GBTI records 84% increased profit after tax in mid-year report

…Chairman anticipates similar growing trend towards year end

Despite global events, the Guyana Bank for Trade and Industry (GBTI) has recorded another stellar performance with a whopping 84 per cent increase in its net profit after tax during the first half of 2022.
This was reflected in the bank’s mid-year financial report for the period ending June 30, 2022.

According to a statement from GBTI, its net profit after tax totalled over $1.1 billion during the first six months of 2022, reflecting an 84 per cent growth.
The commercial bank’s total assets also increased by 14 per cent to $159 billion with deposits reaching a record $135 billion. In addition, the GBTI Mutual funds has recorded improved results as well.
In light of this, GBTI Chairman Robin Stoby, SC, said in his report that they anticipate this continued trend in the second half of 2022.
“The bank’s improved performance is influenced by an improving loan portfolio, favourable market conditions and stabilisation at the national level… We anticipate a similar trend for the rest of the year as the local economy continues to grow,” Stoby stated.
Moreover, the commercial bank further detailed in a subsequent statement that given this performance, it has increased interim dividend to $6 per share as compared to $3.5 per share in 2021.
But despite these performances, GBTI, which is Guyana’s largest indigenous bank, says that the sharp rise in cost of living worldwide has not escaped Guyana.
“The war in Ukraine has triggered a costly humanitarian crisis that demands a peaceful resolution. At the same time, economic damage from the conflict will contribute to a significant slowdown in global growth in 2022 and add to inflation. Fuel and food prices have increased rapidly, hitting vulnerable populations in low-income countries hardest. Global growth is projected to slow from an estimated 6.1 per cent in 2021 to 3.6 per cent in 2022 and 2023,” the Chairman outlined.

Cushioning impact
Nevertheless, GBTI declared its commitment to cushioning those impacts here. To this end, the bank said it is now providing ready and affordable access to financing. This facility – accessible at all GBTI branches across Guyana – is increasingly the preferred route for Guyanese to a high quality of life and making their dreams a reality.
It was further highlighted that adherence to international Environmental, Social, and Governance (ESG) policies is driving the bank into new and innovative alliances.
An example of this, according to GBTI, is reflected in the recent partnership between the bank and the National Beautification Project through its patron, Guyana’s First Lady Arya Ali.
Through a Memorandum of Understanding, the bank is assisting the Office of the First Lady with the Kingston Seawall Redevelopment Project that is slated to be completed by December 2022.
Moreover, the bank added that its focus on awareness of social issues also saw support given to the observance of International Women’s Day 2022; an event highlighted by the feature address of Human Services and Social Security Minister, Dr Vindhya Persaud, and attended by the diplomatic community and private sector.
Further, it was noted that in consonance with the Guyana Government’s housing policy, GBTI has lowered its rates and continues to work with the Ministry of Housing towards universal homeownership.

Housing loans
To this end, GBTI participated in the International Building Expo held in July and this saw the bank facilitating housing loans to hundreds of Guyanese including Giovanni Browne, who won the associated prize of a brand-new Toyota Raize SUV – an unrivalled bonus.
The bank says it continues to make financing more affordable as it seeks to “See Guyana Through Your Eyes”.
On the other hand, GBTI went on to outline that its global partnership initiatives produced major collaboration with international financial institutions such as the Inter-American Development Bank (IDB). This paved the way for the signing of an investment financing agreement between GBTI and IDB Invest, a member of the IDB Group, last September.
This deal saw GBTI being incorporated into the IDB Trade Finance Facilitation Programme (TFFP) through a guarantee and funding facility.
Through this partnership, both IDB Invest and GBTI have reinforced their commitment to create a hub for investment and trade for the nation and the region while creating opportunities for the communities. The programme will expand support to existing industries, and new and emerging businesses in sustaining productivity and job creation, which is beneficial given the current macroeconomic situation with COVID-19. (G8)