Alfa Bank sees retail loans growing 25%-30% in 2011, corporate 20%-25%
MOSCOW. Sept 8 (Interfax) - Alfa Bank calculates that its retail credit portfolio will grow 25%-30% and its corporate portfolio 20%-25% this year compared with 2010, the lending institution said in a presentation of its financial report to International Financial Reporting Standards (IFRS) for the first half.
The bank had said earlier that its corporate clients' loan debts increased 17.5% to $18.7 billion in aggregate over the half, among its private borrowers - 20.7% to $2.8 billion.
Combined assets will grow 15%-20%, Alfa Bank top management anticipates. They expanded 10.6% in H1 to $31.5 billion from $28.5 billion at end-201, thanks to credit portfolio growth.
Return on capital is expected to be 15%-20% this year. It decreased to 16.8% in H1 from 19.1% in 2010.
The bank's cost/income ratio will be down from 54.9% in H1 at below 50% at year-end. This ratio was 44.3% at the end of last year.
Capital adequacy will end this year at 16%-18%. It was 17.6% for H1, down from 18.2% at end-2010.
The presentation also says that the Alfa Bank's net interest margin contracted to 5.1% for H1 this year from 6.4% for H1 last year, even though net interest income increased 8.9%.
Loans past due more than one day this year remained at 4.7% in H1, as the combined credit portfolio grew from $18.2 billion to $21.4 billion. The past-due peak hit in 2009, when it reached 21.2% of a $15 billion credit portfolio.
Alfa Bank ended H1 2011 in 6th place by assets on the Interfax-100 ranking of Russian bank size.