Several of Germany’s biggest public sector banks are likely to reveal steep rises in loan loss provisions this week even as optimism grows that the country is pulling out of its economic crisis.

BayernLB and Landesbank BadenWürttemberg, Germany’s largest regionally-owned Landesbanken, have shown improvements this year compared with 2008, when annual losses reached €5.4bn ($7.7bn) and €2.1bn, respectively.