Bulgarian Development Bank reports close to 50% increase in profit for the first three quarters of 2019
BDB has the highest capital adequacy in the country and a “BBB” stable rating
BDB reported close to 50% profit increase for the first three quarters of the year compared to 2018, thus reaching BGN 22 million in number. The increase in the bank's financial result is significantly higher than the average for the banking system in Bulgaria, where the annual increase reached 4.2 percent. In addition, BDB contributed BGN 20.1 million of its 2018 profit to the country's budget.
BDB has the highest capital adequacy in the country – 31% as of the end of September. Its liquidity coverage ratio stands at 558%, far above the average of the banking system and significantly above the regulatory requirement of 100%.
The credit activity is gradually increasing in support of the development of the national economy, marking a 9% growth for the first nine months of the year in terms of newly extended loans, thus ranking the bank among the top 10 financial institutions in the country by newly-granted company loans.
The bank continues to fund its activities though unsecured loans from IFIs based on its own financial strengths and with no burden on the state budget in the form of state guarantees. Since the beginning of 2019, BDB’s borrowings more than doubled, reaching BGN 1 164 million.
The Fitch rating agency confirmed BDB’s rating of at "BBB" and changed its perspective to stable.