in relation to their request to the extent permitted by applicable
laws and regulations.
In August 2023 the Austrian Financial Markets Authority (FMA) instigated administrative fining proceedings against RBI
regarding a suspected breach by Raiffeisen Centrobank AG ("RCB") of insider trading rules according to EU Regulation 596/2014
(MAR) in September 2022 in respect of a financial instrument for which RCB acted as market maker. RCB was a fully
consolidated Austrian subsidiary of RBI and RBI became the legal successor of the relevant parts of RCB’s business by way of a
demerger by absorption in December 2022. The relevant transaction which is the basis of the allegations amounts to
approximately € 85 thousand.
Tax litigation
RBI AG is engaged in several consequential tax proceedings, including but not limited to the following:
IIn Germany, a tax liability totaling approximately € 23 million arose in connection with real estate transfer taxes. As the taxes
have already been settled, the establishment of a provision is deemed unnecessary.
The tax authority’s decision has been contested at the Federal Fiscal Court in Munich.
.
Notes 255
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Total capital according to CCR

in € thousand | 31/12/2023 | 31/12/2022
Capital instruments and the related share premium accounts | 5,409,421 | 5,414,618
Retained earnings | 420,284 | 2,017,115
Accumulated other comprehensive income (and other reserves)1 | 2,447,900 | 0
Minority interests (amount allowed in consolidated CET1) | 0 | 0
Common equity tier 1 (CET1) capital before regulatory adjustments | 8,277,605 | 7,431,733
Additional value adjustments (negative amount) | (41,468) | (54,015)
Intangible assets (net of related tax liability) (negative amount) | (19,509) | (22,099)
Deferred tax assets that rely on future profitability excluding those arising from temporary differences (net of related tax liability where the conditions in Article 38 (3) are met) (negative amount) | (411) | (1,077)
Fair value reserves related to gains or losses on cash flow hedges | 0 | 0
Gains or losses on liabilities valued at fair value resulting from changes in own credit standing | 0 | 0
Direct and indirect holdings by an institution of own CET1 instruments (negative amount)2 | (20,000) | 0
Exposure amount of the following items which qualify for a risk weight of 1250%, where the institution opts for the deduction alternative | (36,977) | 0
hereof: qualifying holdings outside the financial sector (negative amount) | 0 | 0
hereof: securitization positions (negative amount) | (36,977) | 0
hereof: securitization positions (negative amount) | 0 | 0
Other regulatory adjustments | (60,702) | (38,846)
Total regulatory adjustments to common equity tier 1 (CET1) | (179,067) | (116,037)
Common equity tier 1 (CET1) capital | 8,098,538 | 7,315,696
Capital instruments and the related share premium accounts | 1,639,874 | 1,644,174
hereof: classified as equity under applicable accounting standards | 0 | 0
hereof: classified as liabilities under applicable accounting standards | 0 | 0
Amount of qualifying items referred to in Article 484 (4) and the related share premium accounts subject to phase out from AT1 | 0 | 0
Qualifying tier 1 capital included in AT1 capital (including minority interests not included in row 5) issued by subsidiaries and held by third parties | 0 | 0
Additional Tier 1 (AT1) capital before regulatory adjustments | 1,639,874 | 1,644,174
Direct and indirect holdings by an institution of own AT1 instruments (negative amount) | (33,000) | (33,000)
Total regulatory adjustments to Additional Tier 1 (AT1) capital | (33,000) | (33,000)
Additional tier 1 (AT1) capital | 1,606,874 | 1,611,174
Tier 1 capital (T1 = CET1 + AT1) | 9,705,412 | 8,926,870
Capital instruments and the related share premium accounts | 2,059,118 | 2,174,901
Qualifying own funds instruments included in T2 capital (including minority interests and AT1 instruments not included in rows 5 or 34) issued by subsidiaries and held by third parties | 0 | 0
Credit risk adjustments | 0 | 149,647
Tier 2 (T2) capital before regulatory adjustments | 2,059,118 | 2,324,548
Tier 2 (T2) capital: regulatory adjustments | (38,675) | (41,861)
Direct and indirect holdings by an institution of own T2 instruments and subordinated loans (negative amount) | (30,000) | (30,000)
Total regulatory adjustments to Tier 2 (T2) capital | (68,675) | (71,861)
Tier 2 (T2) capital | 1,990,443 | 2,252,687
Total capital (TC = T1 + T2) | 11,695,855 | 11,179,557
Risk-weighted assets in respect of amounts subject to pre-CRR treatment and transitional treatments subject to phase out as prescribed in Regulation (EU) No 575/2013 (i.e. CRR residual amount) | 40,461,266 | 41,903,360
Total risk-weighted assets (RWA) | 40,461,266 | 41,903,360
1 Comparative figures as at the reporting date 31/12/2022 in the amount of € 1,892,696 thousand are shown in the item “Retained earnings” 2 Comparative figures as at the reporting date 31/12/2022 in the amount of € minus 20,000 are shown in the item “Capital instruments and the related share premium accounts”

A presentation of consolidated own funds in accordance with CRR can be found in the consolidated financial statements in the
chapter “Capital management and total capital according to CRR/CRD IV and Austrian Banking Act (BWG).”
256 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Own funds requirements and risk-weighted assets

in € thousand | 31/12/2023 | 31/12/2022
| Risk-weighted exposure | Capital requirement | Risk-weighted exposure | Capital requirement
Total risk-weighted assets (RWA) | 40,461,266 | 3,236,901 | 41,903,360 | 3,352,269
Risk-weighted exposure amounts for credit, counterparty credit and dilution risks and free deliveries | 34,625,104 | 2,770,008 | 35,802,082 | 2,864,167
Standardized approach (SA) | 2,013,877 | 161,110 | 3,326,324 | 266,106
Exposure classes excluding securitization positions | 2,013,877 | 161,110 | 3,326,324 | 266,106
Central governments and central banks | 25,025 | 2,002 | 0 | 0
Regional governments or local authorities | 10,709 | 857 | 17,524 | 1,402
Public sector entities | 84,587 | 6,767 | 0 | 0
Institutions | 2,442 | 195 | 2,304 | 184
Corporates | 2,623 | 210 | 5,511 | 441
Retail | 106,345 | 8,508 | 240,257 | 19,221
Secured by mortgages on immovable property | 955,069 | 76,406 | 2,362,419 | 188,994
Exposure in default | 28,904 | 2,312 | 20,530 | 1,642
Items associated with particular high risk | 0 | 0 | 0 | 0
Covered bonds | 0 | 0 | 0 | 0
Collective investments undertakings (CIU) | 0 | 0 | 14 | 1
Equity interests | 73,489 | 5,879 | 86,130 | 6,890
Other items | 724,291 | 57,943 | 591,635 | 47,331
Internal ratings based approach (IRB) | 31,700,665 | 2,536,053 | 32,475,759 | 2,598,061
IRB approaches when neither own estimates of LGD nor conversion factors are used | 15,772,934 | 1,261,835 | 18,587,936 | 1,487,035
Central governments and central banks | 0 | 0 | 71,565 | 5,725
Institutions | 2,243,888 | 179,511 | 3,053,197 | 244,256
Corporates - SME | 102,572 | 8,206 | 285,445 | 22,836
Corporates - Specialized lending | 1,306,059 | 104,485 | 1,130,277 | 90,422
Corporates - Other | 12,120,414 | 969,633 | 14,047,451 | 1,123,796
IRB approaches when own estimates of LGD and/or conversion factors are used | 0 | 0 | 0 | 0
Equity interests | 15,899,514 | 1,271,961 | 13,859,991 | 1,108,799
Simple risk weight approach | 0 | 0 | 0 | 0
Other equity exposure | 0 | 0 | 0 | 0
PD/LGD approach | 0 | 0 | 0 | 0
Securitization positions 1 | 910,563 | 72,845 | 719,124 | 57,530
Internal ratings based approach (IRB) | 0 |  | 0 | 0
Other non-credit obligation assets | 28,217 | 2,257 | 0 | 0

Notes 257
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

in € thousand | 31/12/2023 | 31/12/2022
| Risk-weighted exposure | Capital requirement | Risk-weighted exposure | Capital requirement
Total risk exposure amount for settlement/delivery | 23,058 | 1,845 | 18,517 | 1,481
Settlement/delivery risk in the non-trading book | 458 | 37 | 0 | 0
Settlement/delivery risk in the trading book | 22,601 | 1,808 | 18,517 | 1,481
Total risk exposure amount for position, foreign exchange and commodities risk | 2,598,770 | 207,902 | 2,249,908 | 179,993
Risk exposure amount for position, foreign exchange and commodities risks under standardized approaches (SA) | 1,295,472 | 103,638 | 994,932 | 79,595
Traded debt instruments | 275,838 | 22,067 | 362,653 | 29,012
Equity interests | 57,842 | 4,627 | 82,688 | 6,615
Particular approach for position risk in CIUs | 1,348 | 108 | 780 | 62
Foreign exchange | 958,474 | 76,678 | 545,993 | 43,679
Commodities | 1,970 | 158 | 2,817 | 225
Risk exposure amount for position, foreign exchange and commodities risks under internal models (IM) | 1,303,297 | 104,264 | 1,254,976 | 100,398
Total risk exposure amount for operational risk (OpR) | 3,033,801 | 242,704 | 2,904,518 | 232,361
OpR standardized (STA) /alternative standardized (ASA) approaches | 3,033,801 | 242,704 | 2,904,518 | 232,361
OpR advanced measurement approaches (AMA) | 0 |  | 0 | 0
Total risk exposure amount for credit valuation adjustments | 180,532 | 14,443 | 209,211 | 16,737
Standardized method | 180,532 | 14,443 | 209,211 | 16,737
Other risk exposure amounts 1 | 0 | 0 | 0 | 0
1 Specification of the previous year's disclosure and presentation of other risk position amounts as at the reporting date 31/12/2022 in the amount of € 719,124 thousand (risk weighted exposure) and € 57,530 thousand (capital requirement) in the item “Securitization positions”

Equity ratios¹

in per cent | 31/12/2023 | 31/12/2022
Common equity tier 1 ratio (fully loaded) | 19.9% | 17.3%
Tier 1 ratio (fully loaded) | 23.9% | 21.1%
Total capital ratio (fully loaded) | 28.8% | 26.6%
1 Fully loaded

Leverage ratio

in € thousand | 31/12/2023 | 31/12/2022
Leverage exposure | 90,876,965 | 92,902,358
Tier 1 | 9,705,412 | 8,926,870
Leverage ratio in per cent ¹ | 10.7 % | 9.6 %
1 Fully loaded

258 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Notes to the income
statement
Income by geographic market in accordance with
section 64 (1) 9 BWG
A regional allocation to segments according to the business outlets’ registered offices results in the following distribution:

2023 in € thousand | Total | Austria | Rest of Europe | Asia
Interest receivable and similar income | 2,952,782.4 | 2,869,314.5 | 81,637.7 | 1,830.2
hereof: from fixed-income securities | 235,123.5 | 234,949.9 | 0.0 | 173.7
Income from variable-yield securities and participations | 1,786,418.3 | 1,786,418.3 | 0.0 | 0.0
Fee and commission income | 555,787.2 | 554,482.7 | 1,304.5 | 0.0
Net profit or net loss on financial operations | 56,805.7 | 54,124.1 | 3,642.6 | (960.9)
Sundry operating income | 305,412.9 | 277,399.7 | 23,685.5 | 4,327.6

2022 in € thousand | Total | Austria | Rest of Europe | Asia
Interest receivable and similar income | 1,187,115.6 | 1,147,541.4 | 38,303.7 | 1,270.5
hereof: from fixed-income securities | 74,642.0 | 74,212.2 | 352,6 | 77,2
Income from variable-yield securities and participations | 564,320.6 | 564,320.6 | 0,0 | 0,0
Fee and commission income | 531,264.2 | 528,626.4 | 2,637.8 | 0,0
Net profit or net loss on financial operations | 93,490.1 | 93,300.2 | 3,119.3 | (2,929.5)
Sundry operating income | 212,647.6 | 197,999.0 | 9,616.6 | 5,032.0

Negative interest rates
An expense, resulting from negative interest for loans and advances, was shown in an amount of € 2,834 thousand (2022:
€ 34,495 thousand) in the item interest receivable and similar income. This contrasted with income of € 2,152 thousand (2022:
€ 140,410 thousand) resulting from negative interest for liabilities, which was shown in the item interest payable and similar
expenses. The decrease in this item is due to the general development of interest rates.
Other operating income
Other operating income includes staff and administrative expenses passed on for services in the amount of € 145,209
thousand (2022: € 157,242 thousand), income from releases of provisions for impending losses from derivatives in the amount of
€ 19,517 thousand (2022: € 6,714 thousand), income from close-out fees for derivatives on the banking book in an amount of
€ 97,778 thousand (2022: € 16,963 thousand), as well as income from the release of other provisions in the amount of € 1,742
thousand (2022: € 3,980 thousand).
Notes 259
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Staff expenses
Expenses for severance payments and benefits for occupational employee pension funds in the amount of € 11,181 thousand
(2022: minus € 4,836 thousand) include € 6,450 thousand (2022: income of € 10,688 thousand) in expenses for severance
payments.
In the 2022 financial year, income in the expenses for severance payments and pension expenses resulted from changes in
actuarial parameters used to determine provisions.
Other administrative expenses
The auditor expenses for the financial year, broken down by service, are presented in the consolidated financial statements.
Sundry operating expenses
The sundry operating expenses increased € 475,958 thousand to € 1,131,444 thousand in 2023. This includes allocations for
provisions for impending losses for banking book derivatives in an amount of € 19,816 thousand (2022: € 62,582 thousand),
allocations for other provisions for liabilities and charges (see also the item “Provisions” in the statement of financial position
and the section “Litigation risk for foreign currency loans in Poland”) of € 873,400 thousand (2022: € 462,000 thousand), as well
as expenses deriving from close-out fees for banking book derivatives in an amount of € 157,002 thousand (2022: € 9,971
thousand). Also included are expenses from staff and administrative costs passed on in the amount of € 30,113 thousand (2022:
€ 57,944 thousand).
Disposal and valuation of loans and advances and
securities classified as current assets
Net income/expenses from the disposal and valuation of loans and advances and securities classified as current assets
recorded a positive balance – unlike in the previous year - of € 49,987 thousand (2022: minus € 164,641 thousand). This change
derived, firstly, from a positive net gain/loss on the valuation and disposal of marketable securities and banking book
derivatives in the amount of € 149,120 thousand (2022: minus € 60,546 thousand) and from an improvement in the net gain/
loss on the valuation of loans and advances as well as guarantees to an amount of minus € 99,133 thousand (2022: minus
€ 104,095 thousand). RBI AG recognized net provisioning for individual loan loss provisions of € 213,567 thousand. This
represented a year-on-year increase of € 128,560 thousand. The increase was largely due to increased individual loan loss
provisions which were required due to the current economic trends in the area of real estate financing. In contrast, a positive
trend was noted in the risk evaluation of non-defaulted loans in the financial year under review. On balance, therefore, a net
release of portfolio-based loan loss impairments was made in an amount of € 106,086 thousand in the financial year under
review (2022: net addition of € 20,910 thousand). This decrease is attributable to the release of provisions made in the previous
year for general political risks, including in particular the Russia sanctions and the Russian business managed from Vienna, in
an amount of € 46,940 thousand (2022: minus € 22,862 thousand). In addition, the releases of impairments (special risk factors)
due to reduced macroeconomic risks in an amount of € 27,030 thousand (2022: minus € 22,778 thousand) contributed to this
decrease. In addition, net releases were made in the financial year under review due to organic development of RBI AG’s loan
portfolio. For substantial as well as non-substantial contract modifications, gains in carrying amounts of € 1,560 thousand
(2022: minus € 1,820 thousand) were realized in the financial year. Net income from extraordinary disposals of loan receivables
amounted to minus € 1,224 thousand (2022: minus € 2,311 thousand).
In the financial year under review, losses were realized on shares in investment funds in an amount of € 0 thousand (2022: € 162
thousand). Income from distributions amounted to € 0 thousand (2022: € 2 thousand).
260 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Disposal and valuation of securities evaluated as
financial investments and of shares in affiliated
companies and participating interests
The item net income/expenses from the disposal and valuation of securities evaluated as financial investments and of shares
in affiliated companies and participating interests included reversals of write-downs in the total amount of € 646,712
thousand, of which € 604,249 thousand was attributable to AO Raiffeisenbank, € 14,107 thousand to RZB-BLS Holding GmbH,
€ 10,073 thousand to BAILE Handels- und Beteiligungsgesellschaft m.b.H., and € 7,386 thousand to Salvelinus Handels- und
Beteiligungsges.m.b.H. Shares in affiliated companies and equity participations were written down by € 85,049 thousand in
total, including Raiffeisen Digital Bank AG in the amount of € 66,850 thousand and FAIRO GmbH in the amount of € 9,795
thousand. In total, gains of € 10,974 thousand (2022: € 17 thousand) were realized on the sale of shares in affiliated companies
and participating interests in the financial year. A total of € 572,637 thousand in gains (2022: € 965,955 thousand in losses) from
both the valuation and disposal of shares in affiliated companies and participating interests has therefore been recognized.
In the financial year 2023, a net amount of € 3,837 thousand in price losses was realized from the sale of securities held as
financial assets. In the comparable period of 2022, the price loss was € 9,823 thousand.
Tax on profit or loss
The tax on profit or loss shows net positive income from taxes in the amount of € 14,410 thousand (2022: € 5,531 thousand) for
the financial year 2023. The item includes income from current income taxes of € 15,105 thousand (2022: € 5,859 thousand), a
deferred tax expense of € 631 thousand (2022: deferred tax income of € 504 thousand) and tax income for previous years of
€ 7,943 thousand (2022: tax expense of € 258 thousand). Furthermore, foreign withholding taxes are included in an amount of
€ 8,007 thousand (2022: € 574 thousand).
RBI AG is the group parent of a corporate group pursuant to Section 9 of the Corporation Tax Act (KStG). As of 31 December
2023, 71 companies (including the parent company) were members of the group of companies (31/12/2022: 54 companies)
pursuant to Section 9 of the Corporation Tax Act (KStG). If a group company achieves a positive taxable result, the tax
allocation to be paid for the tax-deductible profit share is 12 per cent and for the non-deductible profit share 24 per cent. In
addition, the positive tax levy amounts to 12 per cent if a positive result of a group company reduces the balance on the record
account (i.e. an off-book account that the group parent keeps for the group company for the purpose of keeping records of
negative results of the group member and later offsetting them against positive results of the group member). In the event of
negative results for tax purposes, the group member has a claim against the group parent amounting to 12 per cent of the
negative result.
At the end of 2022, the EU adopted the Directive on implementing a global minimum tax rate of 15 per cent on profits of
multinational companies in accordance with the OECD’s Base Erosion and Profit Shifting Project. The Directive had to be
implemented into national law by the individual Member States by 31 December 2023. In Austria, the Minimum Taxation Reform
Act (MinBestRefG) was published in the Federal Gazette. The Minimum Taxation Reform Act includes the new federal act on
guaranteeing a global minimum taxation rate for corporate groups (Minimum Taxation Act, MinBestG) and also provides for
amendments to the Federal Fiscal Code (BAO) and the Austrian Company Code (UGB). RBI is monitoring the progress in the
legislative process in the jurisdictions of relevance for the Group. By 31 December 2023, the EU Directive had been implemented
in local law in the following countries in which the Group operates: Austria, the Czech Republic, Hungary and Romania.
Since the majority of the Group’s subsidiaries are located in jurisdictions whose nominal tax rate or effective tax rate is higher
than the minimum tax rate of 15 per cent, based on the current status of legislation, tax effects from the entry into force of
the global minimum tax rate, expected for the start of 2024, are only anticipated in individual countries. It is possible that the
nominal tax rate will be increased or that supplementary taxes will be introduced in order to prevent an outflow of taxes from
the countries affected. In most countries where RBI operates, the Safe Harbour Rules were complied with as at 31 December
2023. The following countries represent an exception: Hungary, Bosnia and Herzegovina, Kosovo, Serbia and Austria. As at 31
December 2023, RBI AG anticipates an effect in the high single-digit millions.
Notes 261
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Branches on a consolidated basis

2023 |  |  |  |  |  |
in € thousand | Bratislava | Frankfurt | London | Beijing | Singapore | Warsaw
Domicile state | Slovakia | Germany | Great Britain | China | Singapore | Poland
Net interest income | 26 | 0 | 0 | 1,430 | 174 | 81,435
Operating income | (15,593) | 334 | 6 | 463 | 196 | 87,731
Profit on ordinary activities | (17,337) | (1,506) | (3,984) | (2,785) | (1,444) | (853,345)
Income taxes | (252) | (51) | (74) | (221) | 0 | 0
Number of employees (average) | 20 | 8 | 13 | 15 | 4 | 273
Public subsidies received | None | None | None | None | None | None

2022 |  |  |  |  |  |
in € thousand | Bratislava | Frankfurt | London | Beijing | Singapore | Warsaw
Domicile state | Slovakia | Germany | Great Britain | China | Singapore | Poland
Net interest income | 1 | 0 | (4) | 1,168 | 77 | 37,950
Operating income | 5,408 | 410 | (127) | (1,765) | 76 | 45,105
Profit on ordinary activities | 3,728 | (1,826) | (4,306) | (5,487) | (1,617) | (485,460)
Income taxes | (214) | (36) | (66) | (200) | 0 | 0
Number of employees (average) | 25 | 8 | 14 | 16 | 4 | 254
Public subsidies received | None | None | 17.0 | None | None | None

With regard to the business areas in which the branches operate, please refer to the chapter “Branches and representative
offices” in the management report
Overall return on assets
The overall return on assets (net loss or profit after tax divided by the average total assets) in 2023 was 1.60 per cent (2022:
minus 1.13 per cent).
Profit contribution from 2022
On 30 March 2023, due to the continuing uncertainties resulting from the war in Ukraine, the Annual General Meeting resolved
to carry forward the entirety of the retained earnings. Following the volatile market environment in the spring, it was decided,
in the interests of prudent capital and liquidity management, to initially await further developments in the course of the 2023
financial year. At the extraordinary general meeting on 21 November 2023, it was decided, due to the positive development in
the 2023 financial year, to distribute a dividend of € 0.80 per dividend-bearing share for the 2022 financial year.
Proposal for the appropriation of profits
The Management Board will make a proposal to the Annual General Meeting on 4 April 2024 to distribute a dividend of € 1.25
per share. Based on the shares issued, this would result in a maximum amount of € 411 million.
262 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Other
Transactions with related parties (companies and individuals) are limited to banking business transactions that are carried out
at fair market conditions.
In the financial year the company had an average of 3,658 employees (2022: 3,445).
Expenses for severance payments and pensions

| Pension | Severance payments
in € thousand | 2023 | 2022 | 2023 | 2022
Members of the management board and senior staff | 1,821 | (2,744) | 895 | (1,134)
Employees | 11,276 | 7,761 | 10,286 | (3,702)
Total | 13,097 | 5,017 | 11,181 | (4,836)

The income from severance payments and pension expenses in the financial year 2022 resulted from changes in actuarial
parameters used to determine provisions.
Boards
Management Board

Members of the Management Board | Initial appointment | End of term
Johann Strobl, Chairman | 22 September 2010 1 | 28 February 2027
Marie-Valerie Brunner | 1 November 2023 | 31 October 2026
Andreas Gschwenter | 1 July 2015 | 30 June 2026
Łukasz Januszewski | 1 March 2018 | 28 February 2026
Hannes Mösenbacher | 18 March 2017 | 28 February 2025
Andrii Stepanenko | 1 March 2018 | 28 February 2026
Peter Lennkh | 1 October 2004 | 31 August 2023 2
1 Effective as of 10 October 2010
2 On 31 August 2023 Peter Lennkh stepped down from the Management Board.

Supervisory Board

Supervisory Board members | Initial appointment | End of term
Erwin Hameseder, Chairman | 8 July 2010 1 | Annual General Meeting 2025
Martin Schaller 1st Deputy Chairman | 4 June 2014 | Annual General Meeting 2024
Heinrich Schaller 2nd Deputy Chairman | 20 June 2012 | Annual General Meeting 2027
Michael Alge | 31 March 2022 | Annual General Meeting 2027
Eva Eberhartinger | 22 June 2017 | Annual General Meeting 2027
Andrea Gaal | 21 June 2018 | Annual General Meeting 2028
Peter Gauper 2 | 22 June 2017 | 14 June 2023
Michael Höllerer | 31 March 2022 | Annual General Meeting 2027
Rudolf Könighofer | 22 June 2017 | Annual General Meeting 2027
Heinz Konrad | 20 October 2020 | Annual General Meeting 2025
Reinhard Mayr | 20 October 2020 | Annual General Meeting 2025
Birgit Noggler | 22 June 2017 | Annual General Meeting 2027
Manfred Wilhelmer 3 | 21 November 2023 | Annual General Meeting 2028
Natalie Egger-Grunicke 4 | 18 February 2016 | Until further notice
Peter Anzeletti-Reikl 4 | 10 October 2010 | Until further notice

Notes 263
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Supervisory Board members | Initial appointment | End of term
Rudolf Kortenhof 4 | 10 October 2010 | Until further notice
Gebhard Muster 4 | 22 June 2017 | Until further notice
Helge Rechberger 4 | 10 October 2010 | Until further notice
Denise Simek 4 | 1 October 2021 | Until further notice
1 Effective as of 10 October 2010 |  |
2 Peter Gauper resigned from his position with effect from 14 June 2023 |  |
3 Member of the Supervisory Board with effect from the Annual General Meeting on 21 November 2023 |
4 Delegated by the Staff Council |  |

State Commissioners
· Alfred Lejsek, State Commissioner (since 1 January 2011)
· Matthias Kudweis, Deputy State Commissioner (since 1 April 2021)
Remuneration of members of the Management
Board
The following remuneration was paid to the Management Board:

in € thousand | 2023 | 2022
Fixed remunerations | 4,807 | 4,906
Bonus (performance-based) | 3,510 | 3,742
Payments to pension funds and reinsurance policies | 397 | 412
Other remunerations | 2,546 | 2,330
Total | 11,259 | 11,390
hereof remuneration from affiliated companies (Supervisory board remuneration) | 2,329 | 2,145

The fixed remunerations shown in the table include salaries and non-cash benefits.
The performance-based components of the Management Board’s remuneration cover bonus payments. The bonuses reported
above are immediately payable bonus amounts for 2022 and deferred bonus amounts for previous years.
The bonus agreement is linked to the achievement of annually agreed objectives. The respective step-in criteria as well as the
individual performance targets can be found in the current remuneration policy (www.rbinternational.com → Corporate
Governance & Remuneration → Remuneration Policy).
The amount of the bonus depends on the return on equity and on the cost/income ratio, and the objectives are derived from
the Group’s target medium-term ROE. Payment is made according to the applicable regulations of the Austrian Banking Act
(BWG) implemented in the internal regulations (see employee compensation plans in the section recognition and measurement
principles).
Other remuneration covers remuneration for functions in the boards of affiliated subsidiaries, insurance policies and grants.
An amount of € 1,577 thousand (previous year: € 1,386 thousand) was paid in pension benefits to former members of the
Management Board and to their surviving dependents in the 2023 financial year. In addition to these amounts, short-term
benefits and deferred bonus components as well as severance payments totaling € 469 thousand (previous year: € 978
thousand) were paid to former members of the Management Board.
In addition to the amounts presented above, there are expenses of € 2,761 thousand (31/12/2022: € 1,135 thousand) as portions
of the bonus provision, which relate to deferred bonus portions payable in cash and retained portions payable in instruments.
In the case of the latter, valuation changes due to exchange rate fluctuations are also taken into account.
Remuneration of members of the Supervisory Board

in € thousand | 2023 | 2022
Remunerations Supervisory Board | 1,171 | 1,127

264 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In The Annual General Meeting held on 22 April 2021 approved a remuneration model for the Supervisory Board, beginning on 23
April 2021 and for the following years. It was decided to distribute the remuneration as follows: Chairman € 120 thousand,
Deputy Chairman € 95 thousand, members of the Supervisory Board € 60 thousand, plus attendance fees, for the Chairman of
the Audit Committee and the Risk Committee each additional € 17.5 thousand.
In the 2023 financial year, no contracts subject to approval within the meaning of § 95 (5) 12 of the Austrian Stock Corporation
Act (AktG) were concluded with members of the Supervisory Board.
Remuneration of members of the Advisory Council

in € thousand | 2023 | 2022
Remuneration Advisory Council | 191 | 188

The Annual General Meeting held on 21 June 2018 passed a resolution to grant remuneration to the Advisory Council members
for their work. It was decided to distribute the remuneration as follows: Chairman € 25 thousand, Deputy Chairman € 20
thousand, each additional member € 15 thousand, plus attendance fees.
Amounts of loans and grants extended to members of the Management
Board and Supervisory Board, as well as other legal transactions
The relationships of members of the Management Board and Supervisory Board to RBI AG are as follows:

in € thousand | 2023 | 2022
Debt securities | 1,635 | 657
Shares | 2,786 | 2,581
Deposits and other receivables | 423 | 1,288
Loans and other liabilities | 213 | —
Lease liabilities | 17 | 59

Of the amounts stated, bonds worth € 784 thousand (2022: € 22 thousand), shares worth € 1,545 thousand (2022: € 1,576
thousand) and deposits and other receivables worth € 10 thousand (2022: € 750 thousand) are attributable to members of the
Management Board. The remaining items are attributable to the Supervisory Board.
Notes 265
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Events after the reporting
date
There were no significant events after the reporting date.
Qualified electronically signed by:
Vienna, 12 February 2024
The Management Board

Johann Strobl m.p. | Marie-Valerie Brunner m.p.
Andreas Gschwenter m.p. | Łukasz Januszewski m.p.
Hannes Mösenbacher m.p. | Andrii Stepanenko m.p.

266 Notes
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Management report
· Market development
Weak economy in a crisis-ridden environment
While the US economy was remarkably robust in 2023, Europe’s economic environment was characterized by a stagnant
economic cycle. Economic support from the services sector weakened significantly over the course of the year, while the
industrial sector remained in recession for most of the year. As a result, more service-driven economies achieved slightly
above-average growth, while more manufacturing-oriented countries in Western Europe such as Germany and Austria found
themselves in mild recessions. Overall inflation fell noticeably in 2023, mostly due to energy prices, although the core rate of
inflation sank much more gradually. Both the US Federal Reserve and the ECB continued their series of interest rate hikes into
the (late) summer and then left key rates unchanged for the rest of the year.
The euro area’s gross domestic product was only slightly higher on average in 2023 than in 2022. In the second half of 2023,
economic momentum weakened and GDP was below the level of the first half of the year. What is striking in this economic
cycle is the robust labor market. Unemployment rates have barely risen, many jobs are vacant and employment levels are high
despite the persistently weak economy. Inflation fell from 8.6 per cent at the beginning of the year to below 3 per cent in the
fall. Price increases for food and many tangible goods have slowed, and energy goods are actually cheaper than in the year
before. Services, on the other hand, saw stronger price growth in 2023 than in 2022.
The European Central Bank (ECB) raised its key rates 200 basis points in 2023. In addition, the bond holdings in the APP (asset
purchase programme) portfolio were reduced around € 200 billion by stopping reinvestments of maturing bonds. The bulk of
the central bank’s balance sheet reduction was achieved by allowing refinancing transactions to mature. The outstanding
volume of these loans to commercial banks fell over € 1,300 billion by the end of 2023. While short-dated money market rates
rose roughly the same amount as key interest rates, interest on swap rates and yields on German government bonds with five-
to ten-year maturities were barely higher at the end of the year than at the beginning. However, performance was extremely
volatile over the course of the year. One key element in the interest rate market is the inverted yield curve. In 2023, the interest
rate for swap rates and German bonds with short maturities was consistently higher than that for long maturities.
The Austrian economy was in recession in parts of 2023, with real GDP falling 0.7 per cent for the year as a whole. This made
the Austrian economy one of the worst performers in the euro area. In addition to the industry and construction sector, this
was also due to consumer related services. The construction industry experienced a stronger real correction in Austria than in
many other euro countries. Inflation fell noticeably over the course of the year. However, at an annual average of 7.7 per cent, it
was still well above the euro area’s level (2 percentage points). Austria’s conspicuously weak economy can also be partially
attributed to above-average inflation.
CEE: High interest rates and inflation, sluggish growth
The CEE region’s economy was affected by inflation and industry weakness in 2023 in much the same way as the euro area
and Austria were. Some of the measures taken in 2022 to combat inflation (price regulations and energy price caps) expired in
2023, which shifted inflationary pressure from 2022 to 2023. Inflationary pressure was overall more persistent in the region
than in the euro area, in large part because the labor markets were already very tight before the war in Ukraine drove up
(energy) prices, which increased wage pressures. Nevertheless, base effects for energy prices caused inflation to start falling in
the first half of 2023. Given the significant steps taken by central banks in Central and Eastern Europe back in 2021 and 2022,
most CEE countries did not enact more interest rate hikes in the first half of 2023 (with the exception of Albania and Serbia). As
the year progressed, some central banks in the CEE region felt able to cut key rates in response to a further decline in inflation
rates; other banks continued to wait.
The industrial sector was weak in large parts of Central Europe (CE) in 2023. Because of this sector’s importance to these
economies and close ties with the German industrial sector, the region underperformed most of Europe. However, a strong
inflow of EU funds, improving foreign trade and a moderate recovery in consumer demand fueled a slight recovery over the
course of the year. Thanks to a strong boost from foreign trade, Slovakia (up 1.3 per cent) outperformed the rest of the Central
European countries (up 0.1 per cent). Support also came from access to NextGenerationEU funds (NGEU funds), which Poland
and Hungary could not (yet) tap.
Management report 267
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Once again, the economy in Southeastern Europe (SEE) outperformed the euro area and Central Europe because SEE depends
much less on the industrial sector, which had been battered more by the war in Ukraine and high energy prices. Southeastern
Europe’s strong performance was supported by an abundant inflow of EU funds along with a strong tourist season.
Nevertheless, growth in SEE only reached 1.8 per cent in 2023, with Albania leading the way (up 3.5 per cent). Supporting factors
in this country were the construction sector and tourism, private and public spending as well as investment. The lowest growth
was posted in Romania (up 1.5 per cent), where the economy disappointed in the autumn due to the continued weakness of its
industrial sector.
In Eastern Europe (EE), Ukraine recorded the strongest growth in 2023 (up 5.7 per cent), due to its robust adjustment to the
war and base effects. The Russian economy, in contrast, grew 2.5 per cent in 2023, supported by fiscal policy and defense
spending. In Belarus, the impact of EU and US sanctions increased significantly, but the country managed to grow 3.9 per cent,
partly due to state-subsidized investments in the modernization of industrial plants and machinery.
Annual real GDP growth in per cent compared to the previous year

Region/Land | 2022 | 2023e | 2024f | 2025f
Poland | 5.1 | 0.2 | 3.1 | 3.5
Slovakia | 1.7 | 1.3 | 2.1 | 2.1
Czech Republic | 2.4 | (0.5) | 1.7 | 3.2
Hungary | 4.6 | (0.5) | 3.0 | 4.0
Central Europe | 4.0 | 0.1 | 2.7 | 3.4
Albania | 4.9 | 3.5 | 3.5 | 3.8
Bosnia and Herzegovina | 4.2 | 1.8 | 3.0 | 3.5
Croatia | 6.3 | 2.1 | 2.5 | 2.6
Kosovo | 5.2 | 3.2 | 3.9 | 4.0
Romania | 4.1 | 1.5 | 2.8 | 3.5
Serbia | 2.4 | 2.5 | 3.0 | 4.0
Southeastern Europe | 4.3 | 1.8 | 2.8 | 3.5
Belarus | (4.7) | 3.9 | 2.0 | 2.0
Russia | (2.1) | 2.5 | 1.5 | 0.9
Ukraine | (29.1) | 5.7 | 4.9 | 6.5
Eastern Europe | (3.9) | 2.8 | 1.8 | 1.4
Austria | 4.8 | (0.7) | 0.2 | 1.4
Euro area | 3.4 | 0.5 | 0.5 | 1.5
Source: Raiffeisen Research, as of beginning of February 2024, (e: estimate, f: forecast); subsequent revisions are possible for years already completed

Banking sector in Austria
The Austrian banking sector carried on the good performance from 2022 and improved on it in 2023. The operating business
was supported by increasing net interest income and stable performance in the commission business. Nevertheless, operating
costs increased as well. Risk costs in 2023 were lower than in the previous year, however. The funding environment for the
Austrian banking sector was challenging in 2023. Nevertheless, Austrian banks held their own in the primary market once again
and placed significantly larger volumes than in the years before 2022, especially in the covered bond segment. Growth rates of
the loan volumes granted in both the household and corporate loan segments show a significant year-on-year slowdown. This
is primarily due to the different interest rate environment and, to a lesser extent, to the changed regulatory framework for
lending guidelines. The household segment showed negative year-on-year growth of minus 1.9 per cent as of November 2023.
Loan growth in this segment became negative as of the middle of the year. The corporate segment reported annual growth of
2.9 per cent (November 2023 vs. November 2022) compared to growth of 11.3 per cent at the same time in the previous year.
The banking sector’s capitalization increased further compared to the start of 2023, reaching 16.6 per cent (common equity tier
1 ratio) as of June 2023. The Austrian Financial Market Stability Board concluded in its September 2022 meeting that Austrian
banks are less capitalized than their European peers and therefore recommended raising macroprudential buffer requirements
for selected banks another 0.5 percentage points and gradually phasing in this increase over two years. Accordingly, these
requirements rose 0.25 percentage points for selected institutions at the turn of the year.
268 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Development of the banking sector in CEE
As key interest rates remained high for most of 2023 (and euro markets caught up), CE/SEE banks were able to further improve
their profitability thanks to wider net interest margins while risk costs remained rather limited as the number of loan defaults
remained low. The average return on equity in the region was over 15 per cent, which is consistent with the most successful
years before the global financial crisis. The turbulence in the US banking sector had no major impacts. All in all, core banking
income proved to be strong enough to compensate for the additional bank taxes levied in certain countries, inflationary
pressure on operating costs and the switch to a more expensive refinancing mix (rising percentage of time deposits, expensive
MREL funding). At the same time, stricter financial conditions and the weaker economic environment slowed down lending
significantly, which particularly affected investment loans to companies and the market for residential construction loans. The
Eastern European markets experienced a strong turnaround as banks returned to profitability in Russia (normalized monetary
conditions, politically supported lending) and Ukraine (high interest rates, macroeconomic improvements).
Regulatory environment
Supervisory priorities and interaction with the ECB
· Reinforcing the management competence of the governing bodies to enable banks to effectively address the
digitalization process: As a supervisory authority, the ECB wants to ensure that RBI has sound strategies and
appropriate regulations in place to meet the challenges that digitalization presents. Effective digital transformation
strategies and governance regulations can help RBI make its business models more resilient and sustainable.
· Strengthening the banks’ resilience to direct macrofinancial and geopolitical shocks: In the current uncertain
environment, it is essential for all banks that are under Single Supervisory Mechanism (SSM) supervision to remain
resilient to external shocks. This means that they can withstand unexpected events, such as economic downturns or
geopolitical crises, without jeopardizing their business operations. For this reason, the ECB wants to ensure that the
European banks remedy weak points in their credit risk management frameworks, in order to strengthen their
resilience against a possible asset quality deterioration, and quickly identify and mitigate risks. Sound planning and
diversified funding sources can help ensure the European financial market maintains reliable access to funding.
· Intensified efforts to combat climate change: The risks associated with climate change are changing rapidly with
far-reaching economic consequences, among other things. The ECB believes that European banks need to take
measures to mitigate these risks and have a role to play in funding the transition to a more sustainable economy. It
also considers that banks can only mitigate their risk exposure by taking appropriate consideration of climate and
environmental factors in their strategies, risk management practices and decision-making processes.
New regulation in 2023
Finalization of Basel III (CRR III/CRD VI)
In June 2023, agreement was reached on the cornerstones in the trilogue negotiations held between the European Council, the
European Parliament, and the European Commission. In the second half of 2023, the legislative bodies concentrated on
reaching agreement in the technical trilogues, followed by the approval in the EU Parliament and the EU Council plenary
session. The published consolidated texts of the political agreement reached on CRR III and CRD VI are expected to be voted on
in the plenary session of the European Parliament by the end of the first quarter of 2024. Despite efforts made by the
European Banking Industry Committee (EBIC) to postpone the Basel III implementation date in the EU, due to the comprehensive
changes brought about by the Capital Requirements Regulation (CRR III), the effective date of 1 January 2025, remains
unchanged.
RBI AG as a universal bank is affected by the proposed changes in various respects and makes substantial efforts to analyze
and evaluate the new and updated requirements and their resulting impact. Through its intensive efforts at national and EU-
level, RBI has clearly communicated its position on topics of particular interest. Among others, minority interest deductions, the
treatment of equity holdings made pursuant to Legislative Programmes to promote specified sectors of the economy,
retaining a 100 per cent risk-weighting for equity exposures that have been held for six years and applying a preferential
treatment for intragroup exposures were addressed. RBI regularly analyzes the updated requirements and corresponding
impact assessments for the standardized approach (STA) and the internal ratings-based approach (IRB). This allows it to
prepare adequately for the implementation of the new requirements and assess the various changes affecting RWA
calculations. This is to ensure a smooth transition to the new provisions and allows RBI to update its systems and adapt to the
new calculation and reporting requirements.
Management report 269
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Payment Services Directive and framework for financial data access
The European Commission is working on creating an efficient and integrated market for payment services in the EU. As a
result, two packages of measures were proposed:
The first involves a revision of the Payment Services Directive. This proposal aims to extend and modernize the current
Payment Services Directive (PSD2), which will become PSD3, and also to introduce a Payment Services Regulation (PSR). The
proposed regulation determines standardized requirements for the provision of payment services and e-money services within
the EU, with the objective of combating and curbing fraud in payment services, strengthening consumer rights, further aligning
the competitive conditions between banks and non-banks, and improving the operation of open banking services.
Second, the Commission is putting forward a legislative proposal for a framework for financial data access. This framework
will establish clear rights and obligations for exchanging customer data in the financial sector beyond payment accounts. In
practice, this will lead to more innovative financial products and services for users and stimulate competition in the financial
sector. By contributing actively in this regulation, RBI could be remunerated accordingly for introducing application
programming interfaces (APIs) that were developed as part of the program for financial data exchanges.
Finally, the legislators agreed in the Commission’s proposal to make instant payments in euro available for all citizens and
companies in the EU. This regulation aims to ensure that instant payments in euro are made affordable and secure, and can be
easily processed in the entire EU. Instant payments in euro allow money to be transferred at all times within seconds. As a
result of the new regulations, they will become the new normal for transfers. They should make life simpler for EU citizens,
improve businesses' cash flows and bring savings for retailers. This will encourage new innovation opportunities for banks.
Retail investment strategy
On 24 May 2023, the European Commission put forward the retail investment strategy, which aims to promote greater retail
investor participation on the capital markets. The European Commission suggested changes to current legislation (e.g. making
product information more comparable or easier to understand) to reach the objective of deepening the capital markets union.
Digital Operational Resilience Act (DORA)
DORA entered into force on 16 January 2023 and will apply from 17 January 2025. The aim is to improve the digital operational
stability of financial corporations throughout the EU and further harmonize the requirements for this. This regulatory
framework covers core areas, such as risk management, incident management and reporting, reviewing the digital operational
stability and the management of information and communication technology (ICT) third-party risks. DORA mandates the
European Supervisory Authorities to jointly develop 13 policy instruments, presented in two batches. The first batch of technical
standards was introduced in June 2023. The objective of the technical standards is to create consistent and detailed
requirements in ICT risk management, reporting of major ICT-related incidents and ICT risk management for third parties. RBI is
directly impacted by DORA and its technical standards, and is working intensively on implementing all the applicable
requirements.
Markets in Crypto Assets Regulation (MiCA)
MiCA entered into force in June 2023. It lays down standard market rules for crypto assets in the EU and is therefore the first
comprehensive framework for regulating the crypto currency market. The regulation covers crypto assets that are currently
not governed by existing EU financial services legislation (MiFiD II). The objective of the MiCA regulation is to protect investors,
prevent crypto asset misuse, ensure financial stability, create regulatory clarity and protect against market abuse and
manipulation. The regulation comprises a significant number of technical standards and guidelines that have to be developed
before the new regulation comes into force (within a period of 12 to 18 months depending on the mandate). The European
Supervisory Authorities (ESAs) are working as a matter of high priority on providing three batches of technical standards to
further break down the requirements. RBI is closely observing and analyzing all the related developments, and working on
potential applications.
Minimum requirements for own funds and eligible liabilities (MREL)
The Single Resolution Mechanism Regulation II (SRMR II) introduced the concept of the Maximum Distributable Amount related
to MREL (M-MDA), which has been applicable since 1 January 2022. M-MDA allows the Single Resolution Board (SRB) to set
restrictions on distributions for banks. While M-MDA has many similarities to the classic MDA regime of Article 141 CRD, it is
subject to the discretionary decision of the resolution authority.
Regulation (EU) 2022/2036 (CRR Quick Fix) was formally adopted on 19 October 2022. It introduced changes to the CRR and Bank
Recovery and Resolution Directive (BRRD) applying to the calibration of the MREL requirements for banking groups with a
multiple point of entry (MPE) resolution strategy and a methodology for indirect subscription of MREL instruments. The SRB
published the updated MREL on 15 May 2023.
270 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In line with RBI’s MPE resolution strategy, it must be possible to process each resolution unit separately, without impairing the
resolution capability of other resolution groups. To achieve this objective, each resolution group aims to maintain the
necessary MREL capacity and be separable, in order to ensure that the MPE approach is feasible and credible.
The MREL planning is an integral part of the budgeting process for RBI and its subsidiaries in the EU. The individual MREL
capacities in the resolution groups are closely monitored. RBI and its subsidiaries in the EU conducted issues in order to fulfill
their respective MREL requirements. Binding and final MREL requirements will apply within the Banking Union from 1 January
2024.
RBI was able to cover a significant portion of its MREL requirements by issuing green and sustainable bonds.
Crisis management and deposit insurance (CMDI) framework
The EU Commission proposed an extensive review of the CMDI framework for banks. This review covers various directives and
regulations, including the Deposit Guarantee Schemes Directive (DGSD), the Bank Recovery and Resolution Directive (BRRD), the
Single Resolution Mechanism Regulation (SRMR) and the Daisy Chain Regulation. These proposals will focus mainly on extending
the resolution system to SME banks and facilitate the use of national deposit insurance funds for resolution purposes,
especially for smaller banks. It is currently envisaged that the EU Parliament and the EU Council will reach a joint decision on
the Commission proposal in May 2024.
Regulatory environment for ESG disclosures in the EU
The European Green Deal was at the very top of the political agenda and the European Commission’s initiatives for 2023. This
reaffirms the EU’s commitment to be at the forefront of sustainability efforts with ambitious environmental laws and the goal
of being climate neutral by 2050. The funding of this transition will be crucially important in the coming years. The EU
taxonomy and the Green Bond Standard are the most relevant sustainable financial instruments. In June 2023, the EU
Commission adopted further EU taxonomy criteria for economic activities that make a significant contribution to biodiversity,
environmental pollution and the circular economy. The inclusion of more economic activities and sectors will increase the
usability and potential of the EU taxonomy in scaling up sustainable investment in the EU. RBI will disclose its first taxonomy
alignment ratios from January 2024 onwards.
The legislator will use the EU Corporate Sustainability Reporting Directive (CSRD), which was completed at the end of 2022, to
rank the importance of ESG information equally with that of a company’s financial data. This will be substantiated by the
European Sustainability Reporting Standards (ESRS) that were developed by the European Financial Reporting Advisory Group
(EFRAG). The standards serve to limit the burden on reporting companies, while at the same time enabling them to verify the
efforts they are making to meet the green deal agenda, and accordingly get access to sustainable finance. The new CSRD
follows a double materiality concept. This means that companies must consider how sustainability aspects impact a
company’s economic situation on the one hand and how a company’s operations impact sustainability aspects on the other.
Management report 271
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Business performance at
Raiffeisen Bank International
AG
Business development
RBI AG is one of Austria’s leading corporate and investment banks. The Corporates business serves the top 1,000 companies in
the country as well as many large international and multinational corporations. These clients benefit from RBI AG’s extensive
know-how and service portfolio in export financing, trade financing, cash management, Treasury and fixed-income.
Institutional Clients groups business with banks and other institutional customers. It originally developed out of Correspondent
Banking and Trade Finance and today stands for an integrated client-centric approach to doing business with banks, national
and supranational institutions, insurance companies, asset managers and other institutional customers. Its extensive product
and service range includes, among others, clearing, settlement and payment services, custody and depositary banking services,
capital market and securities transactions as well as loan financing and advisory services aimed at helping our clients achieve
a more sustainable business orientation.
The Capital Markets business includes trading on own account and for third parties. RBI AG offers its customers individually
tailored solutions for liquidity and balance-sheet management, and for managing interest rate and currency risks as well. Its
particular strengths lie in interest rate, currency and credit products for the German-speaking countries (Austria, Germany and
Switzerland) and CEE. Cash products, derivatives and structured products are also offered, as well as debt capital raising via
bond issuance. A professional structuring team as well as strong sales and placement power ensure successful project
execution.
In the Raiffeisen Certificates, Retail Bonds & Equity Trading business area, RBI AG, as a leading and multi-award-winning
Austrian certificate provider, offers more than 6,000 investment and leverage products that allow opportunity/risk-optimized
investing, particularly for retail customers. This is a cross-asset offering aimed at customers in the DACH region as well as
many markets in Central and Eastern Europe. Raiffeisen certificates are publicly offered in 11 countries in both the primary and
secondary markets through exchanges, trading platforms and via RBI as a systematic internalizer. The retail bond business
was also integrated into this business area in September 2023. The business area also includes market making and proprietary
trading activities in equities, equity derivatives and commodities, with a focus on Central and Eastern Europe. RBI is one of the
leading market makers on various stock exchanges in this segment.
The Treasury and Group Subsidiaries and Equity Investments businesses are internal control areas for the management of
refinancing and the bank’s investment portfolio.
Corporates
The Corporates business serves Austrian and international corporate customers. In addition to Austria’s largest companies, the
focus is on Western European corporate customers with business activities in CEE, large corporate customers from Central and
Eastern Europe and internationally active commodities and trading companies.
Despite the challenging geopolitical and economic developments, the Corporate Banking business managed from Vienna
performed well over the course of the past financial year. The extensive support for our corporate customers enabled us to
assert and strengthen our position as a relationship bank.
Income increased further compared to the strong previous year. Important sources of income in the previous financial year
once again included traditional lending business and, thanks to the bank’s outstanding product expertise, structured project
and acquisition financing, real estate financing and hedging for our customers’ interest rate and foreign currency positions,
despite subdued demand for credit. Significant year-on-year growth was recorded in the deposit business due to the changed
interest rate environment.
The deteriorating economic situation significantly increased risk costs year-on-year.
The Corporates business segment nevertheless achieved a very good result.
272 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Further progress was made in environmental, social and governance (ESG) activities. Customer demand for advisory services in
the field of sustainability and sustainable financing solutions remained very high. The high level of interest in ESG was also
reflected in the volume of ESG-compliant financing, which was increased further year-on-year. The Climate & Environmental
Business Strategy further refined the ESG framework for our business activities.
The customer care approach for corporate customers serviced in several countries was improved further to achieve a more
uniform service across the RBI Group.
The digital product range was also expanded to further enhance the customer experience.
The financial year was also significantly influenced by the reorganization of the Corporate Banking and Markets & Investment
Banking Management Board areas. The newly created Corporate and Investment Banking (CIB) Customer Coverage and
Corporate and Investment Banking (CIB) Products & Solutions Management Board areas have been jointly serving corporate
and institutional clients as One Business Bank since 1 September 2023. Valerie Brunner has been overseeing CIB Customer
Coverage as a member of the Management Board since 1 November 2023, while Lukasz Januszewski is in charge of CIB
Products & Solutions.
Institutional Clients
In 2023, the Institutional Customers (IC) business area of RBI AG performed remarkably well. Its performance was driven by a
combination of growth in the foreign currency and international clearing, settlement and payment services business as well as
successful upselling initiatives. Further uplift came from positive developments supported by the current interest rate level in
the eurozone and in the CEE currencies. The Group’s gross income in the Institutional Customers business area was significantly
higher than the already pleasing result in 2022.
Business activities in the CIS region were adversely affected by the ongoing RU/UA crisis. The teams responsible for the
Institutional Customers business continued their efforts to terminate correspondent banking relationships with third-party
banks in RU and BY wherever possible in order to further reduce risk exposure to these markets. These efforts focused on
managing and channeling our important customer relationships in order to comply with all the sanctions and meet the
information needs of our global customers.
The growing Institutional Customers business in all other regions more than offset the decline in the CIS region thanks to
increased transaction volumes in clearing, settlement and payment services, trade finance and securities services. Persistently
high inflation and elevated interest rates in some of our markets also supported our efforts to increase business activities in
the fixed income value chain and helped to generate significant net interest income from deposits and current accounts.
We continued to promote ESG (environmental, social, governance) activities in the Institutional Customers (IC) business area in
the past financial year. Demand remained strong for our advisory services in sustainability and sustainable banking services in
financing and investment and for capital market issues for our customers. Strong interest in ESG translated into numerous
customer communications on this subject. The Climate & Environmental Business Strategy has further refined the ESG
framework for our business activities.
Our declared objective for 2023 was the successful execution of our comprehensive “One Business Bank” strategy. It focuses on
strengthening cross-selling and intensifying Group-wide cooperation in order to profitably expand our product range for our IC
customers. In both areas, we reached key milestones toward achieving business success in this segment in the years to come.
The previous year once again demonstrated that the regional growth potential for RBI AG in the IC business segment remains
intact and that RBI can continue to successfully play its central role as a bridge between East and West for our customers.
Capital Markets
It was yet another year of geopolitical discord. The European Central Bank responded to the high inflation rate with repeated
interest rate hikes; the stock markets nevertheless rose sharply in this environment (DAX up 20.3 per cent, etc.).
FX trading matched the previous year’s outstanding result despite lower volatility and trading volumes than the year before
due to greater internalization in market making and successful positioning in the CEE region. A new pricing engine including an
automated sales trader workflow was implemented for FX options.
The previous year’s result was significantly exceeded in money market trading and the securities refinancing business. This was
the first time in a long while that demand for EUR financing rose in addition to USD. However, no sustained margin expansion
was observed despite further increases in EUR and USD money market interest rates. The customer / counterparty portfolio
was expanded in CEE and Southeast Asia in particular. Additional digitalization and automation measures were implemented
to raise efficiency. The securities proprietary trading and investment books once again also closed out the year successfully
thanks to prudent positioning.
Management report 273
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The best result ever in the eurobonds segment was achieved amid interest rate hikes, a 10-month-long flat market and a bond
rally in the last two months of the year. RBI bonds in particular appreciated significantly in value due to the dividend payment
and the planned in-kind dividend paid by RBRU to RBI AG.
The very positive trend of increased sales and improved profits with interest rate derivatives continued. Indeed, the best result
in history was achieved with interest rate derivatives, together with local currency bonds and derivatives, despite the write-off
of all existing Russian bond positions.
The retail market’s demand for inflation-linked RBI bonds continued in the first half of 2023, but fell away in the second half of
the year as inflation declined. Nevertheless, inflation remained an issue for us in H2: Croatian pension funds began using
inflation swaps in 2023 to hedge their liabilities against inflation.
Collaborating with the Corporates area resulted in various meetings with prominent Austrian corporate customers regarding
their interest rate risks. A range of interest rate scenarios and a peer group comparison were presented to the customers to
illustrate their balance sheet interest rate risks, followed by several hedging solutions. This discussion resulted in a number of
transactions that should solidify long-term relationships with the companies and enhance RBI’s reputation as a problem solver.
Various data analytics tools were refined and implemented to enable bond traders, for example, to measure their risks in
futures in real time. This has helped with the successful management of relatively large positions, particularly in the extremely
fast-moving market for Austrian government bonds, thus significantly increasing the volume traded in market making. In
addition, the pricing library for non-standard swaps was extended to CEE currencies; a relative value tool was rolled out that
identifies attractive spreads between bonds; and a nearest-neighbor software program was introduced to suggest alternative
bonds to customers if RBI does not have the customer’s desired bond on its books.
Treasury
For medium to long-term refinancing, RBI AG uses long-term deposits and issuance. Issuance is mainly done under RBI AG’s EUR
25,000,000,000 Debt Issuance Program, which enables bonds to be issued in different currencies, formats and structures. RBI
AG has also had a program for issuing small-volume bonds and certificates since the integration of Raiffeisen Centro Bank AG.
In 2023, RBI AG once again increasingly used international large-volume bonds in various formats alongside long-term deposits
in order to implement its funding plan. One € 1,000 million senior issue in January was followed by two € 500 million mortgage
covered bond issues in March and May and a € 500 million non-preferred, non-subordinated eligible note in September. RBI AG’s
remaining refinancing requirements were covered by small unsecured private placements.
The total volume of multi-year deposits and issuance taken up in 2023 amounted to approximately € 4,953 million and had a
weighted maturity of approximately four years. At year-end 2022, the total volume of outstanding issued unsecured bonds
excluding AT1 amounted to approximately € 9,859 million.
For optimum coverage of liquidity requirements, in RBI AG has since 2019 participated in long-term secured financing via the
European System of Central Banks (ESCB), i.e. TLTRO III (Targeted Longer-Term Refinancing Operations) of the ECB (European
Central Bank). In November 2022, RBI AG repaid an initial TLTRO III tranche of € 500 million ahead of schedule. RBI AG repaid an
additional € 3,500 million early in January 2023, € 800 million in June 2023 and € 625 million in December 2023. The total volume
of ESCB financing has thus been repaid in full.
Certificates and Equity Trading
The first full financial year following the integration into RBI AG (demerger date 30 June 2022, legal effect upon entry in the
commercial register on 1 December 2022) was very satisfactory, especially in the certificates business.
Raiffeisen Certificates
Inflation remained high in the first half of 2023. That made it nearly impossible for retail customers to preserve the real value
of their assets with traditional fixed-term deposit instruments, despite higher interest rates. However, certificates, which are
mainly offered in this customer segment, generated positive real interest rates/returns. The successful business performance
and strong issuance activity showed that Raiffeisen Certificates’ product range satisfied important customer needs with very
attractive terms.
Total issuance was up 35.6 per cent year-on-year, setting a new record and making a significant contribution to the funding of
Raiffeisen Bank International AG. The volume of Raiffeisen certificates outstanding at the end of 2023 therefore reached a new
all-time high (up 20.6 per cent from the end of 2022). Overall, € 1.96 billion in Raiffeisen certificates were traded in 2023.
In order to focus even more strongly on retail customer needs, Raiffeisen Bank International AG’s retail bond business was
successfully integrated into the Raiffeisen Certificates, Retail Bonds and Equity Trading business area in September 2023. A
total of € 0.32 billion in retail bonds were traded in 2023.
274 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
In the Austrian Raiffeisen sector, the outstanding volume of Raiffeisen certificates reached a new record at the end of 2023 (up
27.0 per cent from 2022). A new record volume of certificates (up 22.8 per cent from 2022) was sold in collaboration with the
Raiffeisen banks and regional Raiffeisen banks, including individual issues and intensive training programs for advisors.
We also continued to expand digital communication channels such as videos and webinars for advisors and website tools in
2023. The relaunch of Certificate Finder 2.0 in February 2023 gives interested investors a simple website tool for finding a
suitable selection of certificates with exciting risk/reward profiles in just a few steps.
A record-breaking result was also achieved in the Central and Eastern Europe region, including the current core markets of
Slovakia, the Czech Republic, Hungary, Croatia and Poland. The volume of certificates sold increased 41.8 per cent year-on-year.
This result was made possible both by the issuance of certificates tailored to customer requirements and market conditions
and by very effective collaboration with the local network banks.
We also continued to successfully and rigorously expand the digital market presence of certificates in the region. For example,
we collaborated with the network banks in Bosnia-Herzegovina and Kosovo to offer certificates to retail customers for the first
time. Raiffeisen Czech Republic now offers customers the opportunity to purchase certificates 100 per cent digitally via the
online broker EDI (Easy Digital Investing). Work is underway to roll this offering out to other countries. The range of listed
certificates on the Warsaw Stock Exchange has also been significantly expanded with the relaunch of the Polish website, which
is specifically geared towards the needs of individuals who make their own investment decisions.
The Slovak branch of Raiffeisen Bank International AG in Bratislava, whose business activities include the issuance of
certificates for the Slovakian market, achieved a particularly high market penetration among retail customers with customized
issues.
Raiffeisen Certificates received several awards for its products and services in 2023. Raiffeisen Certificates was named
Austria’s Best Certificate House for the 17th time in a row at the Zertifikate Award Austria ceremony in September. The team
also gained international success at the Structured Retail Products Europe 2023 Awards in London and was re-confirmed as
Capital Market Leader in Poland by the Warsaw Stock Exchange.
Equity Trading
The stock markets were highly volatile in the first half of the year and especially the first quarter of the 2023 financial year,
resulting in good business performance in market making. The second half of the year was much calmer despite the
geopolitical situation, with much lower volatility in the fourth quarter (due to interest rate and inflation trends), which had a
negative impact on the general trading and market-making business, especially in Austria and the Western European markets.
We further expanded our trading activities and product range in Poland in particular and Eastern Europe in general, which
delivered a very good contribution to earnings.
The number of market-making mandates for equities and exchange-traded derivatives on the Central and Eastern European
exchanges increased slightly to 237 mandates in total. At the end of the year, RBI was responsible for 108 mandates on the
Warsaw Stock Exchange, 49 on the German stock exchanges, 38 mandates on the Vienna Stock Exchange, 29 on the Prague
Stock Exchange and 13 on the Bucharest Stock Exchange.
On the innovation side, the first-ever certificate on Bitcoin futures was launched in December 2023.
Management report 275
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Group Subsidiaries and Equity Investments
Following the sale of Raiffeisenbank Bulgaria in 2022, RBI AG has 12 subsidiary banks in CEE. The certificates business of the
former Raiffeisen Centrobank AG, which is strategically relevant for the RBI Group, was transferred to RBI AG as of 1 December
2022, while the company, now named Raiffeisen Digital Bank AG, simultaneously commenced operations in order to expand
and deepen our digital product and service range for customers. Crédit Agricole Srbija AD, which was integrated into the
consolidated group for the first time as of 1 April 2022, was merged with the Serbian subsidiary bank, Raiffeisen banka a.d., as
of 30 April 2023.
The business operations of RBI AG and its bank subsidiaries are complemented by numerous additional Austrian and
international subsidiaries in the strategic financial services sector as well as other participations, mostly in banking-related
ancillary services.
RBI AG’s participation strategy aims to safeguard and expand the strategic interests of RBI AG and to steadily increase the
value of the overall portfolio. There were no significant shifts in the investment portfolio in 2023. Governance and
administration of all participations is steered by RBI Group Subsidiaries and Equity Investments.
There were significant write-ups at AO Raiffeisenbank (€ 604.2 million), RZB-BLS Holding GmbH (€ 14.1 million), BAILE Handels-
und Beteiligungsgesellschaft m.b.H. (€ 10.1 million) and Salvelinus Handels- und Beteiligungsges.m.b.H. (€ 7.4 million). Significant
write-downs were booked at Raiffeisen Digital Bank AG (€ 66.9 million) and FAIRO GmbH (€ 9.8 million).
Most of the investees showed a stable to positive development despite ongoing challenges in the macroeconomic environment
such as persistently high inflation, a further rise in interest rates and the ongoing conflict in Ukraine. On the one hand, the
direct impact of the Ukraine conflict on the investees remained limited since they have little to no direct exposure or business
activities in the relevant regions. On the other hand, the general increase in prices, including higher staff costs, was (more than)
offset by improvements in earnings. For example, the rising interest rate environment had a positive impact on the earnings
prospects of the financial institutions, which constitute the most significant part of the investment portfolio.
Retail
RBI AG’s retail business consists exclusively of a portfolio of foreign currency retail mortgage loans at the Polish branch in
Warsaw. As at 31 December 2023, the net carrying amount of the loan exposures (less impairments) totaled approximately
€ 2.4 billion, consisting of € 1.90 billion (2022: € 1.91 billion) in Swiss franc loans, € 0.4 billion (2022: € 0.4 billion) in euro loans and
€ 0.01 billion (2022: € 0.02 billion) in Polish zloty loans.
The branch does not currently engage in deposit gathering or new customer acquisition, focusing instead on servicing the
foreign currency loans transferred to the branch until their final maturity and on providing services to the borrowers.
In 2023, as in previous years, the business environment was marked by the legal dispute between customers with Swiss franc-
denominated residential mortgage loans and banks. A provision was recognized in the amount of € 1,652 million (2022: € 803
million) on account of this still-pending legal issue.
Polish banks received considerable support from interest rates in the first few months of 2023. The banks’ net interest margin
(NIM) continued to rise, while the higher interest rates have not yet caused any significant deterioration in asset quality. The
interest rate cuts in September and October totaled 100 basis points.
Loan growth was moderate in 2023 with a slight recovery in mortgage sales thanks to the government’s subsidy program,
while deposit growth accelerated.
The unfavorable ruling of the Court of Justice of the European Union on CHF loans in June 2023 undoubtedly prompted the
banks to significantly increase provisions for legal risks in the first half of 2023.
276 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Branches and representative
offices
RBI AG operates a total of six branches in Bratislava, Frankfurt, London, Warsaw, Singapore and Beijing. As service branches,
these branches support RBI AG in Vienna and the network banks in customer care and sales activities. In addition to these
branches, RBI AG also operates representative offices in Paris, Stockholm, Mumbai, Seoul and Ho Chi Minh City.
RBI AG has a branch in Poland. The Polish portfolio mainly comprises retail customers’ foreign-currency mortgage loans. The
branch focuses on the administration of the foreign currency loans until their maturity, and additionally takes over the role of
liquidator for selected investment funds. It also develops digital solutions for the market and investment banking business, as
well as digital cloud solutions for RBI AG. In 2022, a competence center was also established for the core banking system
Temenos T24.
Through its extensive knowledge of the local markets in Southeast Asia and its contacts with companies, banks and
authorities, the Singapore branch supports customers in sales activities, and also in establishing branches or partnerships with
local companies. Vice versa, the branch helps companies from the region forge contacts with companies and banks in Austria
and Central and Eastern Europe.
The Beijing branch operates as a service branch and supports RBI AG and the network banks in customer service and sales
activities relating to China. The Belt and Road initiative, under which the branch concluded various cooperation agreements
with leading Chinese banks and funds as well as major companies and other financial institutions, is an important driver for
international trade and direct investments between Central and Eastern Europe and China. The branch in Beijing serves
Chinese state companies, financial institutions and major private companies by providing access from and to RBI AG’s home
markets. Business cooperation was intensified in the last year. In particular, RBI AG is increasingly involved in the
transcontinental cash management and trading business of these companies and financial institutions, and is well positioned
to offer local banking products in CEE to support the increasing Chinese investments in certain sectors.
The Frankfurt branch office successfully continued its consulting and structuring services in various forms of working capital
financing, as well as its local sales-support activities for RBI AG in its business with subsidiaries of German corporate
customers, especially in CEE. In 2023, further working capital financing mandates were secured and implemented for
customers in RBI AG’s focus markets, and business was further developed. In addition to winning new customers, another key
task in the corporate customer business involves providing sales support for RBI AG’s network, in close collaboration with the
corporate customer departments of the RBI Group. The increasing demand from German SME corporate customers for contact
points in Germany reflects customers’ centralization of administration functions and decision-making authorities. Building
contacts with decision makers at customers’ head offices strengthens customer relationships in CEE and opens up cross-
selling potential.
RBI AG has been present in London since 1989 and offers a broad range of services for different customer segments.
Institutional customers are served by our Capital Market Bond Desk, which offers primary and secondary sales of sovereign and
corporate bonds, including special CEE and CIS bonds in local currencies, as well as private placements and structured
products. A special focus is on fund financing and alternative investments, where we offer products such as subscription credit
facilities as part of our global asset-based finance activities. Our corporate desk provides corporate customers based in the
United Kingdom and Ireland with an extensive range of financial products and services offered by RBI AG and the Group’s
network banks. The London branch is licensed and supervised by the Financial Conduct Authority. Petr Polach was appointed
the new General Manager of RBI’s London branch with effect from October 2023.
The branch in Slovakia, which was established in 2017 as a branch of Raiffeisen Centrobank AG, was acquired by and
integrated into RBI AG as part of the spin-off process to acquire Raiffeisen Centrobank AG’s Certificates and Equity Trading
banking division, and was registered with the commercial register on 1 December 2022. The branch covers a broad range of
services and structured products (certificates) for retail customers of Tatra banka a.s. in Slovakia. Following the integration
into RBI AG, it has extended its range of services to include Group procurement services and Group reporting services.
Management report 277
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Financial Performance
Indicators
Statement of Financial Position
RBI AG’s total assets were down € 10,290,662 thousand, or 11.1 per cent, to € 82,323,950 thousand in the 2023 financial year. On
the assets side, the decrease is mainly due to lower balances at central banks. On the liabilities side, it mostly relates to a
decline in liabilities to credit institutions, among other things due to the repayment of ECB targeted longer-term refinancing
operations (TLTRO III).
The € 10,389,719 thousand decrease in cash reserves and balances at central banks to € 9,986,223 thousand resulted mainly
from reduced investment of surplus liquidity in the form of deposits at the Austrian National Bank and the repayment of ECB
targeted longer-term refinancing operations (TLTRO III) due to the interest rate level.
Treasury bills and other bills eligible for refinancing with the central bank increased € 1,982,729 thousand to € 8,780,884
thousand in the past financial year, mainly as a result of the higher volume of government bonds.
Loans and advances to credit institutions remained virtually unchanged relative to the previous year-end, with a moderate
€ 92,084 thousand rise to € 13,583,574 thousand. Within this, loans and advances repayable on demand showed an increase of
€ 23,744 thousand and other loans and advances an increase of € 68,339 thousand.
Loans and advances to customers decreased € 2,163,781 thousand, or 7.2 per cent, to € 27,699,949 thousand. The decline mainly
reflected a € 2,565,603 thousand reduction in the loan volume. This contrasted with a € 319,794 thousand increase in repo and
lending business. Value adjustments to loans and advances to customers were down € 23,188 thousand.
Debt securities and other fixed-income securities decreased € 1,016,072 thousand year-on-year, or 21.2 per cent, to € 3,777,295
thousand. Own debt securities held as assets declined a significant 41.6 per cent, or € 1,041,922 thousand, to € 1,459,890
thousand.
Shares in affiliated companies increased € 587,572 thousand to € 10,262,525 thousand. This mainly relates to a write-up at AO
Raiffeisenbank, RU, in connection with the activities described in the Outlook section.
Other assets increased € 437,800 thousand, with a year-end carrying amount of € 6,989,545 thousand. This is mainly due to
higher dividends receivable amounting to € 1,200,000 thousand. There was also an increase in accrued interest from derivatives
in the banking book, which were up € 207,990 thousand. In contrast, there was a significant decrease of € 1,230,616 thousand,
or 25.5 per cent, in positive market values from derivative financial instruments in the trading book.
On the liabilities side, liabilities to credit institutions showed a significant decline of € 8,615,488 thousand, or 24.4 per cent, to
€ 26,684,646 thousand. Liabilities to credit institutions represent a significant source of funding for RBI AG, at 32 per cent of
total assets.
Long-term money market transactions decreased € 7,609,301 thousand in the financial year. In connection with the ECB’s
Targeted Longer-Term Refinancing Operations (TLTRO III), the ECB increased the key interest rate underlying these financial
instruments in several steps in the past year, resulting in a repayment in the full amount of € 4,925,000 thousand in the 2023
financial year. Long-term money market transactions were also down on the previous year-end, with a decrease of € 2,757,023
thousand. Short-term giro and clearing business showed a decline of € 1,404,810 thousand. Conversely, short-term interbank
money market transactions increased € 393,066 thousand.
Liabilities to customers decreased € 3,195,963 thousand, or 13.8 per cent, to € 19,901,522 thousand. The decrease is mainly due
to lower long-term money market transactions and time deposits, which were down € 1,198,139 thousand and € 1,685,923
thousand, respectively, on the previous year-end. Short-term giro and clearing business was also down, with a decrease of
€ 427,684 thousand.
Securitized liabilities and supplementary capital according to CRR rose € 1,020,608 thousand, or 5.6 per cent, year-on-year to
€ 19,186,946 thousand. Funds raised through new issues totaled € 4,076,008 thousand in 2023 (2022: € 4,300,265 thousand). In
contrast, retirements of securitized liabilities from scheduled and early repayments amounted to € 3,055,381 thousand in 2023
(2022: € 340,217 thousand). During the reporting year, RBI AG issued an unsecured, non-subordinated senior non-preferred bond
for € 500,000 thousand with a maturity of five years.
278 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Other liabilities decreased € 807,482 thousand year-on-year to € 4,572,765 thousand. This mainly relates to € 1,390,144
thousand lower negative market values from derivative financial instruments in the trading book. Liabilities from short
positions in trading increased € 474,086 thousand. Accruals on derivatives in the banking book were also up € 204,931
thousand.
The provisions included provisions of € 51,174 thousand for severance payments (31/12/2022: € 51,039 thousand), provisions of
€ 61,475 thousand for pensions (31/12/2022: € 61,150 thousand), tax provisions of € 18,253 thousand (31/12/2022: € 10,356
thousand), and other provisions of € 816,794 thousand (31/12/2022: € 644,358 thousand). The increase in tax provisions is mainly
due to the allocation to the provision for corporation tax for 2023 in the amount of € 8,150 thousand. The rise in other
provisions mainly relates, in the amount of € 192,881 thousand, to higher provisions for litigation risks, the main item being the
provision for litigation risks due to litigation concerning foreign currency loans in Poland. Provisions for guarantee loans and
provisions for operational risk/losses/other decreased compared to the previous year.
Total risk exposure at year-end 2023 was € 40,461,266 thousand (2022: € 41,903,360 thousand). Of that amount, credit risk
accounted for € 34,625,104 thousand (2022: € 35,802,082 thousand), market risk for € 2,598,770 thousand (2022: € 2,249,908
thousand), and operational risk for € 3,033,801 thousand (2022: € 2,904,518 thousand). Total risk exposure was down around
€ 1,442,094 thousand year-on-year.
Common equity tier I (CET1) capital was up to € 8,098,538 thousand at year-end 2023 (2022: € 7,315,696 thousand). Tier 1 capital
amounted to € 9,705,412 thousand (2022: € 8,926,870 thousand). RBI AG issued no additional tier 1 capital in 2023. Tier 2 capital
amounted to € 1,990,443 thousand (2022: € 2,252,687 thousand). All in all, total capital amounted to € 11,695,855 thousand, a
year-on-year rise of € 516,298 thousand. The CET1 ratio improved relative to the previous year’s figure to 19.9 per cent (2022:
17.3 per cent). The tier 1 ratio was 23.9 per cent and thus increased 2.8 percentage points year-on-year. The total capital ratio
was 28.8 per cent (2022: 26.6 per cent). All capital ratios were sufficiently above the respective requirements (including all buffer
and Pillar 2 requirements).
The committed capital reserves of € 4,334,726 thousand (31/12/2022: € 4,334,286 thousand) were virtually unchanged in the
financial year. The uncommitted capital reserves amount to € 93,179 thousand (2022: € 94,779 thousand).
The number of own shares related to the share incentive program (SIP) for key personnel in the company (Management Board
and senior executives) and members of the management boards of associated bank subsidiaries where the own shares were
acquired in the years 2005 to 2009 amounted to 322,204 shares at year-end 2023. With a nominal value of € 983 thousand, this
represented 0.1 per cent of share capital. The share incentive programs expired in 2018, ending commitments to allot further
own shares under the programs. The total number of own shares was 573,938 shares at year-end 2023 (2022: 510,450 shares).
The increase is due to the market-making obligation of the Certificates and Equity Trading business division.
Retained earnings covered legal reserves of € 5,500 thousand (31/12/2022: € 5,500 thousand) and other free reserves of
€ 2,370,678 thousand (31/12/2022: € 1,680,918 thousand). Of the other free reserves, an amount of € 502,049 thousand
(31/12/2022: € 403,914 thousand) was earmarked for the Raiffeisen IPS. As a result of the agreement on the establishment of
the institutional protection scheme and a corresponding decision of the Raiffeisen IPS Risk Council, a contribution of € 98,135
thousand (31/12/2022: € 51,253 thousand) was allocated to other reserves in 2023 as a reserve for the Raiffeisen IPS. The reserve
for the Federal IPS is not eligible for inclusion in the calculation of own funds under the CRR.
The liability reserve of € 535,097 thousand was unchanged at year-end 2023 (31/12/2022: € 535,097 thousand).
Earnings performance
In the 2023 financial year, RBI AG reported a decrease in net interest income of 13.0 per cent, or € 63,046 thousand, to € 423,415
thousand. The interest rate environment during the reporting period was characterized by the increase in the ECB’s key interest
rates to 4.5 per cent at the end of 2023 (31/12/2022: 2.5 per cent). The decline in RBI AG’s net income is due to the higher
expense of refinancing the bank’s own issues (including AT1 coupons) and volume-related declines in the corporate customer
business.
The terms of existing longer-term refinancing transactions were also adjusted upwards in several steps over the course of the
year, creating an incentive for early repayment. As of the end of 2023, RBI AG repaid all outstanding tranches of the ECB’s
TLTRO III program for a total of € 4,925,000 thousand.
Income from securities and participating interests increased € 1,222,098 thousand to € 1,786,418 thousand due to higher
dividend income from affiliated companies. The income from participating interests in the 2023 financial year was mainly from
RS Beteiligungs GmbH (€ 1,700,000 thousand).
The net amount of commissions payable and commissions receivable was up € 8,778 thousand to € 361,433 thousand. Much of
the increase related to a € 39,706 thousand higher volume of transactions in clearing, settlement and payment services.
Securities and custody business, on the other hand, decreased € 16,767 thousand, partly due to fee and commission expenses in
Management report 279
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Certificates and Equity Trading, which is included for a full reporting period for the first time following the integration of
Raiffeisen Centrobank AG in the previous year with a demerger date of 30 June 2022. Net fee and commission income from the
loan and guarantee business was also down, falling € 9,851 thousand relative to the previous year. The foreign currency, notes/
coins and precious metals business also decreased € 5,888 thousand in the financial year.
The net profit on financial operations was positive at € 56,806 thousand in the 2023 financial year, € 36,684 thousand below
the previous year’s level (2022: profit of € 93,490 thousand). This mainly reflected € 615,609 thousand lower net trading income
from the valuation of certificates, included for a full financial year for the first time in 2023, from the former Raiffeisen
Centrobank AG integrated as of the 30 June 2022 demerger date, and from other transactions. Net income from currency-
based derivative, foreign currency and notes/coins business was also down, at € 49,564 thousand. Net trading income from
interest-based derivative and securities transactions increased € 639,125 thousand in the 2023 financial year, again with a
significant contribution from the integration of Raiffeisen Centrobank AG with valuation effects in connection with the hedging
of certificates issued in the previous year.
Other operating income includes staff and administrative expenses passed on for services in the amount of € 145,207
thousand (2022: € 157,242 thousand), income from releases of provisions for impending losses from derivatives in the amount of
€ 19,517 thousand (2022: € 6,714 thousand), income from close-out fees for derivatives on the banking book in an amount of
€ 97,778 thousand (2022: € 16,963 thousand) and income from the release of other provisions in the amount of € 1,742 thousand
(2022: € 3,980 thousand).
Operating income therefore totaled € 2,933,485 thousand, a 71.6 per cent increase year-on-year (2022: € 1,709,574 thousand).
Operating expenses were up 40.5 per cent relative to the 2022 financial year to € 2,165,988 thousand. Staff expenses increased
€ 85,751 thousand, or 20.4 per cent, to € 506,046 thousand. The increase in expenses for wages and salaries over the previous
year reflects the inflation-related wage and salary rises and the larger headcount.
Other administrative expenses increased € 64,171 thousand, or 14.2 per cent, to € 516,183 thousand and consisted mainly of IT
expenses of € 188,122 thousand (2022: € 161,453 thousand), consulting and audit fees of € 137,791 thousand (2022: € 78,684
thousand), rent of € 37,999 thousand (2022: € 35,460 thousand), and communication expenses of € 25,687 thousand (2022:
€ 18,863 thousand). Depreciation of tangible assets and intangible fixed assets showed a decrease of € 1,370 thousand to
€ 12,315 thousand in the reporting period (2022: € 13,685 thousand).
Other operating expenses increased a significant € 475,958 thousand in the past financial year to € 1,131,444 thousand. This
includes provisions for impending losses on banking book derivatives in the amount of € 19,816 thousand (2022: € 62,582
thousand), allocations of other provisions (see also the “Provisions” item and under the heading “Litigation risk for foreign
currency loans in Poland”) in the amount of € 873,400 thousand (2022: € 462,000 thousand) and expenses of € 157,002 thousand
(2022: € 9,971 thousand) from close-out fees for banking book derivatives. Also included are expenses for staff and
administrative expenses passed on for services in the amount of € 30,113 thousand (2022: € 57,944 thousand).
After deducting operating expenses from operating income, RBI AG generated an operating result of € 767,496 thousand for
the 2023 financial year. This represents a year-on-year increase of € 599,400 thousand. As a consequence, the cost/income
ratio (operating expenses divided by operating income) was 73.84 per cent (2022: 90.17 per cent).
Net income/expenses from the disposal and valuation of loans and advances and securities classified as current assets
resulted in net income – in contrast to the previous year – of € 49,987 thousand (2022: net expense of € 164,641 thousand). This
development was due, firstly, to positive valuation results and proceeds from disposals of securities held as current assets and
banking book derivatives in the amount of € 149,120 thousand (2022: minus € 60,546 thousand) and, secondly, to an
improvement in the valuation of loans and guarantees to minus € 99,133 thousand (2022: minus € 104,095 thousand).
With regard to individual loan loss provisions, RBI AG reported a net allocation to provisions of € 213,567 thousand, an increase
of € 128,560 thousand compared to the previous year. The increase is mainly due to increased individual loan loss provisions,
which became necessary due to the current economic trends in real estate financing. In contrast, the current financial year
shows a positive trend in the risk assessment of non-defaulted loans and advances. The result was a net release of portfolio-
based loss provisions in the current financial year in the amount of € 106,086 thousand (2022: net allocation of € 20,910
thousand). The decrease is due to the release of provisions recognized in the previous year for general political risks, notably
the Russia sanctions and the Russian business managed from Vienna, in the amount of € 46,940 thousand (2022: minus
€ 22,862 thousand). A further contributor was the reversal of valuation allowances (special risk factors) in the amount of
€ 27,030 thousand due to reduced macroeconomic risks. In addition, there were net reversals in the current financial year due
to the organic development of RBI AG’s loan portfolio. Material and non-material contractual amendments generated book
gains of € 1,560 thousand (2022: minus € 1,820 thousand). Net income from exceptional disposals of loan receivables amounted
to minus € 1,124 thousand in the financial year (2022: minus € 2,311 thousand).
No losses on shares in investment funds were realized in the financial year (2022: € 162 thousand).
Net income/expenses from the disposal and valuation of securities valued as financial investments and of shares in affiliated
companies and equity participations included write-ups totaling € 646,712 thousand in the financial year, including € 604,249
thousand at AO Raiffeisenbank, RU. Shares in affiliated companies and equity participations were written down by a total of
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· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
€ 85,049 thousand in the financial year, including € 66,850 thousand at Raiffeisen Digital Bank AG, Vienna, and € 9,795
thousand at Fairo GmbH, Vienna. Disposals of shares in affiliated companies and equity participations resulted in net income of
€ 10,974 thousand in the financial year (2022: € 17 thousand). In total, € 572,637 thousand in gains (2022: € 965,955 thousand in
losses) were reported on the valuation and disposal of shares in affiliated companies and equity participations.
As a result, the profit on ordinary activities for the year under review amounted to € 1,385,892 thousand (2022: loss of € 972,960
thousand).
The return on equity before tax (profit before tax divided by average equity in 2023, including AT1 instruments) was 14.0 per
cent in the financial year (2022: minus 9.7 per cent).
The net reorganization loss of € 3,553 thousand shown for the 2022 financial year related to the demerger of Raiffeisen
Centrobank AG for absorption in RBI AG.
The income tax item shows net income of € 14,410 thousand for the 2023 financial year (2022: income of € 5,531 thousand). This
includes income from current income taxes of € 15,105 thousand (2022: income of € 5,859 thousand), deferred tax expense of
€ 631 thousand (2022: deferred tax income of € 504 thousand) and tax income for previous years of € 7,943 thousand (2022:
expense of € 258 thousand). Also included in this item is foreign withholding tax in the amount of € 8,007 thousand (2022: € 574
thousand).
The return on equity after tax (net income after tax divided by average equity in 2023, including AT1 instruments) was 14.1 per
cent (2022: minus 9.9 per cent).
The profit after tax in 2023 was thus € 1,396,461 thousand (2022: loss after tax of € 991,175 thousand).
After movements in reserves of minus € 688,135 thousand and profit of € 123,133 thousand brought forward from the previous
year, net profit was € 831,459 thousand (2022: € 387,571 thousand).
Management report 281
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Capital, share, voting and
control rights
The following disclosures satisfy the provisions of § 243a (1) of the Austrian Commercial Code (UGB):
(1) As at 31 December 2023, the company’s share capital amounted to € 1,003,265,844.05 and was divided into 328,939,621
voting common bearer shares. As at 31 December 2023, 573,938 (31 December 2022: 510,450) of those were own shares, and
consequently 328,365,683 shares were outstanding at the reporting date.
(2) The Articles of Association contain no restrictions concerning voting rights or the transfer of shares. The regional Raiffeisen
banks and direct and indirect subsidiaries of the regional Raiffeisen banks are parties to a syndicate contract (syndicate
agreement) regarding RBI AG. The terms of this syndicate agreement include not only a block voting agreement and
preemption rights, but also a prohibition on sales of the RBI shares held by the regional Raiffeisen banks (with few exceptions) ,
if the sale would reduce the regional Raiffeisen banks’ aggregate shareholding in RBI AG (direct and/or indirect) to less than 40
per cent of the share capital plus one share.
(3) Raiffeisenlandesbank Niederösterreich-Wien AG holds directly and indirectly total around 24.83 per cent of the share capital
of the company. By virtue of the syndicate agreement regarding RBI AG, the regional Raiffeisen banks and their direct and
indirect subsidiaries as parties acting in concert as defined in § 1 (6) of the Austrian Takeover Act (ÜbG). The regional Raiffeisen
banks hold a total of around 61.00 per cent of the voting rights. The remaining shares of RBI AG are held in free float, with no
other direct or indirect shareholdings amounting to 10 per cent or more known to the Management Board.
(4) The Articles of Association do not contain any special rights of control associated with holding shares. According to the
syndicate agreement for RBI AG, the regional Raiffeisen banks can nominate nine members of the RBI AG Supervisory Board. In
addition to the members nominated by the regional Raiffeisen banks, the RBI AG Supervisory Board should also include three
independent representatives of free-float shareholders who are not attributable to the Austrian Raiffeisen Banking Group.
(5) There is no control of voting rights arising from interests held by employees in the share capital.
(6) Pursuant to the Articles of Association, a person who is aged 68 years or older may not be appointed as a member of the
Management Board or be reappointed for another term in office. The rule for the Supervisory Board is that a person who is
aged 75 years or older may not be elected as a member of the Supervisory Board or be re-elected for another term in office.
Moreover, no person who already holds eight supervisory board mandates in publicly traded companies may be a member of
the Supervisory Board. Holding a position as chairman of the supervisory board of a publicly traded company would count
twice for this purpose. The Annual General Meeting may choose to waive this restriction through a simple majority of votes if
permitted by law. Any candidate who has more mandates for, or chairman positions on, supervisory boards in publicly traded
companies must disclose this to the Annual General Meeting. There are no further regulations regarding the appointment or
dismissal of members of the Management Board and the Supervisory Board beyond the provisions of the relevant laws. The
Articles of Association stipulate that the resolutions of the Annual General Meeting are, provided that there are no mandatory
statutory provisions to the contrary, adopted by a simple majority of the votes cast. Where the law requires a capital majority
in addition to the voting majority, resolutions are adopted by a simple majority of the share capital represented in the votes. As
a result of this provision, members of the Supervisory Board may be dis-missed prematurely by a simple majority. The
Supervisory Board is authorized to adopt amendments to the Articles of Association that only affect the respective wording.
This right may be delegated to committees. Furthermore, there are no regulations regarding amendments to the company
Articles of Association beyond the provisions of the relevant laws.
(7) Pursuant to § 169 of the Austrian Stock Corporation Act (AktG), the Management Board has been authorized since the
Annual General Meeting of 13 June 2019 to increase the share capital with the approval of the Supervisory Board – in one or
more tranches – by up to € 501,632,920.50 through the issuance of up to 164,469,810 new voting common bearer shares in
exchange for contributions in cash and/or in kind (including by way of the right of indirect subscription by a bank pursuant to §
153 (6) of the AktG) by 2 August 2024 at the latest and to fix the offering price and terms of the issue with the approval of the
Supervisory Board. The Management Board is further authorized to exclude shareholders’ subscription rights with the approval
of the Supervisory Board (i) if the capital increase is carried out in exchange for contributions in kind, or (ii) if the capital
increase is carried out in exchange for contributions in cash and the shares issued under the exclusion of subscription rights do
not exceed 10 per cent of the company’s share capital (exclusion of subscription rights). The (i) utilization of authorized capital
with exclusion of the statutory subscription right in the event of a capital increase in return for a contribution in cash, and the
(ii) implementation of the conditional capital resolved upon in the Annual General Meeting on 20 October 2020 in order to grant
conversion or subscription rights to convertible bond creditors may not exceed 10 per cent in total of the share capital of the
company. The utilization of the authorized capital in the form of a capital increase in return for a contribution in kind is not
282 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
covered by this restriction. No use has been made to date of the authority granted in June 2019 to utilize the authorized
capital.
The share capital is conditionally increased (conditional capital) pursuant to § 159 (2) 1 of the AktG by up to € 100,326,584 by
issuing of up to 32,893,962 ordinary bearer shares. The conditional capital increase will only be implemented to the extent that
use is made of an irrevocable right of conversion into or subscription to shares which the company grants to the creditors
holding convertible bonds issued on the basis of the resolution passed at the Annual General Meeting on 20 October 2020, or in
the event of having to fulfil a conversion obligation set out in the convertible bonds’ terms of issuance. In both cases, the
Management Board does not decide to allocate own shares. The issue price and the conversion ratio are to be calculated in
accordance with recognized quantitative financial methodologies and the price of the company’s shares in a recognized
pricing procedure (calculation basis of the issuance price); the issue price may not be below the proportionate amount of the
share capital. The newly issued shares from the conditional capital increase are entitled to a dividend equivalent to that of the
shares traded on the stock exchange at the time of issuance. The Management Board is authorized, with the approval of the
Supervisory Board, to determine the further details of the implementation of the conditional capital increase.
The Management Board was further authorized pursuant to § 174 (2) of the AktG by the Annual General Meeting on 20 October
2020, within 5 years from the date of the resolution, i.e. until 19 October 2025, with the consent of the Supervisory Board, to
issue also in several tranches, convertible bonds with rights to convert into or subscribe to shares of the company or
convertible bonds with conversion obligations (contingent convertible bonds pursuant to § 26 of the Banking Act), including
convertible bonds that meet the requirements for Additional Tier 1 capital instruments pursuant to Regulation (EU) No.
575/2013 of the European Parliament and the Council of 26 June 2013 on supervisory requirements for credit institutions and
investment firms, as amended, with full exclusion of shareholders’ subscription rights. The authorization includes the issuance
of convertible bonds in a total nominal amount of up to € 1,000,000,000 with rights to convert into or subscribe to up to
32,893,962 ordinary bearer shares of the company with a proportionate amount of the share capital up to € 100,326,584. The
issue price and the conversion ratio are to be calculated in accordance with recognized quantitative financial methodologies
and the price of the company shares in a recognized pricing procedure (calculation basis of the issuance price); the issue price
of the convertible bonds may not be below the proportionate amount of the share capital. In this respect, the Management
Board is authorized to determine all further issuance and structural features as well as the issuance terms and conditions of
the convertible bonds, in particular the interest rate, issue price, term of validity and denomination, provisions protecting
against dilution, conversion period, conversion rights and obligations, conversion ratio and conversion price. The convertible
bonds may also be issued – observing the limit of the corresponding equivalent value in euros – in the currency of the United
States of America and in the currency of any other Organization for Economic Cooperation and Development (OECD) member
state. The convertible bonds may also be issued by a company which Raiffeisen Bank International AG owns 100 per cent of,
directly or indirectly. For this event, the Management Board is authorized to provide, with the consent of the Supervisory Board,
a guarantee for the convertible bonds on behalf of the company and to grant the holders of the convertible bonds conversion
rights into ordinary bearer shares of Raiffeisen Bank International AG and, if a conversion obligation is stipulated in the
convertible bonds’ issuance terms, to enable the obligation of conversion into ordinary bearer shares of Raiffeisen Bank
International AG to be fulfilled; with the exclusion of the rights of shareholders to subscribe to the convertible bonds.There
have been no convertible bonds issued to date.
The Annual General Meeting held on 31 March 2022 authorized the Management Board pursuant to § 65 (1) 8, § 65 (1a) and § 65
(1b) of the AktG to purchase own shares and to retire them if appropriate without requiring any further prior resolutions to be
passed by the Annual General Meeting, though with the approval of the purchase by the Supervisory Board can also be
effected off-exchange under the exclusion of the shareholders’ pro rata tender right. Own shares, whether already purchased
or to be purchased, may not collectively exceed 10 per cent of the company’s share capital. The authorization to purchase own
shares expires 30 months after the date of the Annual General Meeting resolution, i.e. until 30 September 2024. The acquisition
price for repurchasing the shares may be no lower than € 3.05 per share and no higher than 10 per cent above the average
unweighted closing price over the 10 trading days prior to exercising this authorization. The authorization may be exercised in
full or in part or also in several partial amounts, for one or more purposes – with the exception of securities trading – by the
company, by a subsidiary (§ 189a (7) of the UGB) or by third parties for the account of the company or a subsidiary.
The Management Board was further authorized, pursuant to § 65 (1b) of the AktG, to decide, with the approval of the
Supervisory Board, on the sale of own shares by means other than the stock exchange or a public tender, to the full or partial
exclusion of shareholders’ subscription rights, and to stipulate the terms of sale. Shareholders’ subscription rights may only be
excluded if the own shares are used to pay for a contribution in kind, to acquire enterprises, businesses, operations or stakes in
one or several companies in Austria or abroad. Furthermore, shareholders’ subscription rights may be excluded in the event
that convertible bonds are issued in future, in order that (own) shares may be issued to such convertible bond creditors that
have exercised their right of conversion into or subscription to shares in the company, and also in the event of a conversion
obligation stipulated in the convertible bonds’ issuance conditions in order to fulfil this conversion obligation. This authorization
may be exercised in whole, in part or in several partial amounts for one or more purposes by the company, a subsidiary (§ 189a
7 UGB) or by third parties for the account of the company or a subsidiary and remains in force for five years from the date of
this resolution, i.e. until 31 March 2027. Since that time, there were no own shares purchased based on this authorization from
March 2022.
The Annual General Meeting of 31 March 2022 also authorized the Management Board, under the provisions of § 65 (1) 7 of the
AktG, to purchase own shares for the purpose of securities trading, which may also be conducted off-market, during a period
of 30 months from the date of the resolution (i.e. until 30 September 2024), provided that the trading portfolio of shares
purchased for this purpose does not at the end of any given day exceed 5 per cent of the company's respective share capital.
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· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The consideration for each share to be acquired must not be less than half the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition and must not exceed twice the closing price at the Vienna Stock Exchange on
the last day of trading preceding the acquisition. This authorization may be exercised in full or in part or also in several partial
amounts by the company, by a subsidiary (§ 189a (7) UGB) or by third parties acting for the account of the company or a
subsidiary.
(8) The following material agreements exist, to which the company is a party, and which take effect, change, or come to an
end upon a change of control in the company as a result of a takeover bid:
· RBI AG is insured under a Group-wide D&O policy. In the event of a merger with another legal entity, the insurance
policy would automatically cease at the end of the insurance period in which the merger took effect. In such cases,
insurance cover only exists for claims for damages arising from breaches of obligations that occurred before the
merger, which are reported to the insurer prior to the termination of RBI AG’s Group-wide D&O insurance cover.
· RBI AG is a member of the Professional Association of Raiffeisen Banks. Upon a change in control of RBI AG which
results in the attainment of control by shareholders outside of the Raiffeisen Banking Group Austria, membership of
the Professional Association of Raiffeisen Banks, as well as that of the Raiffeisen-IPS pursuant to Art. 113 (7) of the
CRR, the Österreichische Raiffeisen-Sicherungseinrichtung eGen and of the Raiffeisen Customer Guarantee Scheme
Austria may be terminated. RBI AG also serves as the central institution of the Raiffeisen Banking Group at a national
level. Upon a change in control of RBI AG, related contracts (central institution of the liquidity group pursuant to § 27a
of the BWG may end or change.
· The company’s refinancing agreements and agreements concerning third-party financing for subsidiaries, which are
guaranteed by the company, stipulate in some cases that the lenders can demand early repayment of the financing
in the event of a change in control.
(9) There are no indemnification agreements between the company and its Management Board and Supervisory Board
members or employees that would take effect in the event of a public takeover bid.
· Non-financial Performance
Indicators
Pursuant to the Sustainability and Diversity Improvement Act (NaDiVeG), the consolidated non-financial statement, which has
to be prepared in accordance with § 267a of the Austrian Commercial Code (UGB), is issued as an independent non-financial
report (Sustainability Report). The report containing detailed information on sustainability management developments, will be
published online at www.rbinternational.com → Sustainability & ESG → Sustainability Reports and also contains the disclosure
for the parent company in accordance with § 243a of the UGB.
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· Research and Development
The current research and development activities of RBI AG are explained below with reference § 243 (3) 2 UGB. Due to the
approach of developing products and technical solutions more centrally and subsequently making them available to all banks
in the group, the activities in RBI are discussed in the following statements.
Digitalization
A central theme for banks in the advancement of digitalization is the growing relevance of mobile banking. Penetration (the
rate of active mobile banking use) reached 60 per cent in retail (though this figure varies between markets) and is above that
of local peers. The sale of E2E digital loans at group level reached 52 per cent in 2023.
With its product range for retail customers and small businesses, RBI places a strong focus on the full end-to-end digitalization
of core products (accounts, payments/cards and loans). RBI expects to achieve cost savings and additional income through this
as well as the branch network optimization.
In addition, RBI is continuing its efforts to develop more products and individual product components centrally and make them
available to all of the Group’s banks. Aside from the cost benefit, this should lead to a substantial reduction in the time
required for the full digitalization of the five most important products across the entire Group (current accounts, credit cards,
consumer loans as well as current accounts and loans for SMEs).
With the Easy Digital Investing (EDI) platform, Raiffeisenbank Czech Republic was the first large bank in the Czech Republic to
introduce a mobile investment application for retail clients at the end of 2022. At the end of 2023, around 18,000 customers
were already using the platform's services. Half of the EDI users are new-to-invest customers (i.e. customers, who have never
had an investment product with Raiffeisenbank Czech Republic), which positively confirms RBI’s ability to attract new
customers, and overall increases the penetration of investment products. EDI was developed as a standardized group solution,
hence a timely rollout in other countries is currently being planned.
Digitalization is also a key issue for corporate and institutional customers. The main challenge is to enable process streamlining
and a reduction of paper-based procedures in the interface with customers. Since the end of 2019, RBI has digitized a series of
products and services on the myRaiffeisen platform. This includes a digital KYC process (eKYC) for companies and institutional
customers, digital account opening (Group eAccount Opening), digital export finance (eSpeedtrack) as well as further services
such as eFinance, eGateway, eArchive, and the digital payment questionnaire for correspondent banking clients (ePIC). In 2022,
eTradeOn, a tool to manage guarantees online, was added to the myRaiffeisen product range.
RBI is one of the first banks in the CEE region to offer a group-wide account opening feature for international customers,
addressing one of the core needs of thesegment for region-wide services. Further products and solutions are planned to follow
in the coming years with a similar setup. Since 2019, RBI has successfully rolled out features to the network banks, achieving
more than 4,000 digitally initiated KYC cases group-wide, supported by more than 1,600 digital account opening requests and a
digitally requested lending volume of € 1.3 billion. Digital penetration of KYC processes in RBI head office is on a stable level of
>70 per cent and the majority of first account openings are requested digitally.
In response to customer needs in the FX business, RBI launched a single-bank FX platform (R-Flex) in Romania and Croatia in
2022 and in Hungary in 2023. R-Flex enables FX transactions in digital form, including real-time information and fast
settlement, both in the online and mobile versions. Compared to the previous year, the number of platform users has increased
from 4,500 to 37,000. It is planned to roll out the product to further countries in 2024.
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· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Innovation Areas
The topics of artificial intelligence (AI) and blockchain technology have been identified as strategically important fields for
further monitoring and research for the RBI in 2023.
In 2023, there was a notable surge in the adoption and utilization of AI technology, leading to the democratization of AI. To
maintain competitiveness and consistently provide top-notch solutions to clients, RBI introduced a strategic AI initiative. This
initiative aims to assess the impact of AI on RBI and explore its potential in customer-facing products. It will be implemented in
stages, encompassing employee education, awareness, and the development of innovative products and services.
Blockchain technology is another strategic field of interest for RBI due to its potential to revolutionize the financial industry.
Potential applications include fast and secure payments and transactions, improving internal processes, and enabling
tokenization of clients’ assets. A dedicated team for this topic was formed several years ago to monitor market developments
and the technology’s potential for client-facing products. In 2023, two internal projects explored the potential of asset
tokenization and institutional-grade digital asset custody, both of which will continue in 2024.
IT
In 2023, RBI adopted its 2024-2025 Strategy Outlook, which outlines its commitment to being a data-centric company,
emphasizing data accessibility, quality, and business value. The bank streamlined operations and automated processes to
cater to the growing need for real-time services, and RBI’s operating model shifted towards client-centricity, stability, and
digitalization.
RBI’s commitment to agility was emphasized by consistently developing maturity in this area, achieving enterprise agility, and
securing a leading position in the CEE region.
IT security was bolstered through a risk-based alert system that enables a rapid response and the migration of more than
14,000 repositories to GitHub to ensure greater efficiency in source code management.
RBI attaches great importance to the introduction of cloud technology. By reaching the milestone of 50 per cent in Ukraine,
Kosovo and Albania, RBI demonstrated a leading role among banks in these regions. The transition of applications to the cloud
reached 44 per cent at head office level and 40 per cent at network banks level in 2023.
In a bid to solidify its standing as a top-tier IT employer, RBI inaugurated Raiffeisen Tech centers in Poland, Romania, and
Kosovo, creating job opportunities for global IT professionals and promoting employee development.
· Corporate Governance
Further information can be found in the Corporate Governance Report chapter of the Annual Report, as well as on the RBI
website (www.rbinternational.com → Investors → Corporate Governance & Remuneration).
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· Risk report
Active risk management is a core competency of RBI AG. In order to effectively identify, measure, and manage risks the bank
continues to develop its comprehensive risk management system. Risk management is an integral part of overall bank
management. In particular, in addition to legal and regulatory requirements, it takes into account the nature, scale, and
complexity of the business activities and the resulting risks. The risk report describes the principles and organization of risk
management and describes current risk exposure in all material risk categories.
Risk management principles
RBI AG has a system of risk principles and procedures in place for measuring and monitoring risk, which is aimed at controlling
and managing the bank’s risks. The risk policies and risk management principles are laid out by the Management Board of RBI
AG. These are regularly reported and discussed in the Supervisory Board committees. The bank’s risk principles include the
following:
· Risk awareness
A risk culture is promoted which consciously deals with the risks inherent in banking business, in particular through
the transparent presentation of information and the use of suitable tools.
· Risk appetite
Risk-taking is cautious and requires a pre-defined minimum return on the risk.
· Risk management
State-of-the-art risk management and risk controlling technologies are used which are commensurate with the
materiality of the risks; risk data and risk report technologies are also effectively combined.
· Regulatory requirements
All provisions and requirements of the supervisory authorities relating to risk management are taken into account
and complied with.
· Integrated risk management
Credit, country, market, liquidity, participation and operational risks are managed as key risks on a bank-wide basis.
For this purpose, these risks are measured, limited, aggregated, and compared to available risk coverage capital.
· Standardized methodologies
Risk measurement and risk limitation methods are standardized in order to ensure a consistent and coherent
approach to risk management. This forms the basis for consistent overall bank management across all countries
and business lines in RBI AG.
· Continuous planning
Risk strategies and risk capital are reviewed and approved in the course of the annual budgeting and planning
process, whereby special attention is also paid to preventing risk concentrations.
· Independent control
A clear personnel and organizational separation is maintained between business operations and all risk
management or risk controlling activities.
· Ex ante and ex post control
Risks are consistently measured within the scope of product selling and in risk-adjusted performance measurement.
Thereby it is ensured that business in general is conducted only under risk-return considerations and that there are
no incentives for taking high risks.
· New business areas
New products and market launches are subject to a prior, specific risk analysis and risk assessment and are decided
on by the relevant committees and bodies.
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· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Organization of risk management
The Management Board of RBI AG ensures the proper organization and ongoing development of risk management. It decides
which procedures are to be employed for identifying, measuring, and monitoring risks, and makes steering decisions according
to the risk reports and analyses. The Management Board is supported in undertaking these tasks by independent risk
management units and special committees.
RBI AG’s risk management functions are performed on different levels. RBI AG develops and implements the relevant concepts
as the parent credit institution and in cooperation with the subsidiaries of the Group. The central risk management units are
responsible for the adequate and appropriate implementation of the risk management processes throughout the company. In
addition, they implement the risk policy in the respective risk categories and manage RBI AG’s activities within the approved
risk budget. ESG risks are implemented and managed within the framework of a project that spans business lines and includes
all risk areas.
The central and independent risk controlling function under the Austrian Banking Act is performed by the Group Risk Controlling
organizational area. Its responsibilities include developing the company-wide framework for overall bank risk management
(integrating all risk types) and preparing independent reports on the risk profile for the Supervisory Board’s Risk Committee, the
Management Board and the heads of individual business units.
Risk committees
The Group Risk Committee is the most senior decision-making body for all of the Group’s risk-related topic areas. It decides on
the risk management methods and on the control concepts used for the overall Group and for key subdivisions, and is
responsible for ongoing development and implementation of methods and parameters for risk quantification and for refining
steering instruments. This also includes setting the risk appetite and the various risk budgets and limits at overall bank level as
well as monitoring the current risk situation with respect to internal capital adequacy and the corresponding risk limits. It
approves risk management and controlling activities (such as the allocation of risk capital) and advises the Management Board
on these matters. The Group Risk Committee’s scope of responsibility also includes resolution-related topics and decisions
reflecting the respective SRB guidelines & requirements.
The Group Asset/Liability Committee assesses and manages the statement of financial position structure and liquidity risks
and defines the standards for internal funds transfer pricing. In this context it plays an important role in planning long-term
funding and the hedging of structural interest rate and foreign exchange risks. The Group Capital Management Committee is a
sub-committee of the Group Asset/Liability Committee and analyses, controls and manages the regulatory capital ratios as
well as the structural currency and interest rate risk of the capital position.
The Market Risk Committee controls market risks arising from trading and banking book transactions and establishes
corresponding limits and processes. In particular, it relies on profit and loss reports, the risks calculated and the limit utilization,
as well as the results of scenario analyses and stress tests with respect to market risks.
The Credit Committees are staffed by front office and back office representatives, with the staff assignments depending on
the type of customer (corporate customers, banks and sovereigns). The committees decide upon the specific lending criteria
for the different customer segments and countries and make all credit decisions concerning those segments and countries in
connection with the credit approval process (depending on rating and exposure size).
The Problem Loan Committee is the most important committee in the evaluation and decision-making process concerning
problem loans. It primarily comprises decision-making authorities; its chairman is the Chief Risk Officer (CRO) of RBI AG. Further
members with voting rights are those members of the Management Board responsible for the customer divisions, the Chief
Financial Officer (CFO), and the relevant division and departmental managers from risk management and special exposures
management.
The Securitization Committee is the decision-making committee for limit requests in relation to securitization positions within
the specific decision-making authority framework. It develops proposals for modifications to the securitization strategy for the
Management Board. In addition, the Securitization Committee offers a platform for exchanging information regarding
securitization positions and market developments.
The Group Operational Risk Management & Controls Committee comprises representatives of the business areas (retail,
market and corporate customers) and representatives from Compliance (including financial crime), Internal Control System,
Operations, Security, IT Risk Management and Risk Controlling, under chairmanship of the CRO. This committee is responsible
for managing operational risk (including conduct risk). It derives and sets the operational risk strategy based on the risk profile
and the business strategy and also makes decisions regarding actions, controls and risk acceptance.
The Group Security Committee is responsible for the implementation of and compliance with the Security Policy and the IT Risk
Management Policy within the Group. This includes, inter alia, approving the Security Policy and the IT Risk Management Policy,
defining key performance indicators and key risk indicators, which must be reported on at Group level and in the local security
committees, and defining and checking the risk appetite in relation to IT risk and security.
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The Data Governance Board is the Group’s higher-level decision-making body for all subject areas relating to data governance.
This also includes in particular topics relating to data quality as well as to compliance with the BCBS 239 principles.
The Contingency/Recovery Committee is a decision-making body convened by the Management Board. The composition of the
committee varies as circumstances require depending on the intensity and focus of the specific requirements pertaining to the
situation (e.g. capital and/or liquidity). The core task of the committee is to maintain or recover financial stability in accordance
with the Federal Act on the Recovery and Resolution of Banks (BaSAG) and the Banking Recovery and Resolution Directive
(BRRD) in the event of a critical financial situation.
Quality assurance and internal audit
Quality assurance with respect to risk management refers to ensuring the integrity, soundness, and accuracy of processes,
models, calculations, and data sources. This is to ensure that RBI AG adheres to all legal requirements and that it can achieve
the highest standards in risk management operations.
Two very important functions in assuring independent oversight are performed by the divisions Audit and Compliance.
Independent internal auditing is a legal requirement and a central pillar of the internal control system. Internal Audit
periodically assesses all business processes and contributes considerably to securing and improving them. It sends its reports
directly to the Management Board of RBI AG, which discusses them on a regular basis in its board meetings.
The Compliance Office is responsible for all issues concerning compliance with legal requirements in addition to and as an
integral part of the internal control system. Thus, compliance with existing regulations in daily operations is monitored.
Moreover, an independent and objective audit, free of potential conflicts of interest, is carried out during the audit of the
annual financial statements by the independent auditors.
Overall bank risk management
Maintaining an adequate level of capital is a core objective of the Company’s risk management. Capital requirements are
monitored regularly based on the risk level measured by internal models, and in choosing appropriate models the materiality of
risks annually assessed is taken into account. This concept of overall bank risk management provides for meeting capital
requirements from both a regulatory perspective (normative perspective) and from an economic point of view (economic
perspective). Thus it covers the quantitative aspects of the internal capital adequacy assessment process (ICAAP) as legally
required and as described in the ICAAP Directive published by the European Central Bank. RBI AG’s overall ICAAP process is
audited during the supervisory review process for the RBI credit institution group (RBI Kreditinstitutsgruppe) on an annual basis.
The Risk Appetite Framework (RAF) limits the Group’s overall risk in line with the strategic business objectives and allocates the
risk capital calculated to the different risk categories and business areas. The primary aim of the RAF is to limit risk, particularly
in adverse scenarios and for major singular risks, in such a way as to guarantee compliance with regulatory minimum ratios.
The Risk Appetite Framework is therefore closely linked with the ICAAP and the ILAAP (Internal Liquidity Adequacy Assessment
Process) and sets concentration limits for the risk types identified as significant in the risk assessment. There is also a
connection to the recovery plan as the risk capacity and risk tolerance limits in the RAF are aligned with the corresponding
trigger monitoring limits. In addition, the risk appetite decided by the Management Board and the Group’s risk strategy and its
implementation are reported regularly to the Supervisory Board’s Risk Committee.
Management report 289
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Approach | Risk | Measurement technique | Confidence level
Economic perspective |  |  |
Economic capital | Risk that unexpected losses from the economic point of view exceed the internal capital | The unexpected loss for the risk horizon of one year (economic capital) may not exceed the current value of the tier 1 capital. | 99.90 per cent
Normative perspective |  |  |
Stress scenarios | Risk of falling below a sustainable tier 1 ratio throughout an economic cycle | Capital and earnings projection for a three-year planning period based on assumptions of a significant downturn in the economy | Around 95 per cent, based on potential management decisions to reduce risk temporarily or raise additional equity capital

ESG risks
Environmental, Social and Governance (ESG) risks are considered cross-dimensional risks which affect all areas of risk
management. As a result, ESG risk factors are continuously integrated into the management of risk types within the existing
risk management framework (based on the internally developed materiality assessment). The ESG Risk Framework provides a
detailed description of how the components are worked out, of how the ESG risk is managed, and of its impact on the four
traditional pillars of risk management (definition & identification, measurement, risk control, and reporting & monitoring). Risk
control takes particular account of strategic business decisions by RBI which specifically provide for further steps in
contributing towards the promise undertaken in the Paris Agreement of limiting global warming to less than 2 degrees by 2050.
Economic perspective – economic capital approach
In this approach, risks are measure d on the basis of economic capital, which represents a comparable risk indicator across all
risk types. Economic capital is calculated as the sum of unexpected losses stemming from different risk categories. In addition,
a general buffer is held to cover risk types not explicitly quantified.
The following table shows the risk distribution of individual risk types to economic capital:

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
Participation risk | 5,796,364 | 76.2 % | 5,115,770 | 74.9 %
Credit risk corporate customers | 550,118 | 7.2 % | 623,513 | 9.1 %
Market risk | 301,253 | 4.0 % | 300,540 | 4.4 %
Credit risk sovereigns | 276,043 | 3.6 % | 119,363 | 1.7 %
Owned property risk | 114,187 | 1.5 % | 98,625 | 1.4 %
Operational risk | 101,310 | 1.3 % | 126,056 | 1.8 %
Credit risk banks | 73,565 | 1.0 % | 78,222 | 1.1 %
Credit risk retail customers | 17,013 | 0.2 % | 29,913 | 0.4 %
CVA risk | 13,984 | 0.2 % | 16,703 | 0.2 %
Risk buffer | 362,192 | 4.8 % | 325,435 | 4.8 %
Total | 7,606,029 | 100.0 % | 6,834,139 | 100.0 %

The economic capital increased year on year to € 7,606,029 thousand. For RBI AG, the participation risk is the most material risk
type in terms of amount. In addition to further increase in participation risk, also credit risk to sovereigns increased.
RBI AG uses a confidence level of 99.90 per cent to calculate economic capital.
Economic capital is an important instrument in overall bank risk management and is used in allocating risk budgets. Economic
capital limits are allocated to individual business areas during the annual budgeting process and are supplemented in day-to-
day management by volume, sensitivity, and value-at-risk limits. At RBI AG, this is planned on a revolving basis for the
upcoming three years and incorporates the future development of economic capital as well as available internal capital.
Economic capital thus substantially influences plans for future lending activities and the overall limit for taking market risk.
Risk-adjusted performance measurement is also based on the indicator for economic capital. The profitability of a business
unit is examined in relation to the amount of economic capital attributed to the unit in question (risk-adjusted profit in relation
to risk-adjusted capital, RORAC), which yields a comparable performance indicator for all business units in the bank. That
indicator is used in turn as a key figure in overall bank management and for future capital allocations to business units, and
influences the remuneration paid to the Bank’s executive management.
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Normative perspective – stress scenarios
The analysis of the stress scenarios in the normative perspective of the ICAAP is intended to ensure that RBI AG has sufficiently
high capital ratios at the end of the multi-year planning period, even in a severe macroeconomic downturn scenario. The
analysis is based on a multi-year macroeconomic stress test where hypothetical market developments in a severe but realistic
economic downturn scenario are simulated. The risk parameters considered include interest rates, foreign exchange rates and
securities prices, as well as changes in default probabilities and rating migrations in the credit portfolio.
The integrated stress test focuses primarily on the capital ratios at the end of the multi-year observation period. These should
not fall below a sustainable level, meaning that they should not require the bank to substantially increase capital or to
significantly reduce its business activities. The current minimum amount of capital is therefore determined by the size of a
potential economic downturn. The downturn scenario assumed incorporates recognition of the necessary loan loss provisions
and potential pro-cyclical effects (which increase the minimum regulatory capital requirement) along with the impact of
foreign exchange rate fluctuations and other valuation and earnings effects. Regulatory changes already known are taken into
account for the planning period.
This perspective thus also complements traditional risk measurement methods based on the value-at-risk concept (which is in
general based on historical data). Therefore, it can account for exceptional market situations that have not been observed in
the past, and also permits estimation of the potential impact of such developments. The stress test also allows for analyzing
risk concentrations (e.g. individual positions, industries, or geographical regions) and gives insight into profitability, liquidity
situation, and solvency under extreme situations. Building on these analyses, RBI AG’s risk management actively contributes to
portfolio diversification, for example via limits for the total exposure to individual industry segments and countries and through
ongoing updates to lending standards.
Credit risk
RBI AG’s credit risk stems mainly from default risks that arise from business with retail and corporate customers, other banks
and sovereign borrowers. It is by far the most important risk category for RBI AG, which is also indicated by internal and
regulatory capital requirements. Credit risk is therefore analyzed and monitored both on an individual loan and customer basis
as well as on a portfolio basis. Credit risk management and lending decisions are based on the respective credit risk policies,
credit risk manuals, and the tools and processes which have been developed for this purpose. The internal control system for
credit risks includes different types of monitoring measures, which are tightly integrated into the workflows to be monitored –
from the customer’s initial credit application, to the bank’s credit approval, and finally to the repayment of the loan.
No lending transaction is performed in the non-retail segments before the limit application process has been completed. This
process applies not only to new lending, but also to increases in existing limits, roll-overs, overdrafts, and to cases in which the
borrower’s risk profile is no longer the same as the profile that formed the basis for the original lending decision (e.g., with
respect to the financial situation of the borrower, purpose or collateral). It also applies to the setting of counterparty limits in
trading and new issuance operations, other credit limits, and to participations.
Credit decisions are made within the context of a competence authority hierarchy based on the size and type of the loan.
Approval from the business and the credit risk management divisions is always required when making individual limit decisions
or performing regular rating renewals. If the individual decision-making parties disagree, the potential transaction is decided
upon by the next higher-ranking credit authority.
Management report 291
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Credit exposure by asset classes (rating models):

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
Corporate customers | 42,853,909 | 46.7 % | 43,700,074 | 43.7 %
Project finance | 2,562,816 | 2.8 % | 2,382,088 | 2.4 %
Retail customers | 2,797,094 | 3.0 % | 3,572,301 | 3.6 %
Banks | 22,863,788 | 24.9 % | 21,757,362 | 21.7 %
Sovereigns | 20,660,142 | 22.5 % | 28,693,945 | 28.7 %
Total | 91,737,749 | 100.0 % | 100,105,769 | 100.0 %

Credit portfolio – Corporate customers
The internal rating models for corporate customers take into account qualitative parameters, various ratios from the
statement of financial position, and profit ratios covering different aspects of customer creditworthiness for various industries
and countries. In addition, the model for smaller corporates also includes an account behavior component.
The following table shows the total credit exposure according to internal corporate ratings (large corporates, mid-market and
small corporates). For presentation purposes, the individual grades of the rating scale have been combined into nine main
rating grades.

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
1 | Minimal risk | 1,454,211 | 3.4 % | 2,316,588 | 5.3 %
2 | Excellent credit standing | 5,398,143 | 12.6 % | 5,554,815 | 12.7 %
3 | Very good credit standing | 14,325,960 | 33.4 % | 14,615,313 | 33.4 %
4 | Good credit standing | 12,479,463 | 29.1 % | 11,481,652 | 26.3 %
5 | Sound credit standing | 5,469,893 | 12.8 % | 6,139,146 | 14.0 %
6 | Acceptable credit standing | 1,858,430 | 4.3 % | 1,814,903 | 4.2 %
7 | Marginal credit standing | 404,070 | 0.9 % | 678,200 | 1.6 %
8 | Weak credit standing/sub-standard | 143,882 | 0.3 % | 177,641 | 0.4 %
9 | Very weak credit standing/doubtful | 39,516 | 0.1 % | 197,873 | 0.5 %
10 | Default | 1,279,396 | 3.0 % | 722,432 | 1.7 %
NR | Not rated | 943 | — % | 1,511 | — %
Total | 42,853,909 | 100.0 % | 43,700,074 | 100.0 %

The total credit exposure for corporate customers decreased € 846,165 thousand compared to year-end 2022 to € 42,853,909
thousand.
The decline for corporate customers was primarily due to a reduction in credit and facility financing in Austria, France and
Germany. The largest decline was recorded in rating grade 1 due to rating downgrades of individual Austrian customers and
reduced credit exposures in Ireland. The decrease in rating grade 3 was due to reduced credit exposures in Germany, Great
Britain and Hungary (partly due to rating downgrades to rating grade 4), which was partly offset by increased credit financing
in Austria. The decline in rating grade 5 resulted from decreased credit exposures in Austria and rating downgrades of
individual Austrian customers. Rating grade 4 recorded an increase due to new customers and increased credit exposures
mainly in Germany, Switzerland, Great Britain, Hungary and China. The increase in defaulted loans was due to defaulted
financing in the real estate sector.
The five grades rating model for project finance is based on the slotting criteria in accordance with EBA/RTS/2016/02. In June
2023, the model parameters for real estate financing were adjusted based on the current macroeconomic parameters
(especially inflation expectations).

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
6.1 | Excellent project risk profile – very low risk | 1,562,846 | 61.0 % | 1,229,865 | 51.6 %
6.2 | Good project risk profile – low risk | 565,445 | 22.1 % | 940,681 | 39.5 %
6.3 | Acceptable project risk profile – average risk | 91,022 | 3.6 % | 79,463 | 3.3 %
6.4 | Poor project risk profile – high risk | 152,988 | 6.0 % | 0 | — %
6.5 | Default | 190,514 | 7.4 % | 132,080 | 5.5 %
NR | Not rated | 0 | — % | 0 | — %
Total | 2,562,816 | 100.0 % | 2,382,088 | 100.0 %

Credit exposure to loans reported under project financing showed a decline of € 180,728 thousand to € 2,562,816 thousand as
at 31 December 2023. The increase in rating grade 6.1 resulted mainly from new financing in the Czech Republic and Germany
as well as from rating upgrades of a German and Czech customer to rating grade 6.2. In addition to the rating downgrades to
rating grade 6.1 the decline in rating grade 6.2 resulted from rating downgrades of individual customers to rating grade 6.3 in
292 Management report
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Austria and Romania, to rating grade 6.4 in Germany and Austria and to rating grade 6.5 in Austria. The increase in rating grade
6.4 was also due to rating downgrades of an Italian customer from rating grade 6,3.
Credit portfolio – Retail customers
Credit exposure to retail customers according to internal rating:

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
0.5 | Minimal risk | 471,785 | 16.9 % | 687,187 | 19.2 %
1.0 | Excellent credit standing | 367,028 | 13.1 % | 616,399 | 17.3 %
1.5 | Very good credit standing | 121,710 | 4.4 % | 246,033 | 6.9 %
2.0 | Good credit standing | 52,739 | 1.9 % | 120,068 | 3.4 %
2.5 | Sound credit standing | 40,956 | 1.5 % | 71,820 | 2.0 %
3.0 | Acceptable credit standing | 20,820 | 0.7 % | 43,222 | 1.2 %
3.5 | Marginal credit standing | 11,573 | 0.4 % | 30,910 | 0.9 %
4.0 | Weak credit standing/sub-standard | 7,063 | 0.3 % | 15,134 | 0.4 %
4.5 | Very weak credit standing/doubtful | 17,113 | 0.6 % | 20,223 | 0.6 %
5.0 | Default | 145,448 | 5.2 % | 154,418 | 4.3 %
NR | Not rated | 1,540,860 | 55.1 % | 1,566,887 | 43.9 %
Total | 2,797,094 | 100.0 % | 3,572,301 | 100.0 %

The not rated credit exposure includes credit card limits in Austria.
Credit portfolio – Banks
The following table shows the total credit exposure by internal rating for banks (excluding central banks). Due to the small
number of customers (or observable defaults), the default probabilities of individual rating grades in this asset class are
calculated based on a combination of internal and external data. In May 2023, the rating model for credit institutions was
adjusted in accordance to the EBA guidelines after approval of ECB.

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
1 | Minimal risk | 2,862,516 | 12.5 % | 4,111,731 | 18.9 %
2 | Excellent credit standing | 2,606,044 | 11.4 % | 7,274,225 | 33.4 %
3 | Very good credit standing | 13,887,198 | 60.7 % | 8,394,710 | 38.6 %
4 | Good credit standing | 2,598,571 | 11.4 % | 770,109 | 3.5 %
5 | Sound credit standing | 574,398 | 2.5 % | 140,397 | 0.6 %
6 | Acceptable credit standing | 145,336 | 0.6 % | 709,926 | 3.3 %
7 | Marginal credit standing | 23,291 | 0.1 % | 161,898 | 0.7 %
8 | Weak credit standing/sub-standard | 91,680 | 0.4 % | 2,035 | — %
9 | Very weak credit standing/doubtful | 71,830 | 0.3 % | 177,342 | 0.8 %
10 | Default | 2,874 | — % | 14,868 | 0.1 %
NR | Not rated | 50 | — % | 123 | — %
Total | 22,863,788 | 100.0 % | 21,757,362 | 100.0 %

Total credit exposure to banks as at 31 December 2023 amounted to € 22,863,788 thousand, an increase of € 1,106,427
thousand compared to year-end 2022. This increase resulted mainly from a rise in repo transactions in France, Ireland, Italy,
Spain and Great Britain and was partly offset by a decrease of loans and advances in Austria, Russia and the Ukraine.
Rating grade 3 recorded the largest increase, due to rating downgrades of Austrian, German, French and Irish banks from
rating grade 2 and individual Austrian banks from rating grade 1. This increase was partly offset due to the rating downgrade
of an Italian bank to rating grade 4. The rating shifts are mainly due to the rating model change for credit institutions
described above.
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· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Credit portfolio – Sovereigns
Another asset class is formed by central governments, central banks, and regional municipalities as well as other public sector
entities. The credit exposure to sovereigns includes local and regional governments.
Credit exposure to sovereigns (including central banks) by internal rating:

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
1 | Excellent credit standing | 1,410,157 | 6.8 % | 25,323,328 | 88.3 %
2 | Very good credit standing | 17,536,045 | 84.9 % | 2,125,793 | 7.4 %
3 | Good credit standing | 1,243,979 | 6.0 % | 1,116,341 | 3.9 %
4 | Sound credit standing | 396,683 | 1.9 % | 120,608 | 0.4 %
5 | Average credit standing | 33,926 | 0.2 % | 365 | — %
6 | Mediocre credit standing | 10,851 | 0.1 % | 501 | — %
7 | Weak credit standing | 2,388 | — % | 6 | — %
8 | Very weak credit standing | 20 | — % | 118 | — %
9 | Doubtful/high default risk | 18,429 | 0.1 % | 236 | — %
10 | Default | 7,664 | — % | 6,648 | — %
NR | Not rated | 0 | — % | 0 | — %
Total | 20,660,142 | 100.0 % | 28,693,945 | 100.0 %

Credit exposure to sovereigns decreased € 8,033,803 thousand to € 20,660,142 thousand compared to year-end 2022, mainly
due to decreased money market transactions with the Austrian national bank. In addition, there was a rating downgrade of
Austria and the Austrian national bank from rating grade 1 to rating grade 2.
Credit portfolio management
RBI AG’s credit portfolio is managed, among other factors, on the basis of the portfolio strategy. This limits the exposure to
different countries, industries and product types to avoid undesired risk concentrations. In addition, the long-term
opportunities in the single markets are regularly analyzed. This enables future lending activities to be strategically repositioned
at an early stage.
RBI AG’s credit portfolio is broadly diversified by region and sector. The geographical breakdown of the loans on and off the
statement of financial position reflects the broad diversification of the credit business in the European markets. These loans
are broken down by region according to the borrower’s country of risk as follows (countries with credit exposure greater than
€ 1 billion are shown separately):

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
Austria | 37,881,272 | 41.3 % | 47,082,483 | 47.0 %
Germany | 10,184,070 | 11.1 % | 10,224,710 | 10.2 %
France | 7,315,069 | 8.0 % | 6,679,377 | 6.7 %
Spain | 3,569,659 | 3.9 % | 3,133,711 | 3.1 %
Great Britain | 3,371,626 | 3.7 % | 3,440,816 | 3.4 %
Switzerland | 2,895,921 | 3.2 % | 2,779,454 | 2.8 %
Poland | 2,592,395 | 2.8 % | 3,478,141 | 3.5 %
Luxembourg | 2,499,501 | 2.7 % | 2,805,857 | 2.8 %
Netherlands | 2,245,376 | 2.4 % | 2,238,861 | 2.2 %
Italy | 2,183,659 | 2.4 % | 1,971,632 | 2.0 %
Far East | 1,960,166 | 2.1 % | 1,840,064 | 1.8 %
Czech Republic | 1,435,323 | 1.6 % | 1,289,840 | 1.3 %
United States of America | 1,287,412 | 1.4 % | 1,337,870 | 1.3 %
Belgium | 1,188,004 | 1.3 % | 827,248 | 0.8 %
Romania | 1,022,437 | 1.1 % | 840,936 | 0.8 %
Other | 10,105,862 | 11.0 % | 10,134,770 | 10.1 %
Total | 91,737,749 | 100.0 % | 100,105,769 | 100.0 %

RBI AG’s loan portfolio declined € 8,368,020 thousand to € 91,737,749 thousand. In Austria the decrease of € 9,201,211 thousand
to € 37,881,272 thousand resulted mainly from reduced money market transactions and lower deposits at the Austrian national
bank. France recorded an increase of € 635,692 thousand mainly due to increased repo transactions and bond portfolio. This
increase was partly offset by decreased credit financing. The decrease in Poland resulted mainly from credit financing and
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reduced bond portfolio. Repo transactions and guarantees given in particular were responsible for the positive development in
Spain. The € 360,755 thousand increase to € 1,188,004 in Belgium was mainly due to the bond portfolio.
Risk policies and the assessment of credit ratings at RBI AG also take account of the borrowers’ industries. Banking and
insurance represent the largest industry class in the credit portfolio. However, this is largely attributable to exposures to
members of the Austrian Raiffeisen Group. Sovereigns mainly includes securities of the Republic of Austria as issuer.
Credit exposure broken down by industry classification:

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
Financial Intermediation | 37,553,230 | 40.9 % | 46,529,652 | 46.5 %
Manufacturing | 13,656,018 | 14.9 % | 13,776,882 | 13.8 %
Public administration and defense and social insurance institutions | 8,611,974 | 9.4 % | 7,162,072 | 7.2 %
Wholesale and retail trade; repair of motor vehicles, motorcycles and personal and household goods | 8,424,477 | 9.2 % | 8,551,650 | 8.5 %
Real estate, renting and business activities | 7,376,120 | 8.0 % | 7,869,158 | 7.9 %
Electricity, gas and water supply | 3,211,969 | 3.5 % | 2,867,694 | 2.9 %
Private households | 2,722,226 | 3.0 % | 3,442,487 | 3.4 %
Education; health and social work; other community, social and personal service activities | 2,556,718 | 2.8 % | 1,328,836 | 1.3 %
Construction | 1,724,748 | 1.9 % | 1,586,078 | 1.6 %
Agriculture, hunting and forestry; fishing; mining and quarrying | 964,673 | 1.1 % | 919,467 | 0.9 %
Transport, storage and communication | 920,275 | 1.0 % | 817,733 | 0.8 %
Other | 4,015,322 | 4.4 % | 5,254,060 | 5.2 %
Total | 91,737,749 | 100.0 % | 100,105,769 | 100.0 %

The detailed credit portfolio analysis shows the breakdown by rating grade. Customer rating assessments are performed
separately for different asset classes using internal risk classification models (rating and scoring models), which are validated
by a central organizational unit. The default probabilities assigned to individual rating grades are calculated separately for
each asset class. However, the use of a master scale enables rating grades to be compared even across business segments.
For retail asset classes, country-specific scorecards are developed based on uniform Group standards. Corresponding tools are
used to produce and validate ratings (e.g. business valuation tools, rating and default databases).
Collateralization is one of the main strategies and an actively pursued measure for reducing potential credit risks. The value of
collateral and the effects of other risk mitigation techniques are determined during the limit application process. The risk
mitigation effect taken into account is the value that RBI AG expects to receive when it sells the collateral within a reasonable
period. Types of eligible collateral are defined in the collateral list and relevant valuation guidelines. The collateral value is
calculated according to uniform methods, including standardized calculation formulas based on market values, predefined
minimum discounts, and expert assessments.
Credit default and workout process
The credit portfolio and individual borrowers are subject to constant monitoring. The main objectives of monitoring are to
ensure that the borrower meets the terms and conditions of the contract and to keep track of the borrower’s financial
position. Such a review is conducted at least once annually in the non-retail asset classes (corporates, financial institutions, and
sovereigns). This includes a rating review and the revaluation of financial and tangible collateral.
Problem loans (where debtors might run into material financial difficulties or a delayed payment is expected) need special
treatment. If restructuring is necessary, problem loans are assigned either to a designated specialist or to a restructuring unit
(workout department),which work independently of the market side and are also subject to a separate responsibility. Involving
employees of the workout departments at an early stage can help reduce losses from problem loans and/or optimize the
collateral structure of the loan.
Credit default is assessed on the basis of quantitative and qualitative criteria. First, a borrower is considered to be in default if
its contractual payments are more than 90 days overdue. Second, a borrower is considered to be in default if it meets the
criteria of unlikely payment, which indicate that the customer is in significant financial difficulty and is unlikely to meet its
payment obligations. A loan obligation is no longer classified as default if - after a period of at least three months (six months
after a non-performing retail restructuring, and 12 months after a non-performing non-retail restructuring) – the customer has
shown good payment discipline during this period and no further indications of a high probability of default have been
identified.
Management report 295
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Non-performing exposures pursuant to the applicable definition contained in the Implementing Technical Standard (ITS) on
Supervisory Reporting (Forbearance and non-performing exposures) issued by the EBA:

| NPE | NPE ratio | NPE coverage ratio
in € thousand | 31/12/2023 | 31/12/2022 | 31/12/2023 | 31/12/2022 | 31/12/2023 | 31/12/2022
General governments | 177,808 | 169,037 | 18.2 % | 19.7 % | 2.7 % | 3.0 %
Banks | 2,733 | 4,931 | — % | — % | 36.2 % | 58.3 %
Other financial corporations | 378,964 | 155,584 | 4.2 % | 1.6 % | 27.9 % | 29.3 %
Non-financial corporations | 950,846 | 608,476 | 5.6 % | 3.5 % | 46.3 % | 69.9 %
Households | 110,584 | 119,046 | 7.6 % | 5.5 % | 81.0 % | 84.7 %
Loans and advances | 1,620,935 | 1,057,075 | 3.2 % | 1.7 % | 39.5 % | 54.9 %
Bonds | 0 | 0 | — % | — % | — % | — %
Total | 1,620,935 | 1,057,075 | 2.6 % | 1.5 % | 39.5 % | 54.9 %

The following table shows the development of impairment losses on loans and provisions for liabilities off the statement of
financial position during the financial year and the corresponding asset classes:

in € thousand | As at 1/1/2023 | Additions due to merger | Allocation | Release 2 | Usage 1 | Reclassifications, exchange differences 3 | As at 31/12/2023
Individual loan loss provisions | 882,352 | 0 | 396,828 | (183,781) | (153,502) | (4,640) | 937,258
Banks | 2,873 |  | 513 | (1,856) | (472) | (67) | 991
Corporate customers | 767,911 |  | 351,471 | (118,775) | (148,300) | (13,502) | 838,805
Retail customers | 100,783 |  | 19,828 | (35,628) | (4,313) | 8,936 | 89,606
Sovereigns | 4,999 |  | 4,204 | (3,946) | (417) | 0 | 4,840
Off-balance sheet obligations | 5,787 |  | 20,812 | (23,576) | 0 | (7) | 3,016
Portfolio-based loan loss provisions | 293,991 | 0 | 585,970 | (692,057) | 0 | 6,542 | 194,446
Banks | 9,781 |  | 11,865 | (20,800) | 0 | 4,361 | 5,207
Corporate customers | 200,308 |  | 485,010 | (544,364) | 0 | 267 | 141,221
Retail customers | 35,110 |  | 7,140 | (30,058) | 0 | 2,071 | 14,263
Sovereigns | 153 |  | 146 | (160) | 0 | 0 | 139
Off-balance sheet obligations | 48,639 |  | 81,809 | (96,675) | 0 | (157) | 33,616
Total | 1,176,343 | 0 | 982,798 | (875,838) | (153,502) | 1,902 | 1,131,704
1 This contains unwinding interest income from impaired customers and changes in internal interest exemptions 2 This contains changes in internal interest exemptions 3 This contains reclassifications of provisions and changes in customer categories

Country risk
Country risk includes transfer and convertibility risks as well as political risk and macroeconomic risk in a broader sense, which
arises from cross-border transactions in foreign countries. Activities in core markets are given particular attention in this
respect.
As part of an established approach across all RBI Group units, RBI AG’s active country-risk management is ensured based on
the country risk policy, which is set regularly and approved by the Management Board. This policy is part of the credit portfolio
limit system and sets a strict limitation on cross-border risk exposure to individual countries. At the same time, the policy is
designed to incentivize risk-taking within the RBI Group’s core markets. The limit levels for individual countries are established
using an internal model based on pillars such as the RBI Group’s own capitalization, the internal sovereign rating, and the size
and dynamics of the country and its banking sector.
Country risk is also reflected through the internal funds transfer pricing system in product pricing and in risk-adjusted
performance measurement. In this way, the bank offers the business units an incentive to hedge country risks (e.g. by seeking
insurance with export credit insurance organizations or guarantors in third countries). The insights gained from the country risk
analysis are not only used to limit total cross-border exposure, but also to manage the total credit exposure in each individual
country (i.e. including the exposure that is funded by local deposits). RBI AG thus aligns its business activities with the expected
economic development in different markets and enhances the broad diversification of its credit portfolio.
296 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Counterparty credit risk
The default of a counterparty in a derivative, repurchase, securities lending transaction can lead to losses from reestablishing
an equivalent contract. At RBI AG this risk is measured by the mark-to-market approach where a predefined add-on is added
to the current positive fair value of the contract in order to account for potential future changes. For internal management
purposes potential price changes, which affect the fair value of an instrument, are calculated specifically for different contract
types based on historical market price changes.
For derivative contracts the standard limit approval process applies, where the same risk classification, limitation, and
monitoring process is used as for traditional lending. Credit risk mitigation instruments such as netting agreements and
collateralization represent an important strategy for reducing counterparty credit risk. In general, RBI AG strives to establish
standardized ISDA master agreements with all major counterparties for derivative transactions in order to be able to perform
close-out netting and credit support annexes (CSA) for full risk coverage for positive fair values on a daily basis.
Participation risk
The risks from listed and unlisted participations are also considered to be part of the banking book. They are reported
separately under this risk category. Most of RBI AG’s direct or indirect participations are fully consolidated in the consolidated
financial statements and their risks are therefore captured in detail. Accordingly, the management, measurement and
monitoring methods described for the other types of risk are used for the risks arising out of such participations.
The roots of participation risk and default risk are similar: a deterioration in the financial situation of a participation is normally
followed by a rating downgrade (or default) of that unit. The calculation of the economic capital for participations is based on
an extension of the credit risk approach according to Basel III.
RBI AG’s participations are managed by RBI Group Subsidiaries & Equity Investments. It monitors the risks that arise from long-
term participations in equity and is also responsible for the ensuing results. New investments are made only by RBI AG’s
Management Board on the basis of a separate due diligence.
Market risk
RBI AG defines market risk as the risk of possible losses arising from changes in market prices of trading and banking book
positions. Market risk estimates are based on changes in exchange rates, interest rates, credit spreads, equity and commodity
prices and other relevant market parameters (e.g. implied volatilities).
Market risks from the customer divisions are transferred to the Treasury division using the transfer price method. Treasury is
responsible for managing structural market risks and for complying with the bank’s overall limit. The Capital Markets division is
responsible for proprietary trading, market making, and customer business in money market and capital market products.
In previous years the global COVID-19 situation required increased monitoring of market trends and position changes for RBI
AG. In 2022 the war in Ukraine provided the challenge for market risk management, which continued during 2023 as well. Active
risk management and daily monitoring with a focus on the Russian, Ukrainian and Belarusian markets were necessary in order
to adapt to the changed environment.
Management report 297
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Organization of market risk management
RBI AG measures, monitors, and manages all market risks for the bank as a whole.
The Market Risk Committee is responsible for strategic market risk management issues. It is responsible for managing and
controlling all market risks. The bank’s overall limit is set by the Management Board on the basis of the risk-taking capacity
and income budget. This limit is apportioned to sub-limits in coordination with business divisions according to strategy,
business model and risk appetite. The Market Risk Management department ensures that the business volume and product
range comply with the defined and agreed strategy and risk appetite. It is responsible for developing and enhancing risk
management processes, manuals, measurement techniques, risk management infrastructure and systems for all market risk
categories and credit risks arising from market price changes in derivative transactions. Furthermore, Market Risk
Management independently measures and reports all market risks on a daily basis.
All products in which open positions can be held are listed in the product catalog. New products are added to this list only after
successfully completing the product approval process. Product applications are investigated thoroughly for any risks. They are
approved only if the new products can be implemented in the bank’s front- and back-office and risk management systems.
Limit system
RBI AG uses a comprehensive risk management approach for both the trading and the banking books (total-return approach).
Market risk is therefore managed consistently in all trading and banking books. The following indicators are measured and
limited on a daily basis in the market risk management system:
· Value-at-Risk (VaR) confidence level 99 per cent
Value-at-Risk is the main market risk steering instrument in liquid markets and normal market situations. Two
different methods of calculation are used, depending on the steering approach. The consistency between P&L and
risk figures is in parallel necessary with the economic scope of RBI AG in order to ensure comprehensive control. For
the overall portfolio including the banking book, a model is used that is based on a historical simulation and which is
suitable for longer-term steering of the market risks from the banking books (ALL model, confidence level 99 per
cent, risk horizon 20 days). The calculation is based on overlapping 20-day returns of the last seven years and is also
used for allocating economic capital. For all market risks with a direct impact on the income statement, a model is
used that provides a good forecast of short-term volatility (IFRS P&L model, confidence level 99 per cent, risk horizon
1 day). The Austrian Financial Market Authority has approved this approach as an internal model for calculating the
total capital requirement for market risks for RBI AG’s trading book. Both models calculate value-at-risk indicators
for changes in the risk factors foreign currencies, interest rate trend, credit spreads, implicit volatility, stock indices
and basis spreads.
· Sensitivities (to changes in exchange rates and interest rates, gamma, vega, equity and commodity prices)
Sensitivity limits are to ensure that concentrations are avoided in normal market situations and are the main
steering instrument under extreme market situations and in illiquid markets or in markets that are structurally
difficult to measure.
· Stop loss
Stop loss limits serve to strengthen the discipline of traders such that they do not allow losses to accumulate on
their own proprietary positions but strictly limit them instead.
A comprehensive stress testing concept complements this multi-level limit system. It simulates potential present value
changes of defined scenarios for the total portfolio. The results on market risk concentrations shown by these stress tests are
reported to the Market Risk Committee and taken into account when setting limits. Stress test reports for individual portfolios
are included in daily market risk reporting.
Value-at-Risk and theoretical market price changes of trading book
The following tables show the VaR (VaR ALL 99 per cent, 20 days and VaR IFRS P&L 99 per cent, one day) for the individual
market risk categories in the trading books, while the overall risk is shown for the banking book. The IFRS-P&L model aims to
measure short-term market fluctuations, while the ALL model focuses on measuring structural interest rate risks. Structural
equity positions, structural interest rate risks, especially in euro, and also spread risks from bond books maintained as a
liquidity buffer dominate RBI AG’s VaR.
298 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

Model IFRS-P&L trading book VaR (99%, 1d) | VaR as at | Average VaR | Minimum VaR | Maximum VaR | VaR as at
in € thousand | 31/12/2023 |  |  |  | 31/12/2022
Currency risk | 275 | 741 | 172 | 1,421 | 386
Interest rate risk | 938 | 1,343 | 518 | 2,445 | 707
Credit spread risk | 1,559 | 1,390 | 469 | 3,365 | 2,331
Vega risk | 463 | 326 | 85 | 973 | 91
Basis risk | 904 | 965 | 420 | 1,997 | 1,402
Total | 2,430 | 2,433 | 1,352 | 4,345 | 3,031

Model IFRS-P&L total VaR (99%, 1d) | VaR as at | Average VaR | Minimum VaR | Maximum VaR | VaR as at
in € thousand | 31/12/2023 |  |  |  | 31/12/2022
Currency risk | 4,127 | 3,268 | 1,167 | 7,903 | 2,629
Interest rate risk | 7,294 | 2,587 | 915 | 34,291 | 1,044
Credit spread risk | 3,410 | 3,461 | 2,551 | 5,480 | 3,380
Vega risk | 621 | 557 | 175 | 1,856 | 154
Basis risk | 1,897 | 3,013 | 1,645 | 6,503 | 2,743
Total | 11,299 | 7,573 | 5,415 | 37,155 | 5,557

Model ALL VaR (99%, 20d) | VaR as at | Average VaR | Minimum VaR | Maximum VaR | VaR as at
in € thousand | 31/12/2023 |  |  |  | 31/12/2022
Economic capital ALL | 129,000 | 64,886 | 23,214 | 130,000 | 49,648
Vega risk ALL | 7,231 | 9,178 | 4,478 | 18,483 | 11,297
Total ALL | 136,231 | 73,777 | 34,146 | 137,824 | 60,944
Economic capital banking book | 121,488 | 60,812 | 18,233 | 127,858 | 46,090
Vega risk banking book | 6,907 | 8,883 | 4,398 | 17,856 | 10,991
Total banking book | 128,394 | 69,425 | 28,331 | 135,910 | 57,081
Interest rate risk in the banking book | 16,877 | 38,580 | 16,511 | 148,073 | 24,067

Besides qualitative analysis of profitability, backtesting and statistical validation techniques are regularly used to monitor the
risk measurement methods employed. If model weaknesses are identified, the methods are adjusted.
In the 2023 reporting year there was one hypothetical backtesting violation. The following chart compares VaR with the
hypothetical profits and losses on a daily basis. VaR denotes the maximum loss that will not be exceeded with a 99 per cent
confidence level within a day. It is compared to the respective theoretical gain or loss which would arise on the following day
due to the actual market conditions at the time.
Management report 299
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Interest rate risk in the trading book
The following table shows the largest present value changes in the trading book given a parallel one-basis-point interest rate
increase (significant currencies shown separately). The trading book strategy remains largely unchanged.

31/12/2023 | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
in € thousand
CHF | (10) | (1) | 3 | (10) | (3) | 0 | 0 | 0 | 0 | 0 | 0 | 0
CNY | 4 | 0 | 0 | 4 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | 10 | 0 | 0 | 2 | (1) | 0 | 5 | (1) | 10 | (2) | (1) | (1)
EUR | (49) | 9 | 10 | (3) | (5) | (31) | 22 | (32) | 2 | (21) | 13 | (13)
GBP | (4) | 0 | (2) | (1) | 0 | 0 | (1) | 0 | 0 | 0 | 0 | 0
HRK | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
HUF | 13 | 2 | 0 | (4) | (2) | (1) | 3 | (2) | 14 | 1 | 0 | 0
NOK | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
PLN | 3 | 0 | 0 | (8) | 9 | (1) | 5 | 3 | (4) | 0 | 0 | 0
RON | (4) | 0 | 0 | 0 | 0 | (8) | 4 | 0 | 0 | 0 | 0 | 0
RUB | (5) | 0 | (1) | 0 | (1) | 0 | (1) | 0 | (1) | 0 | 0 | 0
USD | (1) | 6 | 4 | (13) | (12) | (4) | (16) | (5) | 1 | 9 | 9 | 20
Other | 44 | (16) | (14) | 33 | 17 | 44 | (21) | 37 | (23) | 14 | (21) | (6)

31/12/2022 | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
in € thousand
CHF | 4 | 5 | 0 | 0 | (1) | 1 | 0 | 0 | 0 | 0 | 0 | 0
CNY | 5 | 0 | 0 | 5 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | (4) | (6) | 1 | 9 | 10 | 4 | 0 | (12) | (9) | (1) | 0 | 0
EUR | (70) | 1 | 6 | 7 | 19 | 2 | (6) | (58) | (13) | (3) | (12) | (12)
GBP | 1 | 1 | 0 | (1) | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0
HRK | (7) | 0 | 0 | 0 | 1 | 0 | (2) | (2) | 0 | (3) | 0 | 0
HUF | (1) | 4 | 0 | (6) | (1) | 1 | 1 | (2) | 4 | 0 | 0 | 0
NOK | 1 | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 | 0
PLN | (1) | 0 | (2) | 1 | (2) | (1) | 7 | (2) | (2) | 0 | 0 | 0
RON | (6) | 0 | 0 | 0 | 1 | (4) | (4) | 0 | 0 | 0 | 0 | 0
RUB | (4) | 0 | 0 | (1) | (2) | 0 | 2 | (1) | (1) | (1) | 0 | 0
USD | (7) | (1) | 2 | (6) | (2) | (3) | (2) | 5 | (7) | 5 | 6 | (2)
Other | (2) | 0 | 0 | 0 | (1) | (1) | 0 | 0 | 0 | 0 | 0 | 0

Interest rate risk in the banking book
Different maturities and repricing schedules of assets and the corresponding liabilities (i.e. deposits and financing from money
markets and capital markets) cause interest rate risk in RBI AG. This risk arises in particular from different interest rate
sensitivities, rate adjustments, and other optionality of expected cash flows. Interest rate risk in the banking book is material
for the euro and US dollar as major currencies.
This risk is mainly hedged by a combination of transactions on and off the statement of financial position where in particular
interest rate swaps and – to a smaller extent – also interest rate forwards and interest rate options are used. Management of
the statement of financial position is a core task of the Treasury division, which is supported by the Group Asset/Liability
Committee. The latter uses scenarios and interest income simulations that ensure proper interest rate sensitivity in line with
expected changes in market rates and the overall risk appetite. Interest rate risk in the banking book is not only measured in a
value-at-risk framework but also managed by the traditional tools of nominal and interest rate gap analyses. The following
table shows the change in the present value of the banking book given a one-basis-point parallel interest rate increase. The
main currencies are shown separately.
300 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023

31/12/2023 | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
in € thousand
CHF | (73) | (21) | (1) | (2) | (3) | (1) | (3) | (13) | (9) | (13) | (6) | (1)
CNY | (2) | 0 | (1) | (1) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | (20) | 4 | 0 | (5) | (4) | (5) | 1 | (8) | (3) | 0 | 0 | 0
EUR | (323) | (2) | (24) | 141 | 124 | (2) | (69) | (138) | (78) | (137) | (146) | 7
GBP | (5) | (2) | 3 | 0 | (1) | (7) | 2 | 0 | 0 | 0 | 0 | 0
HUF | (6) | 1 | (3) | 3 | 2 | (1) | (9) | (1) | 1 | 0 | 0 | 0
PLN | (12) | (2) | (6) | 1 | 0 | (2) | (3) | 0 | 0 | 0 | 0 | 0
SGD | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
USD | 20 | 2 | (27) | 7 | 0 | 3 | 15 | 11 | 8 | 1 | 0 | 0
Other | 0 | (1) | 0 | 1 | 3 | 4 | (1) | 0 | (1) | (2) | (3) | 0

31/12/2022 | Total | < 3 m | > 3 to 6 m | > 6 to 12 m | > 1 to 2 y | > 2 to 3 y | > 3 to 5 y | > 5 to 7 y | > 7 to 10 y | > 10 to 15 y | > 15 to 20 y | > 20 y
in € thousand
CHF | (94) | (52) | 0 | (1) | (2) | (2) | (1) | (10) | (8) | (10) | (7) | (1)
CNY | (2) | 0 | (1) | (1) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
CZK | 1 | 4 | 0 | (3) | (16) | (2) | (4) | 12 | 13 | (2) | 0 | 0
EUR | (564) | 30 | 124 | 156 | (77) | (165) | (617) | (247) | 354 | (55) | (54) | (13)
GBP | (10) | (1) | 0 | (1) | 1 | (2) | (7) | 0 | 0 | 0 | 0 | 0
HUF | 5 | 1 | (2) | 0 | 3 | 0 | 1 | 1 | 1 | 0 | 0 | 0
PLN | (22) | (2) | (5) | 2 | (4) | (3) | (9) | 0 | 0 | 0 | 0 | 0
SGD | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0
USD | 122 | 23 | 101 | 11 | 8 | (3) | 0 | 2 | 2 | (23) | 0 | 0
Other | (3) | (1) | 0 | 0 | 0 | 1 | 3 | 0 | 0 | (2) | (3) | 0

Credit spread risk
The market risk management framework uses time-dependent bond and CDS-spread curves as risk factors in order to
measure credit spread risks. It captures all capital market instruments in the trading and banking book.
Liquidity management
Principles
Internal liquidity management is an important business process within general bank management, because it ensures the
continuous availability of funds required to cover day-to-day demands.
Liquidity adequacy is ensured from both an economic and a regulatory perspective. In order to approach the economic
perspective RBI AG established a governance framework comprising internal limits and steering measures which complies with
the Principles for Sound Liquidity Risk Management and Supervision set out by the Basel Committee on Banking Supervision and
the Kreditinstitute-Risikomanagement-Verordnung (KI-RMV) issued by the Austrian regulatory authority.
The regulatory component is addressed by compliance with reporting requirements under Basel III (Liquidity Coverage Ratio,
Net Stable Funding Ratio and Additional Liquidity Monitoring Metrics) as well as by complying with the regulatory limits.
Liquidity risk management during the war in Ukraine
Despite the ongoing war in Ukraine and intense media coverage of RBI, the liquidity position remained stable throughout 2023.
In response to the unstable environment, several decisions were made and implemented in 2023 to establish an additional
liquidity buffer.
These decisions included increasing buffers in selected currencies and adjusting models based on observed statistics from
previous years and the reporting year. Ongoing analysis, monitoring, and scenario analysis for potential adverse developments
have been implemented.
Management report 301
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
The ILAAP framework and governance once again proved to be solid and functioning even in times of crisis. Daily monitoring of
the liquidity position using dynamic dashboards showed that the infrastructure and monitoring are effective and support quick
reactions in times of crisis.
Organization and responsibility
Responsibility for ensuring adequate levels of liquidity lies with the overall Management Board. The board members with
functional responsibility are the Chief Financial Officer (Treasury) and the Chief Risk Officer (Risk Controlling). Accordingly, the
processes regarding liquidity risk are essentially run by two areas within the bank: Firstly the Treasury unit, which takes on
liquidity risk positions within the strategy, guidelines and parameters set by the responsible decision-making bodies. Secondly,
they are monitored and supported by the independent Risk Controlling unit, which measures and models liquidity risk positions,
sets limits and supervises compliance with them.
Besides the responsible units in the line functions, the Asset/Liability Management Committee (ALCO) acts as the decision-
making body with respect to all matters affecting the management of the liquidity position and statement-of-financial-
position structure of RBI AG, including the definition of strategies and policies for managing liquidity risks. The ALCO takes
decisions and provides standard reports on liquidity risk to the respective Management Boards at least on a monthly basis.
Liquidity strategy
Treasury units are committed to achieving KPIs and to complying with risk-based principles. The current set of KPIs includes
general targets (e.g. for return on risk-adjusted capital (RORAC) or coverage ratios), as well as specific Treasury targets for
liquidity such as a minimum survival period in defined stress scenarios or minimum liquidity targets in regulatory indicators.
While generating an adequate structural income from maturity transformation which reflects the liquidity and market risk
positions taken by the bank, Treasury has to follow a prudent and sustainable risk policy when steering the balance sheet.
Strategic goals comprise a reduction in parent funding within the group, the sustainable management of the depositor base
and of credit growth as well as continuous compliance with regulatory requirements and the internal limit framework.
Liquidity Risk Framework
Regulatory and internal liquidity reports and ratios are generated and determined based on particular modelling assumptions.
Whereas the regulatory reports are calculated on specifications given by authorities, the internal reports are modelled with
assumptions from empirical observations.
RBI AG has a substantial database along with expertise in forecasting cash flows arising from all material on- and off-balance
sheet positions. The modelling of liquidity inflows and outflows is carried out on a sufficient granular level, differentiating
between product and customer segments, and, where applicable, currencies as well. Modelling of customer deposits includes
assumptions concerning the retention times for deposits after maturity. The model assumptions are quite prudent, e.g. there is
a "no rollover" assumption on funding from banks and all funding channels and the liquidity buffer are stressed simultaneously.
The cornerstones of the economic liquidity risk framework are the Going Concern (GC) and the Time to Wall (TTW) scenario.
The Going Concern report shows the structural liquidity position. It covers all main risk drivers which could detrimentally affect
RBI AG in a business-as-usual scenario. The Going Concern models are important input factors for the liquidity contribution to
the internal funds transfer pricing model. On the other hand, the Time to Wall report shows the survival horizon for defined
adverse scenarios and stress models (market, reputational and combined crisis) and determines the minimum level of the
liquidity buffer (and/or the counter-balancing capacity) for each Group unit.
The liquidity scenarios are modelled using a Group-wide approach which considers local specifics where warranted due to
influencing factors such as the market or the legal environment or certain business characteristics. When modelling cash
inflows and outflows a distinction is at minimum made between products, customer segments and individual currencies (where
applicable). For products without a contractual maturity, the distribution of cash inflows and outflows is calculated using a
geometric Brownian motion which derives statistical forecasts for future daily balances from the observed, exponentially
weighted historical volatility of the corresponding products. For market crisis scenario a special model for assessment of the
potential liquidity outflow due to margin calls is in place. This model relies on Value-at-Risk calculations to estimate the
potential depreciation of derivative portfolios involving counterparties with CSA or variation margin agreements. By
incorporating this outflow into the liquidity risk stress test, a corresponding buffer is maintained to account for potential
margin calls in extremely adverse situations.
The liquidity risk framework is continuously developed. The technical infrastructure is enhanced in numerous projects and data
availability is improved in order to meet the new reporting and management requirements for this area of risk.
302 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Risk appetite and liquidity limits
The liquidity position is monitored at the level of RBI AG and at the level of its branches and is restricted by means of a
comprehensive limit system. Limits are defined both under a business-as-usual as well as under a stress perspective. In
accordance with the defined risk appetite, each unit must demonstrate a survival horizon of several months (TTW) in a severe,
combined stress scenario (reputational and market stress). This can be ensured either by a structurally positive liquidity profile
or by a sufficiently high liquidity buffer. In a normal going-concern environment (GC), maturity transformation must be fully
covered by the available liquidity buffer in the medium term. This means that the cumulative liquidity position over a period of
up to one year must be positive. In the long term (one year or more), maturity transformation is permitted up to a certain level.
For internal models, these limits are supplemented by limits for compliance with regulatory liquidity ratios, such as the liquidity
coverage ratio (LCR). All limits must be complied with on a daily basis.
Liquidity monitoring
The bank uses a range of customized measurement tools and early warning indicators that provide board members and senior
management with timely and forward-looking information. The limit framework ensures that the bank can continue to
operate in a period of severe stress.
Monitoring of limits and reporting limit compliance is performed regularly and effectively. Any breach by Group units is
reported to the Group ALCO and escalated. In such cases, appropriate steps are undertaken in consultation with the relevant
unit or contentious matters are escalated to the next highest responsible body.
Liquidity stress test
Stress tests are conducted for RBI AG on a daily basis on Group level. The tests cover three scenarios (market, reputational and
combined crisis), consider the effects of the scenarios for a period of several months and demonstrate that stress events can
simultaneously result in a time-critical liquidity requirement in several currencies. The stress scenarios include the principal
funding and market liquidity risks; all units of RBI AG are simultaneously subject to a severe combined crisis for all their major
products. The results of the stress tests are reported to the Management Board and other members of management on a
weekly basis; they also form a key component of the monthly ALCO meetings and are included in the bank’s strategic planning
and contingency planning.
A conservative approach is adopted when establishing outflow ratios based on historical data and expert opinions. The
simulations assume a lack of access to the money or capital markets and simultaneously significant outflows of customer
deposits. In this respect, the deposit concentration risk is also considered by assigning higher outflow ratios to large customers.
Furthermore, stress assumptions are formulated for the drawdown of guarantees and credit obligations. In addition, the
liquidity buffer positions are adapted by haircuts in order to cover the risk of disadvantageous market movements, and the
potential outflows resulting from collateralized derivative transactions are estimated. The bank continuously monitors
whether the stress assumptions are still appropriate or whether new risks need to be considered.
The time to wall concept has established itself as the main control instrument for day-to-day liquidity management and is
therefore a central component of funding planning and budgeting. It is also fundamental to determining performance ratios
relating to liquidity.
Liquidity buffer
As shown by the daily liquidity risk reports, the main Group units actively maintain and manage liquidity buffers, including high-
quality liquid assets (HQLA) which are always sufficient to cover the net outflows expected in crisis scenarios. RBI AG has
sizeable, unencumbered and liquid securities portfolios and favors securities eligible for Central Bank tender transactions in
order to ensure sufficient liquidity in various currencies. The main Group units ensure the availability of liquidity buffers, test
their ability to utilize central bank funds, constantly evaluate their collateral positions as regards their market value and
encumbrance and examine the remaining counterbalancing capacity, including the funding potential and the salability of the
assets.
Generally, a haircut is applied to all liquidity buffer positions. In the stressed liquidity report (time-to-wall), these haircuts
include a market-risk specific haircut and a central bank haircut. While the market risk haircut represents the potential price
volatility of the securities held as assets as part of the liquidity buffer, the central bank haircut represents an additional haircut
for each individual relevant security that may be offered as collateral.
Management report 303
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Intraday liquidity management
In compliance with regulatory requirements for intraday liquidity risk management, the available liquidity is calculated daily on
the basis of the outflow assumptions of the regular liquidity stress report (time-to-wall) for RBI AG. In case of limit breaches,
the intraday contingency and escalation process is triggered.
Contingency funding plan
Under difficult liquidity conditions, the units switch to a con tingency process in which they follow predefined liquidity
contingency plans. These contingency plans also constitute an element of the liquidity management framework and are
mandatory for all significant Group units and thus also for RBI AG. The emergency management process is designed so that
the Group can retain a strong liquidity position even in serious crisis situations.
Liquidity position
Funding is founded on a strong deposit base. Funding requirements are regularly updated to take account of balance sheet
developments and to ensure that liquidity ratios are maintained in accordance with management requirements. The ability to
procure funds is precisely monitored and evaluated by Treasury.
In the past year and to date, RBI AG’s excess liquidity was significantly above all regulatory and internal limits (with a few
exceptions in the area of internal sub-limits). The result of the internal time to wall stress test demonstrates that RBI AG would
survive throughout the modelled stress phase of several months even without applying contingency measures.
The results of the going-concern scenario are shown in the following table. It illustrates excess liquidity and the ratio of
expected cash inflows plus the counterbalancing capacity to cash outflows (liquidity ratio) for selected maturities on a
cumulative basis. Based on assumptions employing expert opinions, statistical analyses and country specifics, this calculation
also incorporates estimates of the stability of the customer deposit base, outflows from off-balance sheet items and
downward market movements in relation to positions which influence the liquidity counterbalancing capacity.

in € thousand | 31/12/2023 | 31/12/2022
Maturity | 1 month | 1 year | 1 month | 1 year
Liquidity gap | 10,849,049 | 12,837,604 | 9,791,000 | 6,063,994
Liquidity ratio | 125 % | 115 % | 120 % | 106 %

Liquidity coverage ratio (LCR)
The liquidity coverage ratio (LCR) requires the short-term resilience of banks by ensuring that they have an adequate stock of
unencumbered high-quality liquid assets (HQLA) to meet potential liability run offs that might occur in a crisis, which can be
converted into cash to meet the liquidity needs for a minimum of 30 calendar days in a liquidity stress scenario.
The calculation of the expected cash inflows and outflows of funds and the HQLAs is based on regulatory guidelines. The
regulatory limit for the LCR is 100 per cent.

in € thousand | 31/12/2023 | 31/12/2022
Average liquid assets | 20,480,949 | 26,465,842
Net outflows | 13,404,737 | 17,341,910
Inflows | 9,716,429 | 9,032,834
Outflows | 23,121,167 | 26,374,744
Liquidity Coverage Ratio | 153 % | 153 %

Despite the increased volume of own issuance and the decrease in the loan portfolio, LCR remained unchanged compared to
year-end 2022 as these effects were offset by the repayment of the TLTRO instruments.
304 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Net Stable Funding Ratio (NSFR)
The NSFR is defined as the ratio of available stable funding to required stable funding. Available stable funding is defined as
that portion of equity and debt which is expected to be a reliable source of funds over the time horizon of one year covered by
the NSFR. A bank’s required stable funding depends on the liquidity characteristics and residual maturities of the various assets
held and of off-balance sheet positions.
RBI AG targets a balanced funding position.

in € thousand | 31/12/2023 | 31/12/2022
Required stable funding | 40,558,033 | 41,960,579
Available stable funding | 47,374,467 | 46,603,649
Net Stable Funding Ratio | 117 % | 111 %

The increase of NSFR compared to year-end 2022 was mainly due to increased volume of own issuance and decreased loan
portfolios.
Operational risk
Operational risk is defined as the risk of losses resulting from inadequate or failed internal processes, people and systems or
from external events, including legal risk. In this risk category internal risk drivers such as unauthorized activities, fraud or theft,
conduct-related losses, modelling errors, execution and process errors, or business disruption and system failures are
managed. External factors such as damage to physical assets or fraud are managed and controlled as well.
This risk category is analyzed and managed based on RBI AG’s own historical loss data and the results of risk assessment. As
with other risk types the principle of firewalling of risk management and risk controlling is also applied to operational risk at
RBI AG. To this end, individuals are designated and trained as Operational Risk Managers for each division. Operational Risk
Managers provide central Operational Risk Controlling with reports on risk assessments, loss events, indicators and measures.
They are supported in their work by Dedicated Operational Risk Specialists (DORS).
Operational risk controlling units are responsible for reporting, implementing the framework, developing control measures and
monitoring compliance with requirements. Within the framework of the annual risk management cycle, they also coordinate
the participation of the relevant second line of defense departments (Financial Crime Management, Compliance, Vendor
Management, Outsourcing Management, Insurance Management, Information Security, Physical Security, BCM, Internal Control
System, Technology Risk Management) and all first line of defense contacts (Operational Risk Managers).
Risk identification
Identifying and evaluating risks that might endanger the bank’s existence (but the occurrence of which is highly improbable)
and areas where losses are more likely to arise more frequently (but have only limited impact) are important aspects of
operational risk management.
Operational risk assessment is executed in a structured manner according to risk categories such as business processes and
event types. Moreover, risk assessment applies to new products as well. The impact of high probability/low impact events and
low probability/high impact events is measured over a one-year and a ten-year horizon. Low probability/high impact events
are quantified on the basis of scenarios. The internal risk profile, losses arising and external changes determine which cases
are dealt with in detail. In addition, scenario analyses for focus topics such as ESG, model risks or cyber risks are specified via
the Group.
Monitoring
In order to monitor operational risks, early warning indicators are used that allow prompt identification and minimization of
losses.
Loss data is collected in a central database called Archer (an overall non-financial risk platform) in a structured manner
according to the event type and the business line. In addition to the requirements for internal and external reporting,
information on loss events is exchanged with international data pools to further develop operational risk management tools as
well as to track measures and control effectiveness. Since 2010, RBI AG has been a participant in the ORX data pool
(Operational Risk Data Exchange Association), whose data are currently used for internal benchmark purposes and analyses
and as part of the operational risk model. The ORX data consortium is an association of banks and insurance groups for
statistical purposes. The results of the analyses as well as events resulting from operational risks are reported in a
comprehensive manner to the relevant Operational Risk Management Committee on a regular basis.
Management report 305
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Quantification and mitigation
At the end of 2023, the equity requirement was calculated using the standardized approach.
The economic capital is based on an internal model with the input factors from the external and internal loss events and the
Group-wide scenarios. Risk-based management is carried out with the allocation on the basis of the input factors of the
corresponding units and operating income for stabilization. The implementation of these high qualitative standards has
already been rolled out in broad sections of the Group.
To reduce operational risk, business managers decide on preventive risk reduction actions such as risk mitigation or risk
transfer. The progress and effectiveness of these actions is monitored by Risk Control. The former also define contingency
plans and nominate responsible persons or departments for initiating the defined actions if losses in fact occur. In addition,
several dedicated organizational units provide support to business units for preventing operational risks. An important role in
connection with operational risk activities is taken on by Financial Crime Management and by Technology Risk Management.
Financial Crime Management provides support for the prevention and identification of fraud. Technology Risk Management
has an important role in defining and monitoring IT risks. RBI AG also organizes regular extensive staff training programs and
has a range of contingency plans and back-up systems in place.
Loss data per category of operational risk for RBI AG is distributed across the Basel risk categories as follows, but do not
include any loss events that are already reflected in the credit risk provisions:

in € thousand | 31/12/2023 | Share | 31/12/2022 | Share
Clients, Products and Business Practices | 916,408 | 99.4 % | 512,051 | 99.1 %
External Fraud | 370 | 0.0 % | 1,808 | 0.3 %
Disasters and Public Safety | 4,089 | 0.4 % | 1,546 | 0.3 %
Excecution, Delivery and Process Management | 584 | 0.1 % | 1,136 | 0.2 %
Employment Practices and Workplace Safety | 137 | 0.0 % | 144 | 0.0%
Technology and Infrastructure Failures | 245 | 0.0 % | 1 | 0.0%
Total | 921,833 | 100.0 % | 516,686 | 100.0 %

Number of OpRisk events | 31/12/2023 | Share | 31/12/2022 | Share
Clients, Products and Business Practices | 894 | 24.3 % | 323 | 6.1 %
External Fraud | 2,548 | 69.2 % | 4,670 | 88.7 %
Disasters and Public Safety | 63 | 1.7 % | 12 | 0.2 %
Excecution, Delivery and Process Management | 161 | 4.4 % | 214 | 4.1 %
Employment Practices and Workplace Safety | 7 | 0.2 % | 43 | 0.8 %
Technology and Infrastructure Failures | 8 | 0.2 % | 2 | 0.0 %
Total | 3,681 | 100.0 % | 5,264 | 100.0 %

306 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Internal control and risk
management system in
relation to the accounting
process
Introduction
The establishment and definition of a suitable internal control and risk management system with regard to the accounting
process is extremely significant for RBI AG. The Finance Services Banking department, which is part of Group Accounting and is
located in the CFO unit under the CEO, prepares and coordinates the annual financial statements of RBI AG. The foreign
branches deliver financial statements to the head office. They themselves are responsible for preparing the financial
statements, taking into account the applicable UGB/BWG accounting manual of RBI AG.
The annual financial statements are prepared on the basis of the relevant Austrian laws, above all the Austrian Banking Act
(BWG) and the Austrian Commercial Code (UGB), which deal with the preparation of annual financial statements.
RBI AG’s general ledger is maintained in SAP S4 HANA. The GEBOS core banking system fulfills important sub-ledger functions
such as credit and deposit processing, and clearing, settlement and payment services. Other sub-ledgers exist in addition to
GEBOS, including in particular:
· Wall Street Systems and Murex (Treasury transactions)
· GEOS und GEOS Nostro (securities settlement and nostro securities management)
· VEGA (Certificates and Equity-Trading)
· Clearing, settlement and payment services
· Trade finance (guarantees and letters of credit)
· UBIX (stock exchange traded securities derivatives)
· ARTS/SE4 (Repo and lending business)
· SAP sub-ledgers (accounts receivable/accounts payable/fixed asset accounting)
· FineVare (loan loss provisioning)
· Cognos Controller for preparing the consolidated financial statements of RBI AG including branches
The accounting process can be described as follows:
· Day-to-day accounting
Day-to-day accounting records of business transactions are mainly posted to the respective integrated subledgers. The
relevant accounting data is directly and automatically transferred to the general ledger. In addition, individual postings are
recorded directly in the SAP general ledger.
The SAP general ledger has multi-GAAP functionality, meaning two equivalent general ledgers are maintained in parallel: one in
accordance with UGB/BWG reporting standards and also a parallel ledger in accordance with IFRS. An operational chart of
accounts exists for both of the general ledgers; depending on the respective content, all postings are effected either in both
general ledgers simultaneously or only in one of the two. The parallelism of the entries and existence of the two parallel
general ledgers removes the need for reconciliation from UGB/BWG to IFRS.
· Individual financial statements for RBI head office in accordance with UGB/BWG
The SAP trial balance in accordance with UGB/BWG results from the posting data of the respective subsystems of the banking
operations which is delivered via automated interfaces. In addition, supplementary ledger-specific closing entries are made
directly in SAP. These are independent of the respective subsystems. The sum of all these entries gives the statement of
financial position and the income statement pursuant to UGB/BWG for RBI’s head office excluding branches.
Management report 307
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· Individual financial statements of RBI AG
In a final step, the financial statements of RBI AG in accordance with UGB/BWG are produced. These include head office and
also the branches. Both the branch data and the closing data of head office are provided by automated transfer from the
accounting systems into the IBM Cognos Controller consolidation system. The data are consolidated in this system, on the
basis of which RBI AG’s individual financial statements are prepared.
Control environment
In general, all Group-internal instructions can be retrieved from the Group Internal Law Database. With regard to accounting,
mention should be made above all of the Group Accounts Manual, which contains a description of the following points in
particular:
· Accounting rules for general and special transactions
· Measurement methods
· Required (quantitative) information in the notes
Further guidelines relate solely to RBI AG or only deal with functions within departments. The Corporate Directive Accounting
Guidelines for example apply to the accounting system. These deal with the instruction process for the settlement of purchase
invoices, cost refunds and the management of clearing accounts. Regulations in connection with bookkeeping and accounting
within the framework of the separate financial statements according to the Austrian Commercial Code/Austrian Banking Act
are set out in the UGB/BWG Accounting Manual.
Risk assessment
The assessment of the risk of incorrect financial reporting is based on various criteria taking into account appropriate
escalation mechanisms. Valuations of complex financial instruments may lead to an increased risk of error. In addition, asset
and liability items have to be valued for the preparation of the annual financial statements; in particular the assessment of the
impairment of receivables, securities and participations, which are based on estimates of future developments, gives rise to a
risk.
Control measures
The control measures encompass a wide range of reconciliation processes, notably the reconciliation between the general
ledger in SAP and the sub-ledgers. Besides the four eyes principle, automation-aided controls and monitoring instruments
dependent on risk levels are used, such as the reconciliation between accounting and balance sheet risk management. The
duties assigned to individual positions are documented and updated on an ongoing basis. Particular emphasis is placed on
effective deputizing arrangements to ensure that deadlines are not missed due to the absence of one person. The controls in
the core processes are important for the financial statements process. These primarily involve measurement-related
processes whose results have a significant influence on the financial statements (e.g. loan loss provisioning, derivatives, equity
participations, personnel provisions, market risk).
The Audit Committee of the Supervisory Board considers the annual financial statements and the management report, which
are also approved and adopted by the Supervisory Board in accordance with § 96(4) of the German Stock Corporation Act
(AktG). They are published via the online platform Verlautbarungs- und Informationsplattform (EVI) and filed with the
commercial register.
308 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Information and communication
Information on the accounting treatment of the respective products is regularly exchanged with the specialist departments.
For example, regular monthly meetings take place with the Capital Markets and Treasury departments, in which among other
topics accounting for complex products is addressed. The Accounting team is also represented at regularly scheduled jour-fixe
meetings during the product launch process in order to provide information on the technical aspects of accounting and their
implications for product launches. Regular department events ensure that employees receive ongoing training on changes to
accounting rules under UGB, BWG and IFRS.
As part of the reporting process, the Management Board receives monthly and quarterly reports analyzing the results of RBI
AG. The Supervisory Board is also regularly informed about the results at its meetings.
RBI yearly publishes the annual report. During the year external reports are available quarterly for the consolidated results of
RBI AG. The reporting cycle is quarterly: besides the consolidated financial statements, a semi-annual financial report and
interim quarterly reports for the Group are published. In addition, reports have to be regularly provided to the banking
supervisory authority.
Monitoring
Financial reporting is an important part of the ICS, in which the accounting processes are subject to additional monitoring and
control, the results of which are presented to the Management Board and Supervisory Board. The Audit Committee is also
responsible for monitoring the accounting process. The Management Board is responsible for ongoing company-wide
monitoring. In accordance with the target operating model, three successive lines of defense are in place to meet the
increased requirements for internal control systems.
The first line of defense is formed by the individual departments, where department heads are responsible for monitoring their
business areas. Controls and plausibility checks are conducted on a regular basis within the departments, in accordance with
the documented processes.
The second line of defense is provided by issue-specific specialist areas. These include, for example, Compliance, Data Quality
Governance, Operational Risk Controlling or Security & Business Continuity Management. Their primary aim is to support the
individual departments when carrying out control steps, to validate the actual controls and to introduce state-of-the-art
practices within the organization.
Internal audits are the third line of defense in the monitoring process. Responsibility for auditing lies with Group Internal Audit
at RBI AG. All internal auditing activities are subject to the Group Audit standards, which are based on the Austrian Financial
Market Authority’s minimum internal auditing requirements and international best practices. Group Audit’s internal rules are
additionally applicable (notably the Audit Charter). Group Audit regularly and independently verifies compliance with the
internal rules within the RBI Group units. The head of Group Internal Audit reports directly to the Management Board.
Management report 309
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
· O utlook
Economic outlook
After a year of stagnating economic growth, the economy is expected to return to a moderate growth trajectory in 2024.
However, the economic upturn will probably only be moderate given the continuing high interest rates. The economy is
expected to be supported by private consumption, which is benefiting from rebounding real wages. The industrial sector
should exit its recessionary environment in the course of 2024. Significant increases in the price of fossil fuels due to military
developments are a risk factor but not expected. A quick end to the war in Ukraine currently seems improbable. However,
absent a further substantial military escalation, the war seems unlikely to have any additional negative implications for the
economy in the euro area or the CE/SEE countries. Inflation will continue to fall in 2024 but not at the same pace as in 2023. The
US Federal Reserve and the ECB are nevertheless likely to embark on a series of interest rate cuts over the course of the year,
although they will proceed cautiously. Interest rates will therefore be significantly higher in 2024 than in previous years. One
potential risk is that individual sectors of the financial system will struggle to cope with persistently higher interest rates.
Central Europe
Real wages in Central Europe (CE) are expected to rise as inflation continues to fall in 2024 despite a temporary increase in
inflation due to the expiration of inflation-dampening measures. This should in turn help revive consumer demand, which
should receive additional support from falling interest rates. Economic growth in the region is thus expected to be significantly
higher in 2024 as a whole (2.7 per cent) than in the previous year (0.1 per cent). The top growth drivers are forecast to be
Hungary (3.0 per cent), not least due to investments in the automotive and battery industry and the creation of new production
capacity, and Poland (3.1 per cent). Poland is likely to receive a boost from NGEU funds as a result of the election and should
receive economic tailwinds from the recovery of Germany’s industrial sector.
Southeastern Europe
Alongside resurgent consumer demand across Europe, Southeastern Europe (SEE), especially the Western Balkans, will benefit
from the EU’s recently unveiled growth plan for the Western Balkans. GDP growth is expected to accelerate to 2.8 per cent in
2024 in this environment. Together with existing cash inflows from NGEU funds and the financial framework as well as the
effects of nearshoring/friendshoring, the region should be able to benefit from its locational advantages (low labor costs and
geographic location). The Western Balkan countries of Albania (3.5 per cent) and Kosovo (3.9 per cent) are predicted to have the
highest economic growth in 2024.
Eastern Europe
In Eastern Europe, growth will once again be the strongest in Ukraine, where GDP is forecast to increase 4.9 per cent in 2024,
driven by strong growth in private consumption and investment. Rising exports and inflows of external funds should support
the economy as well. The Russian economy should record positive GDP growth in 2024 (1.5 per cent) despite the sanctions,
military mobilization, unfavorable investment environment and economic isolation. However, its monetary policy has
temporarily tightened in response to increasing inflationary pressure, some of which was prompted by the depreciation of the
Russian ruble. In Belarus, limited domestic resources, growing competition from Chinese companies in the Russian market,
ongoing EU/US sanctions and base effects will slow GDP growth in 2024 (2.0 per cent).
Austria
Following the 2023 recession, the Austrian economy is likely to return to a moderate growth trajectory in the first half of 2024.
Real wage growth is expected to be clearly positive in 2024, which should support private consumption. Industrial companies
should be finished with reducing their overflowing inventories by the spring, which should have a positive impact on new orders
and ultimately on industrial production. However, the upturn is expected to be only moderate, with GDP growth of just 0.2 per
cent expected for 2024 as a whole. Inflation will continue to drop in 2024, albeit at a much slower pace. Still, the inflation
differential to the euro area is likely to be noticeably lower in 2024 than in 2023.
Banking sector in Austria
2023 was affected by regulatory decisions made in 2022 on mortgage lending standards for households and by the dramatic
change in interest rates precipitated by the shift in the ECB’s interest rate stance. Following the change in the ECB’s interest
rates, lending to both private households and companies is expected to remain significantly subdued in 2024. This is mirrored in
the growth forecasts for the entire Austrian economy, which assume only a moderate upturn. Given the interest rate structure
310 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
of outstanding retail and corporate loans, which contain a significant proportion of variable-rate-only loans, risks costs are
expected to increase moderately in 2024 since higher interest rates will likely adversely affect both private households and
companies. The steep increases in net interest income that the banking sector posted in 2022 and 2023 should begin to
normalize in 2024. This is attributable to a progressive tightening of deposit conditions in the sector, especially for demand
deposits, thereby exerting greater pressure on interest margins. Capital market refinancing costs also remain higher due to the
changed interest rate environment across all bond classes. Nevertheless, the Austrian banking sector feels fundamentally well
positioned to master the challenges ahead.
CEE banking sector
The upcoming monetary easing in CE/SEE core markets that fall outside the euro area will weigh on earnings for banks in the
region. In contrast, the relative delay in the ECB cycle should continue to support interest margins for economies that are
located in the euro area and tied to the euro. The weak economy could ultimately raise the risks to asset quality and
moderately increase loan loss provisions, which the core earnings capacity should still be able to accommodate. On the cost
side, special taxation and selected policy support programs for borrowers will likely remain in place (albeit probably in a
weakened form), while EU-based banks will have to start refinancing MREL bonds. Regarding lending, the ongoing economic
uncertainty may continue to discourage lending to the corporate sector while the retail market could bounce back faster.
However, this will require an easing of financial conditions and a further recovery in real wages. On the regulatory front, ESG
will remain high on the agenda and will see further implementation in the regulatory framework, with EU regulators setting the
tone for the entire CEE region.
RBI AG’s outlook for 2024
The outlook assumes that interest rates for the main currency, the euro, will decline slightly starting in 2024. We also expect
USD interest rates to fall slightly by the end of 2024. Interest rates are expected to decrease further in the coming years.
The eurozone economy is expected to grow 1.5 per cent in 2024, with Austria growing at a slightly slower rate of 1.4 per cent. A
similar economic situation is expected for 2025 and 2026. In addition, inflation is forecast to start falling in 2024 after having
peaked in 2022 and 2023.
We expect net interest income to trend downward. Margins on customer deposits benefited from the rapid rise in EUR and USD
interest rates in 2023. Deposit rates are expected to be adjusted due to market developments in 2024, which will reduce this
positive effect. In addition, higher risk premiums for new issues have a negative impact on net interest income.
The average customer loan volume is expected to remain stable or increase slightly. Commission business is expected to
decline in 2024 after booking exceptionally high income in the cross-border Russia business from payment transaction
commissions and exchange differences in 2022 and 2023. Except for Russia, earnings in core markets and core products are
expected to trend upward with support from the implementation of the AT 2025 strategy.
In terms of operating expenses, we expect staff expenses to rise due to inflation. We are planning for non-staff expenses to
increase at the average of the inflation rate in 2023 and the forecast inflation in 2024.
The risk costs are based on expected loss levels, macroeconomic assumptions and risk model forecasts. The sanctions and
compliance risk for Russia is closely monitored for all transactions. The volume of cross-border Russia business is expected to
continue to decrease.
Management report 311
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
RBI has decided to acquire shares in STRABAG SE
In December 2023 RBI has taken a decision to acquire 28,500,000 shares in STRABAG SE, representing 27.78 per cent of
outstanding shares, via its Russian subsidiary AO Raiffeisenbank from Russian based MKAO Rasperia Trading Limited for a cash
consideration of € 1,510 million (including dividend entitlements for 2021 and 2022). Closing of the acquisition is subject to
various conditions precedent including satisfactory completion of the sanctions compliance due diligence by RBI, regulatory
approvals, and merger clearance.
Upon the successful closing of the acquisition, AO Raiffeisenbank intends to transfer the shares in STRABAG SE to RBI by issuing
a dividend in kind. The approval of the dividend in kind by the competent Russian authorities is also a condition precedent for
the acquisition of the shares in STRABAG SE by AO Raiffeisenbank.
The acquisition of the shares in STRABAG SE and distribution of the dividend in kind, subject to regulatory approvals and
satisfaction of other conditions precedent, are expected to close in the first quarter of 2024. After closing, RBI will retain the
shares in STRABAG SE as a long-term equity participation which will be contributed to and managed by its fully consolidated
subsidiary GABARTS Beteiligungs GmbH & Co KG.
With this transaction, RBI further reduces its exposure to Russia.
Russia and Belarus
In 2023, RBI continued to work on a spin-off or sale of AO Raiffeisenbank. Both alternatives require numerous approvals from
various Russian and European authorities, and from the respective central banks. In the meantime, business activities in Russia
will be further reduced.
RBI continues to assess strategic options for the future of Priorbank in Belarus.
312 Management report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Statement of the
board of Management
pursuant to § 82 (4) Z 3
Austrian Stock
Exchange Act
We confirm to the best of our knowledge that the financial statement give a true and fair view of the assets, liabilities, finan-
cial positions and profit or loss of the company as required by the applicable accounting standards and that the management
report gives a true and fair view of the development and performance of the business and the position of the company, to-
gether with a description of the principal risks and uncertainties the company faces.
Qualified electronically signed by:
Vienna, 12 February 2024
The Management Board

Johann Strobl m.p. | Marie-Valerie Brunner m.p.
Andreas Gschwenter m.p. | Łukasz Januszewski m.p.
Hannes Mösenbacher m.p. | Andrii Stepanenko m.p.

Statement of the board of Management pursuant to § 82 (4) Z 3 Austrian Stock Exchange Act 313
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
Independent Auditor’s
Report
Report on the Audit of the Annual Financial Statements
Opi nion
We have audited the annual financial statements of Raiffeisen Bank International AG, Vienna, which comprise the statement of
financial position as at 31 December 2023, the income statement, and notes to the consolidated financial statements.
In our opinion, the accompanying financial statements comply with legal requirements and give a true and fair view of the
financial position of the company as at 31 December 2023, and of its financial performance and for the year then ended in
accordance with Austrian Generally Accepted Accounting Principles and the Austrian Banking Act.
Basis for Opinion
We conducted our audit in accordance with the Regulation (EU) No. 537/2014 and the Austrian Standards on Auditing. Those
standards require the application of the International Standards on Auditing (ISAs). Our responsibilities under those standards
are further described in the Auditors' Responsibilities for the Audit of the Financial Statements section of our report. We are
independent of the Company in accordance with laws and regulations applicable in Austria and we have fulfilled our other
professional responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial
statements of the current period. These matters were addressed in the context of our audit of the financial statements in a
whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
1. Recoverability of loans and advances to customers
2. Recoverability of shares in affiliated undertakings
3. Adequacy of provision for foreign currency loans in the branch in Poland
1. Recoverability of loans and advances to customers
Description and Issue
Loans and advances to customers are reported with an amount of EUR 27,7 billion after deduction of valuation allowances.
They mostly are loans and advances to Austrian and international non-financial corporations and to a lower extent retail
customers in the Polish branch.
The Bank describes the process for monitoring credit risk and the procedure for determining credit losses in the section
“Recognition and Measurement Principles” of the notes to the financial statements and in the “Credit Risk” section of the Risk
Report in the Management Report.
Calculations of credit losses for defaulted loans to corporates are based on losses determined for various weighted scenarios.
These are determined by the assessment of the economic situation and development of the respective customer, the
valuation of collateral, and the estimate of the amount and timing of the recoveries derived from these.
Specific loan loss provisions for retail customers and expected credit losses for loans and advances for which no default has
been identified are based on models with statistical assumptions such as rating-based probability of default, which are used
314 Independent Auditor’s Report
· Raiffeisen Bank International | Member of RBI Group | Financial Year 2023
to estimate the expected credit loss. The Bank uses the methodology of IFRS 9 to determine expected credit losses (12 months
expected credit loss or, in the case of a significant increase in credit risk since initial recognition – lifetime expected credit loss).
Post model adjustments and other adjustments are made when input parameter, assumptions and modeling do not cover all
relevant risks.
The calculation of the expected credit losses on loans and advances to customers is an estimate that is based on assumptions
about future developments to a considerable extent. The expected credit loss depends on the selection of the data, the key
assumptions, statistical and mathematical models and the correct execution of the calculation steps. We have therefore
identified the recoverability of loans to customers as a key audit matter.
Our response
In testing expected credit losses for loans and advances to customers, we performed the following significant audit
procedures:
• We assessed the methodologies used to determine expected credit losses and their compliance with the Austrian
Generally Accepted Accounting Principles and those of the Banking Act.
• We analyzed the documentation of the processes of monitoring loans and risk provisioning, and critically assessed
whether these processes are suitable for identifying loan losses and adequately reflecting the recoverability of
exposures. We also assessed the processes and tested key controls regarding their design and implementation,
including the relevant IT systems, and tested their effectiveness on a sample basis.
• By performing analytical audit procedures, we examined changes of loans and advances with regard to the main
characteristics relevant for the categorisation of the loans, such as quality, type of supervision, rating and level
allocation as well as the development of risk provisions at customer and portfolio level throughout the year and in
comparison with the previous year.
• We tested individual exposures selected on the basis of a sample determined according to selected risk criteria: For
defaulted loans, we assessed the Bank's estimates of the amount and timing of recoveries, taking into account
collateral, and examined whether the assumptions used in the calculation were appropriate and derived from
internal or external evidence. For non-defaulted loans, we examined whether indicators of default exist.
• In order to assess the appropriateness of the expected credit losses for non-defaulted loans, we examined the
plausibility of assumptions and the statistical/mathematical appropriateness of the models used, as well as the
proper application of the models, with the assistance of specialists. In particular, we examined the assumptions in
connection with forward-looking information and post-model adjustments. Furthermore, we examined the
appropriateness of the assumptions “probability of default”, “loss given default” and the staging model, taking into
account the results of the bank's internal validations, and reperformed selected calculation steps. In addition, IT
specialists tested the effectiveness of key automated controls of the IT systems relevant for these calculations.
• Finally, we assessed whether the disclosures in the notes to the financial statements regarding the calculation of
expected credit losses and the significant assumptions and estimation uncertainties are appropriate.
2. Recoverability of shares in affiliated undertakings
Description and Issue
Shares in affiliated undertakings represent a significant balance sheet item at Raiffeisen Bank International AG with a total
amount of approximately EUR 10.3 billion. The Bank holds interests, mostly through holding companies, in particular in domestic
and foreign credit institutions as well as in finance and project companies.
The Management Board describes the procedures for impairment testing for shares in affiliated undertakings in the section
”Recognition and Measurement Principles” in the notes as well as in the section “Participation risk” of the Risk Report in the
management report.
The Bank reviews whether there are triggers for an impairment or whether a reversal of a previous impairment is required.
Partly internal and partly external valuations are used to determine the recoverable amount. The valuations are based on
assumptions and estimates regarding future business development and resulting returns to owners, especially in the form of
dividends. The expected business performance is usually based on the budgeted figures approved by the corporate bodies of
the respective companies. The discount rates used are derived from the financial and capital markets.
The parameter used in these calculations are based on assumptions that are subject to a high degree of uncertainty. Changes
in these assumptions may lead to significantly different results. Due to the sensitivity of the valuation results and the high
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degree of discretion in the assumptions, we have identified the valuation of shares of affiliated undertakings as a key audit
matter.
Our response
In auditing the valuation of shares in affiliated undertakings, we performed the following key audit procedures:
• We analyzed the documentation of the processes for monitoring and valuation of shares in affiliated undertakings
and critically assessed whether these processes are suitable for identifying necessary impairments or reversals of
impairments and appropriately reflecting the recoverability of the shares.
• We reviewed the valuation models used, and – based on risk-based samples - the key planning assumptions and the
valuation parameter with the involvement of our valuation specialists. We evaluated the planning and valuation
parameters for selected valuations, based on external market data and historical data. We assessed the
appropriateness of the interest rate parameters by comparing them with market- and industry-specific benchmarks
and compared the cash flows used in the valuation model with the approved plans. The mathematical correctness
of the valuations was verified on a sample basis.
• Finally, we assessed whether the disclosures in the notes to the financial statements on the determination of an
impairment of shares in affiliated undertakings are appropriate.
3. Adequacy of provision for foreign currency loans in the branch in Poland
Description and Issue
As at 31 December 2023, the Bank has recorded provisions (partly a provision, partly a deduction from carrying value) in
connection with foreign currency loans in the branch in Poland in the amount of EUR 1,652 million.
The Bank describes the legal risks, the procedure for determining the provisions and related uncertainties in the chapter
“Litigation risk for foreign currency loans in Poland” of the notes to the financial statements.
Due to the lack of clear answers by the competent courts, including the supreme courts, and the necessary assumptions about
the future behavior of borrowers and former borrowers, there are considerable estimation uncertainties and scope for
judgement in determining provision. Thus, we have determined the adequacy of the provision for foreign currency loans of the
branch in Poland to be a key audit matter.
Our Response
In particular, we performed the following audit procedures in testing the adequacy of the “provision”:
• We assessed the Bank's processes and controls for determining the “provision”, including the key controls applied,
and their suitability for ensuring the determination of an appropriate “provision”.
• We verified the plausibility and critically assessed the Bank's method for determining the “provision”, including the
derivation of the underlying assumptions and their appropriateness.
• We verified the mathematical accuracy of the Bank's calculations.
• We obtained information from the lawyers engaged by the Bank for this subject matter and critically assessed this
information.
• We have reviewed the current case law with regard to foreign currency loans and have assessed its consideration
for the calculation of the provision.
• We reviewed the disclosure of the risks in the notes to the financial statements for appropriateness.
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Other Information
The legal representatives are responsible for the other information. The other information comprises all information in the
Annual Financial Report, except for the annual financial statements, the management report, the consolidated financial
statements, the group management report and the related auditor's reports.
Our audit opinion on the financial statements does not cover the other information, and we do not express any form of
assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other
information mentioned above and assess whether it is materially inconsistent with the financial statements or our knowledge
obtained in the audit, or otherwise appears misleading.
If, based on the work we have performed on the other information obtained prior to the date of this auditor’s report, we
conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing
to report in this regard.
Responsibilities of Management and the Audit Committee for the Financial Statements
Management is responsible for the preparation of the financial statements that give a true and fair view of the financial
position of the Company and of its financial performance for the year then ended in accordance with Austrian Generally
Accepted Accounting Principles and the Austrian Banking Act, and for such internal control as management determines is
necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud
or error.
In preparing the financial statements, management is responsible for assessing the Company’s ability to continue as a going
concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless
management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
The audit committee is responsible for overseeing the Company’s financial reporting process.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance
is a high level of assurance but is not a guarantee that an audit conducted in accordance with EU rules and Austrian Generally
Accepted Auditing Standards, which require the application of the ISAs, will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with Regulation (EU) 537/2014 and with Austrian Generally Accepted Auditing Standards,
which require the application of the ISAs, we exercise professional judgement and maintain professional skepticism throughout
the audit.
We also:
• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error,
design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and
appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from
fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
Company’s internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and
related disclosures made by management.
• Conclude on the appropriateness of the directors' use of the going concern basis of accounting and based on the
audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast
significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty
exists, we are required to draw attention in our auditors' report to the related disclosures in the financial statements
or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence
obtained up to the date of our auditors' report. However, future events or conditions may cause the Company to
cease to continue as a going concern.
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• Evaluate the overall presentation, structure, and content of the financial statements, including the disclosures, and
whether the financial statements represent the underlying transactions and events in a manner that give a true and
fair view.
We communicate with the audit committee regarding, among other matters, the planned scope and timing of the audit and
significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide the audit committee with a statement that we have complied with relevant ethical requirements regarding
independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on
our independence, and where relevant, actions taken to eliminate hazards or safeguards applied.
From the matters communicated with the audit committee, we determine those matters that were of most significance in the
audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in
our auditors' report unless law or regulation precludes public disclosure about the matter or when, in extremely rare
circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of
doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Report on the Management Report
Pursuant to Austrian Commercial Code, the management report is to be audited as to whether it is consistent with the
financial statements and whether it has been prepared in accordance with the applicable legal requirements.
Management is responsible for the preparation of the management report in accordance with the Austrian Commercial Code.
We conducted our audit in accordance with laws and regulations applicable with respect to the management report.
Opinion
In our opinion, the management report attached is prepared in accordance with the applicable legal requirements, the
disclosures pursuant to section 243a UGB are appropriate, and it is consistent with the financial statements.
Statement
Based on the findings during the audit of the financial statements and due to the thus obtained understanding concerning the
Company and its circumstances no material misstatements in the management report came to our attention.
Additional Information in Accordance with Article 10 of EU Regulation (EU)
537/2014
We were elected as auditor of the Company at the annual general shareholders' meeting on 31 March 2022 for the fiscal year
ending on 31 December 2023 and mandated by the chairman of the Supervisory Board on 31 March 2022. Furthermore, we were
elected as auditor at the annual general shareholders' meeting on 30 March 2023 for the subsequent fiscal year and mandated
by the chairman of the Supervisory Board on 31 March 2023. We are the auditor of the Company since the financial year ending
31 December 2021.
We confirm that the audit opinion in the section "Report on the Financial Statements" is consistent with the additional report to
the audit committee referred to in article 11 of the EU regulation.
We declare that no prohibited non-audit services (article 5 par. 1 of the EU regulation) were provided by us and that we
remained independent from the Company in conducting the audit.
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Engagement Partner
The engagement partner responsible for the audit is Peter Bitzyk.
Qualified electronically signed by:
Vienna, 13 February 2024

Deloitte Audit Wirtschaftsprüfungs GmbH
Peter Bitzyk
Certified Public Accountant

Publication or sharing with third parties of the financial statements together with our auditors' opinion is only allowed if the
financial statements and the management report are identical with the audited version. This audit opinion is only applicable to
the German and complete financial statements with the management report. Section 281 para 2 UGB applies to alternated
versions.
This translation is for convenience purposes only. Only the German original is legally valid and binding.
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