Best bank 2025: Arion Bank
Arion Bank, lauded for its comprehensive influence on Iceland’s banking landscape, solidifies its place as the premier bank in the country with a combination of innovative digital prowess, strategic success and strong financial performance.
As a leading entity in digital banking, Arion Bank has maintained the top-ranked spot with its robust banking app for eight consecutive years, showcasing its leadership in digital solutions.
This technological expertise is complemented by a diverse offering through its subsidiaries, including Stefnir in fund management and Vörður in insurance, bolstering its comprehensive service delivery.
The bank’s strategic accomplishments reflect a finely tuned execution of its business strategy, encompassing effective collaborations across the Arion Group to deliver multifaceted financial solutions. Financially, Arion Bank achieved an impressive return on equity at 13.2%, aligning closely with its target of 13%. Vörður, specifically, notched a revenue growth of 10.6%, which exceeds Iceland’s market growth rate of 8.6%. Moreover, the cost-to-core income ratio was maintained at 47.2%, demonstrating diligence in achieving cost efficiency.
Arion’s market prowess is further demonstrated through its commanding presence in equities and bonds trading on Nasdaq Iceland. The bank achieved the highest market share in equities trading for the ninth consecutive year, with a turnover of IKr792 billion ($6.5 billion), amounting to a 31.7% market share.
In bonds, it secured the largest market share with IKr794 billion turnover, representing 21.4% of the market. Financially, Arion’s total revenue saw a significant year-on-year increase, with net income climbing from IKr25,737 million in 2023 to IKr26,112 million in 2024.
