Banking Wealth

August 20, 2007 (LBO) – National Development Bank’s net profit for the second quarter ending June 30, 2007 shot up 208 percent to 556 million rupees from 181 million in the same quarter of last year. Net other income of the bank, excluding equity income, for the period was 389 million rupees compared with 320 million for the comparative period, mainly due to the steady increase in commercial banking fees and commission income and forex income.

Total group income for the quarter rose to 2.7 billion rupees from 1.6 billion, according to interim results released by the bank.

Group profit attributable to shareholders in the first half rose 73 percent to 855 million rupees, compared with 494 million last year.

This was excluding the exceptional capital gain of just over a billion in the first quarter of 2006 from the sale of the controlling interest in Eagle Insurance Company Ltd.

Shareholders’ Funds as at 30 June 2007 amounted to 11.03 billion for the group, which is well in excess of the regulatory minimum standards, a bank statement said.

The Tier 1 and Tier 2 capital for the Group amounted to 21.42% compared with the regulatory minimum of 10%.

For the bank alone, p