Singapore’s top 3 banks brace for lower earnings

Flat interest margins and low loan growth are expected to take their toll on Singapore’s leading banks.

DBS Bank Ltd, United Overseas Bank Ltd (UOB) and OCBC Bank face moderate earning growth stemming from government measures to cool the heated property market. Their non-interest income growth is also likely to be muted owing to lower stock broking and investment banking activities.

"Our outlook for the banking sector remains neutral as we expect interest margin to remain flat and loan growth to slow down after last year's increment and recent property cooling measures," said Ng Kian Teck, lead analyst at SIAS Research.

DBS Group Research said core earnings for Singapore’s banks may climb about 5% this year due to lingering weakness in offshore demand.

OCBC is the largest local bank in Singapore by market capitalization but the smallest local bank in Singapore by global presence. DBS Bank is the largest bank in Southeast Asia by assets while UOB has a network of 500 offices in 19 countries around the world.

Also Read

Alliance Bank lowers fixed deposit rates

Weekly Global News Wrap: ECB raises concerns over UniCredit’s high turnover; China warns banks against “one-sided” credit pursuit

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

I want to download the media kit