Retail lending, forex operations boost Russian bank profits to record 848 bln rubles in 2011
MOSCOW. Feb 15 (Interfax) - Net interest income on retail operations and income from forex operations made the biggest contributions to the combined profits of Russian banks in 2011, which reached a record 848.3 billion rubles, Central Bank data posted on its website show.
The combined pretax profits, less pretax losses, of Russian banks grew by 267.3 billion rubles, or 46% to 848.3 billion rubles in 2011 from 581.0 billion rubles in 2010.
The difference between interest income on corporate loans and interest expenditures on corporate deposits rose by just 6.4 billion rubles, or 0.6% to 1.007 trillion rubles.
Meanwhile, the difference between interest income on retail loans and interest expenditures on retail deposits surged by 185.1 billion rubles, or 360% to 235.9 billion rubles in 2011 from 50.6 billion rubles in 2010. The figure was 133.5 billion rubles in 2009 and 204.9 billion rubles in 2008.
Forex operations boosted bank revenues by 48.5 billion rubles to 93.7 billion rubles, which was more than twice the figure of 45.2 billion rubles for 2010, but 41% less than the figure of 158.6 billion rubles in 2009 and 60% less than 242.5 billion rubles in 2008.
The growth of revenue from forex operations almost offset the decline in revenue from securities operations, by 56.4 billion rubles. Income from investment in securities exceeded expenditures on securities operations by 303.5 billion rubles in 2011, down from 359.9 billion rubles in 2010 and 369.4 billion rubles in 2009.
Income resulting from recovery of loan loss provisions totalled 3.964 trillion rubles in 2011, which was 155.0 billion rubles less than in 2010. However, expenditures on loan loss provisioning decreased by 278.4 billion rubles to 4.074 trillion rubles.
The difference between these two figures in 2011, as in previous years, remained negative at -110.2 billion rubles, but was down by half from 233.6 billion rubles in 2010, 9.5-fold from 1.051 trillion rubles in 2009 and three-quarters from 455.7 billion rubles in 2008.
