Stanchart Botswana delivers double digit growth
Standard Chartered Bank Botswana Limited has delivered double digit growth in income and profit before tax for the first half of 2013.
The bank has seen good momentum growth in its results for the six months ended 30 June, 2013; compared to the corresponding period in 2012, with consistent growth in both business functions.
According to the results posted on Friday, total income at the half year is P 483 million, 11 per cent above the first half of 2012 with strong growth across both businesses, mainly driven by strong growth in consumer and wholesale banking.
The balance sheet is strengthening with loans to customers increasing 26 per cent to P 5.7billion and deposits from non-bank customers rising 5 per cent to P 7.7 billion. Operating expenses increased by 10 per cent due to controlled business growth. Loan impairment for both businesses is being well managed. Loans and advances to retail customers grew by 30 per cent while corporate lending grew by 19 per cent, bringing total advances to P7.37 billion as compared to P5.4billion in 2012 during the same period.
Total deposits also grew exceptionally from P7.67 billion to P8.18 billion driven up by consumer banking deposits. Wholesale banking deposits declined by 7 per cent. However, this is in line with the company’s aim to wind down expensive wholesale liabilities. The bank remains highly liquid and has excellent capital strength.
The Gazette Business understands that during the period under review, the Bank renewed and strengthened its customer offering for SME clients. Taking into consideration the changing needs of SMEs as well as their continued contribution to the economy, the Bank announced a new customer value proposition built around working capital, business expansion, business protection and yield enhancement.
The proposition also included solutions to manage uncertainties and growing international trade, along with dedicated service and an on-line banking platform tailored specifically for SMEs. “To further demonstrate our commitment to ensuring that customers’ needs are met at all times, the Bank launched construction mortgage, re-introduced auto loans and added Tema Savings to its suite of services,” the statement indicated.
Meanwhile, a second quarter interim dividend of 6.7thebe was declared payable on the 18th of October.