Crane Bank posts record profits

Crane Bank was also awarded the Banker of the Year 2009- Uganda for the fifth time in six years and five times in a row.

Kampala

Crane Bank has recorded a historic profit level for the 2009 financial year since its inception 14 years ago.

Despite challenges of the global economic slowdown, its profit before tax grew by about 21 per cent from Shs35 billion in 2008 to Shs42 billion during the 2009 financial year.
Its profit after tax increased by about 24 per cent to Shs32 billion from Shs26 billion in 2008.

Mr A.R. Kalan, the Crane Bank managing director, attributed the good growth to the expansion of the bank’s branch network and continued support from customers, which increased customer deposits from Shs342 billion in 2008 to Shs419 billion.

He said the bank’s performance is a clear testimony to the underlying strength of the business resulting from the strong foundation built over the years through continued investment in infrastructure, products and people.

“Our attractive interest rates offered on fixed deposits and other saving products proved popular and increased peoples savings across the country,” said Mr Kalan in a statement issued over the weekend.
Total assets also increased by 23.34 per cent to Shs56 billion from Shs431 billion in 2008.

2009 award
Crane Bank was also awarded the Banker of the Year 2009- Uganda for the fifth time in six years and five times in a row.
The bank also launched the internet banking platform and the e-tax platform of Uganda Revenue Authority for convenient payment of taxes.

Mr Kalan said the growth in the bank’s lending portfolio from Shs208 billion to Shs240 billion demonstrates the bank’s continued commitment in supporting their customers.

The bank increased its branches from 11 to 15 in different regions of the country.

He said the bank will continue to focus on developing branch network and service quality in all regions, where the acceleration of economic growth, coupled with low penetration of banking products creates attractive opportunities.

Mr Kalan projects that the bank will grow its profit before tax by more than 35 per cent in 2010.

He said though the plan to list on the Uganda Securities Exchange was delayed by the volatile economic conditions and the general sagginess in Capital Market activity, he promised that the Crane Bank will be listed next year.

“We want to encourage wider ownership of equity shares and facilitate the development of Uganda's financial markets,” he said.
The bank also plans to introduce a ‘Home Loan product’ before the end of this year.