The NDB Group said this week that overall profits grew by 30% in the first quarter of 2009 over the corresponding period in 2008.
Post-tax profit rose by 20% in the same period, the bank said adding, “the commendable performance comes in the wake of the challenging global and local economic environment.”
During the first quarter of 2009 NDB Bank was also able to strengthen its liquidity position through an increase in customer deposits by 8% over 31 December 2008 and by gaining additional credit lines from multi-lateral agencies.
The statement said that the bank’s stringent policies in maintaining the quality of its loan book, the ratio of Non Performing Loans (NPLs) to the gross lending portfolio remained unchanged at 2.6%.
Other income, which consists of fee based income, forex profits and gains from the trading portfolio of government securities also increased by 18% in the first quarter of 2009.
“By adopting effective cost reduction methods during the year in the wake of challenging economic conditions, NDB Bank recorded only a marginal increase of 8% in overheads, compared to the first quarter of 2008. NDB Bank’s cost income ratio excluding exceptional items was 42% for the period and this ratio is one of the lowest amongst the local banking industry,” the statement added. |
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