BNP Paribas profit falls, expands in Germany

Wednesday, 31 Jul 2013 | 1:19 AM ET
Michel Gangne | AFP | Getty Images

French banking group BNP Paribas said on Wednesday it was expanding its business in Germany, hiring 500 people over the next three years in a country it considers key to growth in Europe.

The group is targeting about 1.1 million clients and 1 percent market share in individuals' deposits in Germany by 2017 via its new "Hello Bank" online banking brand.

The group posted a 4.7 percent drop in second quarter net profit to 1.76 billion euros ($2.33 billion), above analysts' expectations of 1.6 billion euros forecast in a Reuters poll.

Jean-Laurent Bonnafe, chief executive of BNP Paribas, told CNBC the results were "satisfactory."

(Read more: BNP Paribas CEO 'satisfied' after 45% profit drop)

The result was achieved thanks to resilient revenues in Europe and the ongoing improvement of operating efficiency, BNP said.

Banking union is essential: BNP Paribas CEO
Jean-Laurent Bonnafe, CEO of BNP Paribas, tells CNBC that banking union is essential and serious and must be done progressively.
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