Industry

Banks’ half yearly profit rises amid economic recovery

Banks’ operational profit grew in the first half of this year (January-June), as the economy saw a recovery from last two years’ Covid-induced recession, according to sources familiar with the development.

The country's banking sector is turning around after overcoming that loss of pandemic. In the first six months of this year, both traditional and shariah-based Islami Banks have made more profit than the last two years.

Banks’ income this year not only relied on the interest sector, but also the fees received against various services. Of these the foreign trade commission has played a major role in the big jump in the operating profit of the banks, said the sources who can’t be identifies as they are not authorized to talk to the media.

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Besides, the effect of lowering the cost of funds or deposit interest rates has also contributed to increasing banks’ income, according to one source on Sunday. insider said.

The big growth in the operating profit of the banks is seen by the people concerned as a sign that the country's economy is turning around.

The unofficial information obtained from various sources regarding the operating profit of the banks is not their actual profit.

The actual profit can be calculated only after deducting the security provision for loans and corporate tax from the operating profit.

Among the private banks, Southeast Bank has made an operating profit of Tk 534 crore in the first six months of this year, which was Tk 472 crore in the same period last year.

Pubali Bank has made a profit of Tk 650 crore in six months, last year it was Tk503 crore. Mercantile Bank's profit was Tk395 crore as against Tk358 crore in the previous year.

Shahjalal Islami Bank has made a profit of Tk 489 crore. At the end of June 2021, which was 283 crore in last year.

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Dhaka Bank has made a profit of Tk 365 crore this year that was Tk309 crore in the previous year.

From January to June, NRBC Bank's operating profit is stood at Tk 165 crore, which is Tk 15 crore more than the same period of last year. The bank had a profit of Rs 150 crore in the same period last year.

Al-Arafah Islami Bank has made a profit of Tk460 crore. Earlier it was Tk310 crore. At this time, the income of NCC Bank was Tk377 crores, which was 328 crores in the previous year.

Bank Asia's profit stood Tk 574 crore. The same period of last year it was 484 crore.

South Bengal Agriculture and Commerce (SBAC) has made an operating profit of Tk100 crore in the first half of the year. At the same time last year, the bank's profit was Tk 80 crore. As a result, the bank's operating profit has increased by Tk 20 crore or 25 percent in six months.

Exim Bank's operational profit stood at Tk365 crores that was Tk350 crore in the same period of last year.

Source: United News of Bangladesh