Publications
Partners
Johannesburg - South Africa’s fourth-largest lender Nedbank
Group [JSE:NED] expects full-year earnings growth to exceed its medium-to-long
term target after fees and commissions grew nearly 16% in the first nine months
of the year.
The bank majority owned by insurer Old Mutual [JSE:OML] said
non-interest income grew 15.6% to R10.9bn in the nine months to end-September.
The banks also said in its third-quarter trading statement
that net interest income was up nearly 9% to R13.3bn during the same period.
Nedbank, along other major South African banks, is
recovering from a surge in bad debts after a 2009 recession that left many
borrowers unable to service their loans.
Nedbank has been increasing its non-interest income, which
includes fees and commissions, to offset its dependence on loans.
The bank said its credit loss ratio improved to 1.13% for
the period from 1.21% for the six months to June.
Ned bank’s stock has gained 6.3% so far this year, compared with a 3.4% fall by the banking index.
