The bank will maintain solid earnings generation thanks to the prevailing high interest rates, and despite the weaker economic growth and inflation that will affect its main countries of operation. Net interest income may peak in 2023, but will remain strong and continue to support revenues over the next two years. The gradual recovery of fees and continuous cost-containment initiatives will also contribute to sound pre-provision profitability. While UniCredit's cost-to-income reached a low 39.6% at June 2023, we expect that it will hover around 40%-45% over the next two years. We factor in credit losses at about 40 basis points (bps), a more prudent level than the guidance provided by the bank (less than 25 bp). Revenue growth, stronger efficiency,
