Albanian branch of Alpha Bank declares profit fall for FY 2004

Tirana, March 15 (AENews) – Albanian branch of Alpha Bank declared net profit had fallen to EUR3.1 million for FY 2004 from EUR3.88 million during FY 2003, according to bank officials reporting on highlights of the balance sheet after the 2004 audit.

Meanwhile, the Tirana branch of the Bank saw an increase of assets and a little slow down of credit portfolio.

Assets reached EUR225 million at the end of 2004, a 7.1 % increase compared to 2003. Credit portfolio of the bank also saw a slight fall to EUR81 million from 90 million recorded at the end of 2003.

The credit portfolio fall is linked to the fact that during 2003 the bank accomplished two important business deals, a US$30 million loan to Vodafone Albania and a US$8 million loan for the local beer producer Birra Tirana. Both loans were guaranteed by Alpha Bank of Greece due to loan limits set in place by the Bank of Albania, which to diversify the risk prohibits banks from allocating more than 15 % of their capital to a single loan. Total deposits grew by EUR144 million compared to the same period, with constituted a 20-30 % annual growth.

Bank managers foresee a credit portfolio increase during 2004 with EUR40 million, or about 50 % more, with a greater focus on consumer loans.

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Posted by admin on Mar 15 2005. Filed under Business. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry