Landesbank Hessen-Thüringen

Landesbank Hessen-Thüringen (Helaba) is a German Landesbank, a type of state-owned regional bank. It serves as a central bank for savings banks in the states of Hesse and Thuringia. Helaba is currently newsworthy due to a recent decline in profits after three record years. In 2025, the bank experienced a 4.8% decrease in gross profit, falling to 731 million euros. This decline is attributed, in part, to challenges within its real estate credit portfolio. Nearly ten percent of Helaba's real estate loans are considered at risk. While the bank's risk manager asserts that they have addressed the issues within the portfolio and anticipate a decrease in risk provisions, Helaba still projects a further profit decline. This situation is significant as it highlights the broader challenges facing German banks in navigating the current economic climate and managing risks associated with real estate lending.