DBS expects loans to grow 7% in 2018

Higher interest rates are seen to kick net interest margin up.

DBS expects loan growth to hit 7-8% and net interest margin (NIM) uplift from higher interest rates in 2018.

According to UOB Kay Hian, the bank's income is expected to increase at a low double-digit level. The broker expects net profit to grow 23.5% in 2018, significantly higher than the 3.1% growth in 2017.

The cost-to-income ratio is expected to be stable at 43% due to the consolidation of ANZ's Taiwan and Indonesia operations, which have higher cost-to-income ratios. The bank aims to improve cost-to-income ratio by 0.5ppt annually in 2019 and 2020.

DBS also plans to embark on a re-architecture of its data infrastructure. Specific provisions are expected to be at the lower end of its cycle average.  

Join Singapore Business Review community
A NOTE FROM SINGAPORE BUSINESS REVIEW

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.


If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Exclusives

Singapore, Hong Kong take rival paths to capture global gold trade
One builds MAS-backed vaulting for central banks, the other opens a pipeline to Shanghai.
Monday.com picks Singapore for Southeast Asia expansion
Its in-house designers created Singapore-inspired artwork in the company's colors.
Tsuklio targets dual-income families in Singapore expansion
The Japanese meal subscription platform logged 3,000 pre-registrations before launch.