Standard Chartered reports strong first quarter

Standard Chartered bank said its broad geographic base once again helped it secure a strong start to the year with 'high single digit income growth' in the first quarter.

However, it said that Income growth had been hit by the continued strength of the US dollar against Asian currencies in the first three months of 2012.

The bank said that double digit income growth in Hong Kong, Malaysia, Indonesia, China and the Americas, UK and Europe region had more than compensated for the impact of subdued domestic business sentiment in India.

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"We are in excellent shape, we are a growth company and are differentiated by our liquidity and capital strength," said Chief Executive Peter Sands.

"Macroeconomic sentiment is showing signs of improvement, although there remain clear uncertainties and risks in the global environment."

In its consumer banking business Standard said there was good single digit income growth with double digit jumps in deposits, unsecured lending and loans to small and medium sized businesses.

The bank said loan impairment was higher than in the second half of 2011, which it put down to continued growth in its portfolio and deliberate shifts in product mix.

In its wholesale division, the bank said client income, which makes up 80% of total income in this area, grew at a high single digit rate over the comparable period in 2011.