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Huaxia bank expects 22% profit growth

(South China Morning Post)
Updated: 2007-03-28 10:16

Mainland banks offered 3.18 trillion yuan of new loans last year, exceeding the central bank's target by more than 25 per cent.

Outstanding loans stood at 22.5 trillion yuan on December 31, up 15 per cent from a year earlier, according to the central bank.

Huaxia has trailed its publicly traded rivals in profit growth. Net income rose 14 per cent last year, compared with 31 per cent forShanghaiPudong Development Bank and 40 per cent for China Minsheng Banking Corp.

Shanghai-based Pudong Bank, partly owned by Citigroup, forecast a 30 per cent increase in net income for this year.

Deutsche Bank, Germany's largest lender, and Sal Oppenheim & Cie own a combined 13.9 per cent stake in Huaxia.

Shares in Huaxia have gained 39 per cent this year, outperforming a 17 per cent increase in the Shanghai Composite Index. The stock rose 55 per cent last year.