The scam-stuck Sonali Bank earned net profit worth Tk 9.95 billion in the calendar year 2011. The bank earned an operating profit of Tk. 12.39 billion by deducting annual expenses amounting Tk. 33.41 billion from total income worth Tk. 45.81 billion.

The annual financial report of the bank for the said year was endorsed at the annual general meeting (AGM) of the bank at its head office in the city Thursday.

The annual financial report (AFR) showed that the bank has improved its performance in the areas of growth in loans and advances, deposit mobilisation, import and export and loan recovery while the classified loans has been decreased slightly.

Numbers of the bank’s loss incurring branches has reduced significantly to 66 in 2011 from 91 in the previous year. On the other hand, profit-earning branches increased to 1130 in 2011 from 1096 in the year 2010, according to the AFR.

The bank’s loans and advances grew by Tk. 59.89 billion or 20.93 percent totaling to Tk. 345.99 billion in 2011 from Tk. 286 billion in the previous year. Its deposit grew by Tk 55 billion or 11.52 percent that stood at Tk 533 billion in 2011 over Tk. 478 billion in the previous year (2010).

The growth in export rose by 9.08 percent or Tk. 6.73 billion totaling to Tk 80.87 billion over Tk. 74.14 billion in 2010. At the same time, import grew by 87.44 percent or Tk. 143.43 billion to Tk. 307.47 billion.

In 2011, the bank’s classified loans (CL) decreased to Tk. 61.58 billion from Tk. 68.31 billion in the previous year. As percentage of total loans, the CL came down to 17.80 percent in 2011 from 23.88 percent in 2010.

The amount recovered against bad loans was also higher to Tk. 21.86 billion in 2011 compared to Tk. 13.48 billion in 2010.

In the year 2011, the bank has opened nine new branches in both the rural and urban areas totaling the number to 1196.

However, the largest state-owned bank’s performance in remittance mobilisation was not satisfactory last year compared to other state-owned banks.

The AFR shows a negative trend in remittance mobilised in 2011 compared 2010. Last year, it has remitted foreign currency equivalent to Tk. 101.53 billion into the country while the amount was Tk. 104.37 billion in 2010.

While briefing journalists after the AGM, the bank’s chief executive officer (CEO) Pradip Kumar Dutta claimed that the bank had no shortage in CRR (Cash Reserve Requirement) and SLR (Statutory Liquidity Ratio), Amortization of foreign loans and capital adequacy as per the Bangladesh bank guidelines.

News: Daily Sun/Bangladesh/07-Sep-12