China CITIC bank optimistic over 2009 outlook

China CITIC Bank Corp Ltd (0998.HK), the country’s seventh-largest lender, is optimistic about earnings prospects even though 2009 will be a challenging year, Chief Executive Chen Xiaoxian said on Wednesday.

He was speaking a day after the banking flagship of China’s top financial conglomerate, CITIC Group, reported that net profit last year rose 61% to 13.32 billion yuan (US$1.95 billion).

Among the challenges facing the bank, Chen singled out the need to prevent a rebound in its non-performing loan ratio, which declined to 1.36% at the end of December from 1.48% at the end of 2007.

CITIC Bank’s net interest income rose 38% last year to 36.09 billion yuan, while net fee and commission income increased 46% to 3.04 billion yuan.

 

Category: China