Amid a strong competition from other players in the banking sector, the Bank of Bhutan (BOB), recorded the highest ever profit of over Nu 510M last year.
The Bank also made a record income of over Nu 1.4B, registering an 8.31% annual growth in its profit after tax. BOB declared 75% dividend amounting to Nu 300M to its two share holders, the Druk Holding and Investments (DHI) and the State Bank of India (SBI). DHI holds the majority of 80% shares while SBI holds the remaining 20% shares.
Describing it as the highest financial performance by the Bank in its history, BOB officials said prudent lending policy and strong recovery efforts led to the decrease in the provisions for loans consequently increasing profit margins. The increased profit was also attributed to drastic decrease in the Bank’s non- performing loans.