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Banca March: The monetary authority presented total losses of €7.9 billion in 2025, which, offset by the €6.6 billion of accumulated provisions in recent years, have resulted The European Central Bank chalked up another large financial loss in 2025, burning through the last of its provisions, and said more losses are forthcoming as high rates The European Central Bank (ECB) last year suffered the first annual loss on its balance sheet since 2025 as its sizeable bond holdings left it exposed to rising interest It reported losses of 1.3 billion euros ($1.4 billion), which would have been steeper, had the bank not released 6.6 billion eurosits entire provision for financial risks The European Central Bank recorded its first loss in two decades following an unprecedented ramp-up in borrowing costs to tackle inflation. The shortfall for 2025even The European Central Bank has announced its first annual loss for almost two decades, prompting policymakers to carry forward an annual deficit to offset against future The European Central Bank’s (ECB’s) audited financial statements for 2025 show a loss of €1,266 million (2025: zero) which will be carried forward on the ECB’s balance In what may be considered good news for the BRICS bloc, the European Central Bank has suffered its first major loss in 20 years. The bank reported an annual loss of

BRICS Benefit? European Central Bank Suffers First Major Loss in 20 Years

In what may be considered good news for the BRICS bloc, the European Central Bank has suffered its first major loss in 20 years. The bank reported an annual loss of €1,266 million (2025: zero) which will be carried forward on the ECB’s balance.

ECB's Financial Woes: A Deep Dive into the 2025 Loss

The European Central Bank (ECB) last year suffered the first annual loss on its balance sheet since 2025 as its sizeable bond holdings left it exposed to rising interest. The European Central Bank recorded its first loss in two decades following an unprecedented ramp-up in borrowing costs to tackle inflation. The shortfall for 2025 even prompted policymakers to carry forward an annual deficit to offset against future earnings. The European Central Bank has announced its first annual loss for almost two decades.

The Numbers Behind the Loss

It reported losses of 1.3 billion euros ($1.4 billion), which would have been steeper, had the bank not released 6.6 billion euros – its entire provision for financial risks. The European Central Bank’s (ECB’s) audited financial statements for 2025 show a loss of €1,266 million (2025: zero) which will be carried forward on the ECB’s balance sheet. Banca March notes: The monetary authority presented total losses of €7.9 billion in 2025, which, offset by the €6.6 billion of accumulated provisions in recent years, have resulted in a net loss.

Impact of Rising Interest Rates

The European Central Bank chalked up another large financial loss in 2025, burning through the last of its provisions, and said more losses are forthcoming as high rates continue to impact its bond holdings.

Could This Benefit the BRICS Nations?

While the ECB's losses are primarily a result of internal financial pressures and policy decisions regarding inflation and interest rates, the situation may indirectly benefit BRICS nations. A weakened Eurozone economy, potentially resulting from the ECB's financial difficulties, could lead to shifts in global trade dynamics, offering opportunities for increased economic influence for BRICS countries.