Cambodia’s largest bank, Acleda Bank, announced its half-yearly results on August 26, reporting a 40 per cent increase in net profits as compared to the same period last year, on the back of strong loan and deposits growth.
The bank saw $50.6 million in net profits for the first six months of 2015, compared to the $36.1 million earned in 2014.
“The profit compared to the same period last year has increased because of the loan asset quality,” said In Channy, CEO of Acleda Bank.
According to Channy, these quality loans have lead to a “very low [rate of] nonperforming loans”, which has also helped prop up the performance.
Customer deposits grew to $2.28 billion and loans and advances were $2.3 billion, registering a 14.1 and 12.7 per cent increase respectively over the first six months last year.
“Growth is from productive loans, including loans to small and medium enterprises. Consumer loans are not on the high growth,” he said.
He added that growth in deposits signalled increased consumer confidence in the formal banking system.