Central Bank of Solomon Islands (CBSI) has recorded a major turnaround on the bank’s operations last year.
This was announced by the Governor of the Central Bank Denton Rarawa on Wednesday at the launch of the bank’s 2015 annual report.
“I am pleased to announce a major turnaround in CBSI financials from a net loss of $28.9 million in 2014 to a net profit of $44.3 million, owing to increases in fees and commission, other income, and net unrealised foreign exchange revaluation gains.
“Total income increased from $65.6 million a year ago to $115.1 million in 2015. Expenses on the other hand fell from $94.5 million in 2014 to $70.8 million in 2015,” the Governor said.
He further stated that, he is fully aware that the bank is still not out of the woods.
“The Bank’s balance sheet position had improved to a net asset position of $13.2 million from a net liability position of $18.8 million in 2014. But the bank’s balance sheet still requires further consolidation in 2016.
“The bank will take corrective measures by requesting Government to provide a promissory note of $32 million to ensure that the provisions of the CBSI Act 2012 are complied with,” he added.
Meanwhile, he explained that this depends on the Government but the CBSI Board will continue to institute measures that will strengthen its profitability and balance sheet in 2016,” he explained.
By RONALD TOITO’ONA
