Investor Presentaiton
Credit Quality
Highlights
Emirates NBD
Impaired Loan & Coverage Ratios (%)
The impaired loans ratio increased by 0.2% q-o-q to 14.1%
Net impaired loans increased by AED 1.2 billion mainly due to a
AED 1.1.billion increase in impaired loans in the Islamic
corporate portfolio
72.3
69.8
73.0
74.1
76.5
47.8
49.4
51.4
52.7
54.8
Net provisions increased by AED 1.5 billion
• Coverage ratio increased by over 2% to 54.8%
14.4
14.3
14.2
13.9
14.1
Total portfolio impairment allowances amount to AED 3.9 billion
or 2.5% of credit RWAS
6.2
6.1
6.0
5.7
5.6
8.2
8.2
8.2
8.1
8.5
2013 Management targets for coverage ratios:
Underlying NPL Portfolio
Overall impaired Loans
80-85%
55-60%
Q3 12
Going forward the Bank aims to keep improving the coverage
ratios through continued conservative provisioning
Q4 12
Impact of DW/DH* %
NPL ratio, excl. DW/DH*
Q1 13
Q2 13
Q3 13
Coverage ratio, excl. DW/DH* %
Coverage ratio, incl. DW/DH* %
Impaired Loans and Impairment Allowances (AED billion)
Impaired Loans
Impairment Allowances
32.9
14.2
33.6
33.8
34.7
35.9
19.7
15.7
16.6
17.4
18.3
3.2
14.4
9.6 3.9 10.1 3.8
14.3
14.3
14.3
2.2
3.2
3.1
3.2
10.6 3.8
11.3
11.4 3.6
7.3
7.3
7.9
8.4
9.4
0.4
0.4
0.4
4.8.
4.9
4.7.
5.1
3.7.0.3
6.2
0.3
3.8
3.8
3.8
3.8
3.8
0.3
2.1
0.2.2.1
0.2
2.3
0.2
2.7
3.0
0.3
Q3 12
Q4 12
Q1 13
Q2 13
Q3 13
Q3 12
Q4 12
Q1 13
Q2 13
Q3 13
DW/DH*
Core Corporate
Retail
Islamic
Investment Securities
*DW/DH = includes D1 (exposure AED 9.36 billion; provision AED 482 million) and D2B (exposure AED 4.62 billion; provision AED 2.51 billion)
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