Interest income helps lift Development Bank of SA’s operating income 75%
Operating income at the Development Bank of Southern African rose 75% thanks to improved interest income and a foreign-exchange gain
THE Development Bank of Southern Africa said on Thursday that its operating income surged 75% to R5bn in the year to March.The lender said this was due partly to net interest income rising to R3.2bn from R2.3bn and a foreign-exchange gain of R1bn.The cost-to-income ratio improved to 28.7% from 34.4% while net profit rose jumped to R2.6bn from R1.2bn previously.READ THIS: State entities okay for now after Futuregrowth move, says Fitch’s BMI ResearchThe bank said the National Treasury had provided capital injection of R3bn in support of the lender’s strategy and sustained prospects for growth.Provision for loan impairment was raised 30% to R3.8bn and the debt:equity ratio improved to 177.8% (195.6%).Development loans, bonds and equity investments disbursements were up 32% to at R17.1bn from a year-ago period.
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