THE resilience of the local banking sector continues to be evident, as Citizens Bank has become the latest financial institution to report that it has recorded an increase in profits for the first half of the financial year.

According to the bank’s interim financial report, a profit of $478.4 million was recorded at the end of March 31, 2021; this represents an increase of

$26.3 million or six per cent when compared to the corresponding period last year.

Citizens Bank’s announcement follows a report from Demerara Bank Limited, which shows that it recorded a profit after-tax of $1.3 billion in the first half of 2021. It was reported too that Republic Bank Guyana Limited recorded an after-tax profit of $1.7 billion in the first half of the year.

Outside of profits, Citizens Bank reported that it recorded a net interest income of $1.4 billion after the removal of its net interest expense of $174.5 million. The company’s “other income” was $327.7 million, resulting in a surplus before non-interest expenses of $1.7 billion, the same for the corresponding period last.

The bank’s operating expenses were recorded at $818.7 million, compared to $827.2 million for the corresponding period last year, while net impairment on financial assets was $70.5 million compared to $121.1 million for the corresponding period last year.

At the end of March, 2021, the net loans and advances balance at the bank was $32.3 billion, compared to $31.3 billion at the end of March, 2020. Net investments were $8 billion, compared to $10.3 billion during the corresponding period last year.

Further, the total deposits at the bank were $63.3 billion, compared to $48.4 billion at the end of March, 2020. Considering the bank’s performance, its Board of Directors has approved an interim dividend of $0.90 per share.

“The economic and social uncertainty due to the ongoing COVID-19 pandemic continues to pose many challenges for Citizens Bank Guyana Inc., which may impact the second six months of our financial year.

“We, however, remain optimistic that our strategies will result in a consistent performance and increased shareholder value,” Chairman of the bank, Clifford Reis, said in a short statement which was included in the company’s interim report.

It was reported earlier this year that Citizens Bank recorded a profit after-tax of $982.1 million at the end of 2020, compared to $955.2 million in profit at the end of 2019.

Based on available information, Citizens Bank, with its headquarters at 231 -233 Camp Street and South Road, Georgetown, had assets worth US$241.8 million at the end of September, 2018.

The company has 151 employees and serves a customer base of more than 52,700. They provide retail and commercial banking services through its six branches.