Standard Chartered projects growth fundamentals

The 2023 Strategic Report has unveiled solid growth fundamentals for Standard Chartered based on a set of diverse metrics. 

Some of these include significant percentage rise in operating income, substantial profit before tax increase, strong border income growth, widened loan net, leadership in transition to net zero goal and improved Cost to Income Ratio.

In a statement issued by the bank, Chief Executive Officer, Standard Chartered Africa and the Middle East,

(AME) Sunil Kaushal said “Our achievement of $ 1.3 billion in annual profit for Africa and the Middle East, the highest in a decade, is a testament to the Bank’s continued dedication to client success and strategic growth initiatives. We remain committed to connecting global markets and providing clients with valuable investment opportunities and solutions, further solidifying our position as the Group’s fastest growing region.”

Breaking down the bank’s performance, he said  underlying profit before tax of $1,311 million was up 66 per cent and highest annual profit since 2015 driven by higher income and a net release in credit provisions partially offset by an increase in expenses while operating income of $2,806 million was up 14 per cent  with strong growth in Cash Management, Retail Deposits and Financial Markets. Income was up by 29 per cent  in Middle East, North Africa, Pakistan and up one per cent in Africa.

The bank widened its loan and advances net, with loan to customers up by 8 per cent  YoY and customer accounts were up by four per cent  since December 31, 2022, just as risk-weighted assets were six per cent than previous year despite the impact of sovereign downgrades due to continuing risk weighted assets (RWA) optimisation activities, de-risking in markets with elevated macro-economic risk and currency devaluation.