Tanfeeth Overview
Net Interest Income
Highlights
Quarterly NIM of 2.35% in Q3 2012 declined by 50 bps from Q4 2011
resulting in a drop in net interest income to AED 5,146 million
ā
Q3 2012 NIM reduction driven by:
lower loan spreads resulting from price competition, cost of carry on NPLs
and impact of loan re-pricing due to lower EIBOR rates
-
lower treasury spreads due to impact of medium term debt issuance
Slightly lower deposit spreads
2.85%
(0.41%)
Net Interest Margin Trends (%)
Qtrly NIM
3.01%
YTD NIM
2.85%
81%2.79%
2.96% 2.68%
2.63%2.85%
2.52% 2.53%
2.41%
2.63% 2.45%2.42%
2.47%
2.81% 2.58%2.56%2
2.76%
2.65%
2.60%
2.21%
2.23%
2.11%2.09%
2.05%
2.01%
2.59%2.57%
2.51%
2.41%
2.35%
2.28%
Q108 Q208 Q308 Q408 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311 Q411 Q112 Q212 Q312
Net Interest Margin Drivers: Q4 2011 vs. Q3 2012 (%)
(0.01%)
(0.17%)
0.18%
2.28%
-0.00%
(0.03%)
(0.09%)
0.01%
2.35%
Q4 2011
Loan Spreads Deposit Spreads
Treasury
Spreads
Other
Q2 2012
Loan Spreads Deposit Spreads
Treasury
Spreads
Other
Q3 2012
Emirates NBD
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