20 Oct 2021
Dubai’s Largest Bank, Emirates NBD Reports Asset Quality and Earnings
The Index Today
Dubai’s largest bank, Emirates NBD has recently reported a decline in impairment charges along with rising earnings despite asset quality remaining the same.
The bank’s profit increased by 29% this year whereas impairment charges declined by 42%. On the other hand, non-performing loans steadied at 6.2%, the same number reported last year. The country has opened doors to the world with its $7 billion Expo this month after being delayed for a year.
Emirates NBD reported a drop of 106 basis points for cost of risk, new-loan provisions to total loans for the month of September. Chief Financial Officer Patrick Sullivan said, “The balance sheet remains rock solid with a further improvement in capital, liquidity and credit quality.”
The country’s central bank is gradually rolling in its economic support plan which was launched earlier to counter the pandemic. It is expected that the loan deferral plan will expire by the end of the current year. The bank has announced plans to begin its international expansion with new branches located in Saudi Arabia.
According to reports, Emirates NBD reflected total income of 18.3 billion dirhams, impairments of 6.4 billion dirhams and total assets stable at 699 billion dirhams.