Company: ADZCF
Filing Date: 2025-03-13
Form Type: 20-F
Source: 0001159508-25-000020
Chunk: 79

Company: DEUTSCHE BANK AKTIENGESELLSCHAFT
Filing Date: 2025-03-13
Form: 20-F
Chunk 79
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8% in 2025. As a result, the Federal Reserve is unlikely to cut key interest rates further, which could limit growth. The Japanese economy is expected to recover, driven by domestic demand. GDP growth is projected at 1.3%. Not least because of wage growth, inflation is expected to stay elevated at 2.9%. The Bank of Japan is expected to maintain its cautious approach to raising key interest rates. Slightly lower growth rates in major economies are likely to result in somewhat less momentum in Asia overall. While domestic demand in the countries concerned is recovering, external economic impulses are likely to weaken. The Chinese economy is expected to expand robustly at 4.8%, driven by domestic demand supported by further fiscal policy measures. This should also further stabilize the real estate sector. As a result of tariff increases, particularly by the US, Chinese exports are likely to weaken, thus limiting growth momentum. Inflation is expected to accelerate to 0.7%. There are a number of risks to the bank’s global economic outlook. Geopolitical risks remain elevated in Ukraine and in the Middle East. A major multidimensional source of economic policy uncertainty is the possibility of additional tariffs and which countries introduce them. This concerns both the absolute level, the timing of implementation, and the scope of goods affected. Competitor landscape Against this backdrop, Deutsche Bank competes in the financial services sector with a wide variety of competitors including other universal banks, commercial banks, savings banks and other public sector banks, broker dealers, investment banking firms, asset management firms, private banks, investment advisors, payments services providers, financial technology firms and insurance companies. Some of the competitors are global like Deutsche Bank, while others have a regional, product or niche client footprint. Deutsche Bank competes on a number of factors, including the quality of client relationships, transaction execution, products and services, innovation, reputation and price.

| 49 |

| Deutsche Bank                   |
| Annual Report 2024 on Form 20-F |

In 2024, the European banking industry continued to benefit from an elevated interest rate environment. Even though net interest income increased from its strong prior-year level, growth momentum slowed considerably compared to 2023. At the same time, administrative expenses expanded at a similar pace. Asset quality overall remained strong, with a deterioration in Germany while largely robust in Southern Europe, leading to moderately higher credit risk provisions at still low levels. Post-tax profits climbed to another all-time high. As in 2023, loan volumes with the private sector in