Large banks report high profits, small ones close 2017 with losses: BoA data

The Albanian banking system closed 2017 with record profits at a total amount of almost ALL 21 billion, according to data released by the Bank of Albania.

However, if we look at the results reported by banks, according to international financial reporting standards, the picture is somewhat mixed.

The aggregate result is again at a profit of ALL 11.7 billion.

Some of the banks have achieved satisfactory profits, while some of them have closed the year with losses.

As usual in recent years, larger banks are more stable in financial results.

BKT, Raiffeisen, Intesa Sanpaolo and Credins all made profits overcoming the one billion ALL threshold.

The largest bank in the country, BKT, achieved very high profits last year, at 6.5 billion ALL, followed by Raiffeisen with nearly ALL 4.5 billion.

These two banks are well ahead the other member banks of the system in terms of profits.

Thanks to their large market share and significant portfolio of low risk instruments, such as bonds and government bonds, the income base for these two banks is higher than the rest of the market.

Intesa Sanpaolo closed another year with profits, at the value of 1.6 billion leks, though falling compared to 2016.

Meanwhile, Credins Bank reported in 2017 a profit of nearly ALL 1.1 billion, the highest ever achieved by the largest Albanian-owned bank.

Credins has further consolidated its position as the third largest bank in Albania after BKT and Raiffeisen.

Among other banks, significant profits were reported by ABI Bank, Fibank, Societe Generale and Union Bank.

In recent years, these four banks are in a steady growth cycle, coupled with high financial results.

2017 also closed with profit for Tirana Bank, which managed to put an end to a long series of negative results.

The other banks operating in the market, Veneto Bank, NBG Bank, Alpha Bank, ProCredit Bank, International Commercial Bank, United Bank of Albania and Credit Bank of Albania, all closed 2017 with a negative balance sheet.

SCAN

*Material i përgatitur nga portali SCAN. Ripublikimi mund të bëhet vetëm kundrejt citimit të autorësisë dhe burimit origjinal.