Bank Profit in Albania – ALL 6 billion for the four month period 2019
April statistics confirmed the positive performance of the banking system in Albania. Based on BoA data, for the first four months of the year the system achieved a profit of about ALL 6 billion, almost the same as the first quarter of last year. In terms of return on equity, the profitability of the banking sector was 12.1%, from 12.4% for the same period a year earlier.
Results at system level rely on Bank of Albania’s supervisory standards. In its entirety, the banking system in recent years has been consistently profitable. This is a result of the improvement of asset quality and especially the gradual reduction of the non-performing loans ratio, which is now close to 11.5%, and during the crisis years it reached 25%.
Individual banks’ results are available by the end of the first quarter of the year and are positive for most of them. In this case the figures are based on international financial reporting standards, which is also the legal standard for business disclosure. The aggregate result of the banks according to this standard for the first quarter was positive for about ALL 5 billion.
Of the 13 remaining banks in the activity, 12 of them reported financial profit with profit, while only ProCredit Bank closed the first quarter with a loss. Albania’s Credit Bank launched voluntary liquidation procedures in January, and on June 5, the Bank of Albania officially revoked the license. For specific banks, profitability was quite high, in terms of return on equity. Thus, Fibank, Alpha Bank and Union Bank declared a return on equity above the 20% limit, while the National Bank of the Bank and OTP Bank Bank Albania also approached that threshold.
*Material i përgatitur nga portali SCAN. Ripublikimi mund të bëhet vetëm kundrejt citimit të autorësisë dhe burimit origjinal.