In the first quarter of 2024, Standard Chartered Bank in the UAE reported pre-tax profits of approximately $125 million (459.11 million dirhams), representing a growth of 4.17% compared to $120 million (440.75 million dirhams) in the same period in 2023. The bank’s operating profits before taxes also increased to around $131 million (481.15 million dirhams) in the UAE during the first quarter of 2024, marking a growth of 10.08% compared to $119 million (437.08 million dirhams) in the first quarter of 2023.
One of the key drivers behind this growth was an increase in revenue streams for the bank, with a focus on diversification and reducing its dependence on traditional banking activities. The bank’s asset base in the Emirates saw a significant increase of 21.49%, reaching $24.559 billion (90.20 billion dirhams) compared to $20.215 billion (74.25 billion dirhams) in the same period in 2023.
In addition to this, Standard Chartered exceeded expectations with a 5.5% rise in pre-tax profits during the first quarter, driven by higher income from interest rates and a strong performance in its markets trading business.
The bank’s investment banking unit also saw a notable increase in profitability during this period, with earnings rising by 13%. Furthermore, fee-based income from markets and wealth management increased significantly as part of efforts to diversify revenue streams and reduce reliance on traditional banking activities.
Globally, Standard Chartered made a pre-tax profit of $1.91 billion during the first quarter of 2024, compared to $1.81 billion during the same period last year.
However, despite these positive results, Standard Chartered faced challenges from write-downs on its stake in China’s Bohai Bank due to economic slowdown and real estate crisis in China.
To mitigate these risks and ensure long-term success, Standard Chartered has set aside provisions totaling $1.