Bank of Baroda UAE Operations posts Dh322m net profit for 2022

Bank of Baroda UAE Operations posts Dh322m net profit for 2022

Performance driven by increase in interest income, reduction in impairment losses and higher recovery under NPAs

The bank’s net interest income registered a growth of 39 per cent in 2022. - KT file

Published: Tue 25 Apr 2023, 1:43 PM Last updated: Tue 25 Apr 2023, 1:44 PM

Bank of Baroda UAE Operations, a branch of Govt. of India-owned Bank of Baroda, reported a net profit of Dh322 million for the year ending 2022. This was primarily driven by an increase in interest income, reduction in impairment losses and higher recovery under NPAs.

The bank has recorded a significant growth in its advances and deposit portfolio during the year. Whereas, the advances portfolio grew by 19 per cent to Dh13.89 billion, the customer deposits have increased by more than 12 per cent to Dh14.4 billion. Within the overall deposits, CASA deposits have clocked a significant growth of 18.81 per cent.

The bank’s net interest income registered a growth of 39 per cent in 2022 mainly driven by growth in the net loan portfolio. Net interest margins increased from 1.74 per cent in 2021 to 2.60 per cent in 2022 indicating a substantial improvement in the Bank’s ability to generate income from its interest-earning assets.

The bank’s