Turkish banks enjoy high profits

ISTANBUL - Anadolu Agency

Deposit banks’ net profits rose from 8.5 billion liras to 10.4 billion liras in the first half, according to BIST data. DAILY NEWS photo, Hasan ALTINIŞIK

The deposit banks traded on Bourse Istanbul (BIST) posted 10.4 billion Turkish Liras ($5.4 billion) of net profit in the first half of this year, a 22.4 percent increase from the same period a year earlier.

The banks traded on BIST, the exchange body, raised their net profits from 8.5 billion liras to 10.4 billion liras in this period, according to BIST data compiled by Anadolu Agency.

İş Bank posted the highest net profit with 1.9 billion liras in the first half with a 14.5 percent increase from the same period of the previous year. Garanti Bank posted the second-highest net profit with 1.8 billion liras, a 19.6 percent increase in the same period. Akbank has the third-highest net profit with 1.7 billion liras and showed the biggest rise with a 63.4 percent increase this period. TEB followed Akbank with a 38.5 percent increase in net profit from the first half of last year to this first half. Yapı Kredi, whose net profit surged by 35.2 percent in the same period, ranked third.

State banks post high profits

Tekstilbank had the biggest fall in net profit, decreasing from 16.8 million liras to 7.4 billion liras with a 55.9 percent drop in this period. It is followed by Denizbank, which posted 554.3 million liras net profit, a 30.4 percent fall. The figures did not include Alternatifbank, because its financial results have not been announced.

Turkish state banks’ net profits showed a remarkable rise in the first half. Ziraat Bank posted 1.7 billion liras net profit in the first half, a 41 percent increase from the same period a year earlier, as Vakıfbank posted 905 million liras net profit, a 28.5 percent increase in the same period.

Vakıf Bank general manager Halil Aydoğan said the share of credits in assets reached 65.4 percent, adding that it indicated Vakıfbank’s contribution to the real economy when compared to its rivals. Ziraat Bank’s credit value rose to 90.6 billion liras, a 27 percent rise in this period. “We restructured credit assessment, allocation and management in the manner to institutionalize risk appetite. We became more active in credit markets in which we didn’t used to be active. The credit growth figures prove it,” said the general manager, Hüseyin Aydın.

The net profit of participation banks also rose to 497 million liras in the first half, a 4 percent increase from the same period a year earlier.