Guatemalan Banking Profits Grow by 15%

©image: Bob King

According to the general manager of Banco de los Trabajadores, Ronald Garcia, the increase in profits was due to prudence and a reduction in financial service costs: "The opening of non-traditional channels such as electronic made services less expensive," the official told the newspaper La Prensa Libre of Guatemala.

The most profitable banks during the month were BAC (6.75% return on equity), Antigua Bank (5.39%) and Banrural (4.90%); the overall profitability of the system decreased by 0.15%.

The article in Prensa Libre reported that analysts expect that profits could diminish due to increases in delinquencies. From December 2007 to December 2008, the delinquency portfolio rose from 4.06% to 5.52%.

Source: prensalibre.com

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