Development and Investment Bank of Türkiye Increases Its Assets by 23.3%
Having completed its restructuring in 2019 in line with its objective of using investment banking products and capital-markets instruments more effectively, Development and Investment Bank of Türkiye brought new long-term resources into the economy during the year.
The Bank increased its assets by 23.3% to TRY 19.4 billion. Development and Investment Bank of Türkiye recorded net profit of TRY 447 million for the year.
Development and Investment Bank of Türkiye announced its 2019 financial results. The Bank increased its total assets by 23.3% to approximately TRY 19.4 billion, while its loan book grew by 11% to TRY 15.1 billion. Supported by the expansion in lending volume, net interest income increased by 55% year-on-year to TRY 708 million. Development and Investment Bank of Türkiye recorded net profit of TRY 447 million for the year.
The ratio of gross non-performing loans to total loans, an important indicator of asset quality, declined by 0.1 percentage points year-on-year to 0.8%. The capital adequacy ratio increased by 57% compared with year-end 2018, rising above the sector average to 22.3%.
Commenting on the financial results, TKYB CEO İbrahim Öztop drew attention to the rapid improvement in the performance of the Bank following its restructuring in 2019. Öztop said: “We completed 2019—a year of transformation for our Bank—with extremely positive results. During the year, we restructured in line with the needs of the Turkish economy. We relocated our headquarters from Ankara to Istanbul. While bringing new long-term resources into the economy to finance sustainable development, we also played an active role in investment banking. In the final days of 2019, we completed the establishment of Türkiye Development Fund. Through the Technology and Innovation Fund and the Regional Development Fund, established under Türkiye Development Fund with the Republic of Türkiye Ministry of Industry and Technology as an investor, we took an important step towards investing in numerous companies and ventures across our country.”
Drawing attention to the high share of loans in Development and Investment Bank of Türkiye’s total assets in its 2019 balance sheet, Öztop said: “This ratio is 69.8% for the development and investment banking group and 59% for the banking sector. At our Bank, this ratio—a clear indicator of our support for the economy—stood above the sector average at 78.1%. Looking at the sectoral distribution of our loan portfolio, we see that the energy sector held the largest share, at 45%. The improvement in our non-performing loan ratio also indicates strengthening asset quality. Through the themes it develops and the resources it secures, Development and Investment Bank of Türkiye will continue supporting competitive and efficient production for a stable and robust economy.”
About Development and Investment Bank of Türkiye
Since 1975, Development and Investment Bank of Türkiye has supported development initiatives in every area needed by Türkiye. Drawing on its strong international standing and the resources it secures, it supports competitive and efficient production for a stable and robust economy. In line with the 2023 objectives, guided by the 11th Development Plan and the United Nations Sustainable Development Goals, the Bank focuses on financing sustainable development. With experienced and specialised human resources possessing command of global banking standards, a dynamic structure, and innovative products and services, it will continue to stand by investors.