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Good growth for National Commercial Bank of Albania (table)
National Commercial Bank of Albania (BKT) announced financial results for FY
2005 presenting total assets growth of 14.65%, and a net profit growth of 64.54%.
by 44.5% to USD 125.5 million.
“We
are interested at reaching a loan/customer deposits ratio of 30%”, declared Seyhan
Pencapligil, general director of BKT during an event last October celebrating
the tenth anniversary of the bank. “But this is hard to be achieved because deposits
are also growing fast” said he.
BKT’s deposit interest rates strategy (lower rates offered
for time deposits in LEK compared to other banks) is in many ways conditioned
by the T-bills rate which are denominated in LEK.
T-bills investments comprise around 36.3% of total assets for
the banking industry in Albania
and about 60% of all time deposits, according to data from Bank of Albania’s
three quarters report ending on 30 September 2005.
Decrease of government borrowing during this year caused a
historical fall in T-bills interest rates in Albania. The T-bills interest rate
had then a domino-effect with interest rate cuts for time deposits offered by
all commercial banks as a result.
| Financial highlights for BKT FY 2005 compared to 2004 |
|||
| In USD |
2005 | 2004 | Y-o-Y in % |
| Total assets |
590,216,995 | 503747823 | 14.65 |
| of which | |||
| Loans | 125,542,176 | 69,724,672 | 44.5 |
| Liabilities | 557,583,941 | 478,468,311 | 14.19 |
| of which | |||
| Customer deposits |
551,131,662 | 472,221,104 | 14.32 |
| Shareholder’s equity |
32,633,054 | 25,279,612 | 22.53 |
| From which |
|||
| Share capital |
24,644,250 | 14,644,250 | 40.58 |
| Revenues & Expenditures | |||
| Interest income | 35,638,812 | 28,769,813 | 23.88 |
| Interest expense | -16,037,638 | -15,419,531 | 4.01 |
| Net interest margin |
19,601,174 | 13,350,282 | 46.82 |
| Total non-interest income, net | 3,598,571 | 2,673,123 | 34.62 |
| Total operating expenses | -11,844,484 | -8,629,765 | 37.26 |
| Profit before taxes | 10,960,432 | 7,050,134 | 55.46 |
| Net profit for the year | 8,395,549 | 5,102,481 | 64.54 |
| Source: BKT |
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