Ryland Campbell, chairman of Capital & Credit Merchant Bank. - File CAPITAL & Credit Merchant Bank saw a 115 per cent increase in its assets for the six months to the end of June, as the financial entity continued to pursue growth in its core banking operations.
Assets in the bank grew to $13.5 billion from $6.3 billion, bringing total assets under management to $23 million from $15.3 billion at the end of December 2001.
According to the unaudited consolidated results published a few days ago, the increase in total assets under management has contributed to growth in gross operating revenue to $565.7 million at the end of the second quarter. That represented an increase of $268.6 million or 90.4 per cent over the $297 million for the corresponding period in 2001.
The bank's chairman, Ryland Campbell, said interest costs have correspondingly increased to reflect the funding of those investment activities.
Mr. Campbell said cost management strategies being pursued have allowed the expansion of operations, while containing operating expenses and provisions to remain relatively stable at $143.6 million, compared with $116.7 million for the same period last year.
However, he noted that "human resource development costs constitute the major operating expenditure of the bank as it continues to invest in quality personnel with the competence to deliver the services."
The chairman said that through its marketing strategies and the enhanced use of technology, "the productivity gains derived now position the bank and its subsidiary to expand the product range and customer service delivery to a larger market of individual and corporate clientele."
The bank's subsidiary, Capital & Credit Securities, was formally launched on July 24. Its range of services include stock brokerage, pensions funds management and securities trading.
Mr. Campbell said the directors were confident that the bank would maintain its profitability growth for the next two quarters of the financial year.
