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Bank Trends

Nov 03, 2008 (LBO) - Sri Lanka's Nations Trust Bank (NTB) said September quarter net profit fell 15 percent to 136 million rupees from a year ago despite strong growth in net interest income and non-interest income.
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NTB's non-interest expenses in the September quarter also rose sharply amid high inflation and rising staff numbers.
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Personnel costs rose by almost half to 290 million rupees.
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Gross income rose 89 percent to 3.61 billion rupees at group level, according to interim results released by the bank.

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Group net profit for the nine months ending September 30 were up 19 percent to 421 million rupees.

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At bank level, interest income for the September quarter rose 43 percent to 2.64 billion rupees while interest expenses rose 46 percent to 1.

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97 billion rupees, with net interest income up 34 percent to 671 million rupees.
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Foreign exchange income shot up 82 percent to 117 million rupees while other income rose 94 percent to 407 million rupees.

NTB reported a sharp increase in specific provisions in the September quarter, continuing a trend from earlier in the year, with asset quality worsening, analysts said.

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Total provisioning for bad loans rose 202 percent to 104 million rupees with s

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