In 2023, Credit Agricole Bank increased its net profit to UAH 2.8 billion from UAH 0.3 billion in 2022, the press service of the financial institution reported on Friday.
“This result is largely due to high liquidity in the market and a wide spread between interest rates, which is more likely to be temporary. In 2024, there will be a gradual transition to a more normal functioning of the banking market, although military risks remain relevant,” the NBU said in a statement.
It is noted that Credit Agricole’s net banking income last year amounted to UAH 8.8 billion, which is 37% higher than the result of 2022 (UAH 6.4 billion). According to the press service of the financial institution, this figure was achieved due to high net interest income generated by a strong liquidity position, while operating expenses of the bank increased by 21% from UAH 1.9 billion to UAH 2.4 billion.
In particular, personnel costs increased by 20% by 2022, while other expenses increased by 25% due to investments in IT infrastructure to ensure uninterrupted operation within the Power Banking project, development of mobile applications for individuals and IT Professionals clients, as well as improvement of the Internet banking solution for legal entities (CORPEX).
It is indicated that the bank’s deposit portfolio exceeded UAH 90 billion, having increased by 41%, or UAH 26 billion, which, according to the bank, is a manifestation of customer confidence.
According to the information, in 2023, the bank added about UAH 1 billion in reserves (in 2022 – UAH 6.3 billion) and maintained its loan coverage ratio at 25.8%.
“Asset quality is stabilizing, and the NPL ratio has been consistently declining for six months in a row, reaching 12.9% as of December 2023,” the bank said.
It is noted that Credit Agricole has strong liquidity positions in both hryvnia and foreign currency: LCR at 277% and NSFR at 345%. Meanwhile, the regulatory capital adequacy ratio (N2) was 28.3% in December 2023.
In 2023, Credit Agricole will pay UAH 3.3 billion in taxes and contributions, the press service informed.
According to the National Bank of Ukraine, as of December 1, 2023, Credit Agricole Bank ranked 11th in terms of total assets (UAH 103.07 billion) among 63 operating banks in the country, with 141 branches. The bank is fully owned by French Credit Agricole SA.
