Scotiabank preparing for any covid19 impact

Scotiabank TT Ltd on Tuesday reaffirmed its commitment to this country as the organisation divested its business from other Caribbean countries.

Addressing the bank’s 50th annual meeting of shareholders at the Hyatt Regency on Tuesday, Brenden King, chairman of Scotiabank TT Ltd (SBTT), said as an organisation, it was very proud of dotng business in TT.

“We have the best team delivering the best solutions for our customers. And that incredible effort is being recognised across our industry.

“For the sixth time since 2007, I’m pleased to share that Scotiabank was recognised as TT’s 2019 Bank of the Year by the Financial Times publication The Banker magazine. I couldn’t agree more with their assessment that we’ve had a fantastic year.”

King said the Banker evaluates the progress each of the nominees has made over the last 12 months to determine the winner.

He said for fiscal 2019, Scotiabank achieved a net income after tax of $688 million.

“It is an increase of $28 million, or four per cent, over the same period in 2018, arising from increased revenues in the bank’s business.

“I am pleased to note that the bank’s total revenue increased by $28 million, or two per cent, to $1.86 billion, driven by strong growth in our retail and especially in our corporate/commercial loan portfolios, which demonstrates our ability to provide sophisticated solutions and bring the strength of the entire bank to support our clients.”

King said in its October 2019 publication, the IMF predicted global growth of three per cent for 2019 with an expected increase to 3.4 per cent in 2020.

He said the predicament remains the full impact covid19 will have on the global economy, as well as the recent sharp downturn in energy prices on Monday after a price war over oil production levels between Russia and Saudi Arabia.

King said the bank will continue to monitor and evaluate the impact to its customers and country.

“With the support of Scotiabank in Canada, SBTT will take steps to ensure we are prepared for any potential impact should the virus impact our operations here, as well as mitigating the impact of any economic downturn through prudent risk management practices.”

In TT, he said, the economic climate has remained relatively subdued.

The period 2016-2018 saw economic contraction, with 2019 expected to show marginal growth of 0.5 per cent, and 2020 one per cent growth. Unemployment has increased and crude oil and natural gas prices remain below budgeted levels, but the outlook for gas production remains cautiously optimistic, as production levels are gradually working their way back to the desired daily four billion standard cubic feet target.

“We will continue to monitor the impact of covid19 and adjust to changes in the local economic conditions and the global energy market to mitigate against potential downturns.

King said in TT, over the past five years, the bank’s corporate social responsibility investments have supported over 117,000 individuals, including more than 67,000 youths who are gaining lifelong skills and values that help them grow into healthy, contributing adults.