BRATISLAVA, March 31, (WEBNOVINY) – The Slovak banking sector reported a profit of EUR 108.44 million over the first two months of 2011, up 30.9 percent in annual terms. Based on the figures released by the National Bank of Slovakia (NBS), net interest income grew 7.5 percent to EUR 284.65 million. Net income from fees and commissions increased 10 percent to EUR 74.61 million. The volume of reserves and provisions shrank a great deal, namely by 56.1 percent, to EUR 27.15 million.
The sector’s balance sheet total stood at EUR 55.775 billion in late February, which was 5.8-percent year-over-year growth. Receivables from clients represented EUR 31.539 billion on a nearly 6-percent y/y increase. Liabilities towards clients accounted for EUR 38.182 billion and rose by 6.8 percent in annual terms.
Based on preliminary data, the profit of the banking sector skyrocketed by 105.4 percent in 2010 to EUR 513.87 million. For comparison, the indicator shrank by 50.8 percent to EUR 250.1 million in 2009. The central bank ascribed this meltdown to weaker lending, worse quality of loan portfolios and a shortfall in foreign exchange revenue. In that year banks also witness a decline in fees for foreign payments system since fees for foreign transactions were reduced to the prices of local financial transfers.
SITA