Investor Presentaiton
Credit Quality
Emirates NBD
Highlights
Impaired Loan & Coverage Ratios (%)
Impaired loans ratio improved by 0.3% q-o-q to 13.5%
80.1
70.1
72.3
76.1
64.7
Net impaired loans decreased by AED 0.2 Bn helped by
repayments and recoveries
52.7
54.8'
57.5
60.7
H1-14 net impairment charge of AED 2.6 Bn driven principally by
additional net specific Corporate and Islamic loan provisions
Coverage ratio increased by 4% in Q2 to 64.7%
13.9
14.1
13.9
13.8
13.5
3.7
3.7
3.6
3.5
3.5
Total portfolio impairment allowances amount to AED 4.09 Bn or
2.7% of unclassified credit RWAs
10.1
10.4
10.3
10.2
10.0
Medium term management targets for Impaired Loan Ratio is 12%
and Coverage Ratio is 80%
Q2 13
Q3 13
Q4 13
Q1 14
Q2 14
Impact of DW* %
NPL ratio, excl. DW*
Coverage ratio, excl. DW* %
Coverage ratio, incl. DW* %
Impaired Loans and Impairment Allowances (AED Bn)
Impaired Loans
Impairment Allowances
-1%
34.7
35.9
36.1
36.0
35.8
19.7
20.8
21.9
23.1
+6%
18.3
9.4
9.4
9.4
9.3
9.1
0.5-
0.5
0.5
0.4
0.4
16.3
16.4
16.2
16.2
16.2
11.1
12.0
12.8
13.6
14.5
3.7
3.6
3.7
3.7
3.8
2.7
3.4
3.9
0.3
5.1
6.2
0.3
6.5
0.2
6.6
0.2
6.4
0.2
3.8/0.2
3.8
0.3
3.0
3.8/0.2
3.9
3.8
4.2
0.1
-0.1
Q2 13
Q3 13
Q4 13
Q1 14
Q2 14
Q2 13
Q3 13
Q4 13
Q1 14
Q2 14
DW*
Core Corporate
Retail
Islamic
Other Debt Securities
*DW = exposure AED 9.14 Bn; provision AED 409 Mn
21View entire presentation