NBS surplus up by 22% to $993M

The New Building Society (NBS) ended last year with a surplus of $993 million compared to $813 million in the preceding year, a rise of 22%.

Chief Executive Officer, Ahmad M Khan in his report to the NBS AGM on April 26, said the $993 million surplus was the highest ever recorded in the institution’s history.

The NBS’s asset base has appreciated by 10% to $54 billion. He added that the demand for mortgages continued and the Society disbursed over $7.8 billion in mortgages last year compared to $6.8 billion in the previous year.

Total mortgage loans at the end of 2013 was $32.9 billion or 61% of total assets at the end of the year. While the mortgage portfolio has been growing, Khan said that the reserve for loan losses to gross loans ratio has been declining correspondingly.

Ahmad M Khan
Ahmad M Khan

“This is testimony that the Society’s Mortgage Portfolio is made up of quality loans. It is also a reflection of our mutuality of working with mortgagors in their time of difficulties to resolve their situations”, he asserted.

The institution’s overall portfolio increased by $3.7 billion to $44.7 billion at the end of last year.

Khan said that financial institutions in Guyana are facing an “uphill task” in conducting foreign currency business in light of Guyana being unable to amend its anti-money laundering legislation. He said that the Society remain optimistic that the major stakeholders will be able to resolve the stalemate. Nevertheless, he said that the NBS has taken steps to bolster its internal policies and procedures aimed at detecting money laundering.

The NBS’s accounts show that interest income on loan assets rose from $1.67 billion in 2012 to $1.9 billion last year. Income on investments declined from $457 million in 2012 to $290 million last year. The interest expense also fell from $924 million in 2012 to $894 million last year.


More in Local News


About these comments

The comments section is intended to provide a forum for reasoned and reasonable debate on the newspaper's content and is an extension of the newspaper and what it has become well known for over its history: accuracy, balance and fairness. We reserve the right to edit or delete comments which contain attacks on other users, slander, coarse language and profanity, and gratuitous and incendiary references to race and ethnicity.

Get the day's headlines from SN in your inbox every morning:

Most Read This Week

  1. Convicted drug trafficker Barry Dataram about to be handed over to local enforcement officials by the Suriname police. Inset is the information page in the fake passport for “David Persaud” that was being used by the fugitive. (Royston Drakes photos)

    Dataram, wife returned to Guyana

  2. Back in court: In this Keno George composite photo, Barry Dataram (left) and his wife Anjanie Boodnarine at court yesterday to answer three charges including fleeing the jurisdiction.

    Dataram to serve eight years in jail after guilty plea to new charges

  3. Yansen Brusche

    Ulverston mom of four stabbed to death by children’s father

  4. US Ambassador Perry Holloway and Finance Minister Winston Jordan shake hands after the signing of the agreement yesterday.

    Guyana inks pact for reporting to IRS on holdings of US citizens

  5. Updated: Man dies after bandits attack overseas-based Guyanese at Herstelling

  6. Barry Dataram

    Datarams getaway passports had been issued to other people

  7. Dr. Prudence Lewis-Bhola

    Prudence Lewis-Bhola appointed as CEO of broadcasting authority

  8. Cops grilling taxi driver after passenger robbed of $6M on seawall

  9. featured

    Diwali holiday on Oct 29, motorcade set for same day

Recommended For You