The Fiji Development Bank (FDB) has announced a robust profit of $5.5 million for the year 2024. This marks a significant increase from the previous year’s profit of $3.78 million, as discussed by the bank’s general manager of finance and administration, Saiyad Hussain, during a presentation to the Parliamentary Standing Committee on Economic Affairs.
When questioned by committee member Premila Kumar about prioritizing profits, Mr. Hussain clarified that the bank’s primary focus remains on providing accessible loan facilities for clients. He highlighted the bank’s commitment to offering competitive interest rates, noting that the sustainable SME loan package is available at a low interest rate of 3.99%. Many other loan packages also feature rates between 3.9% and 4.5%.
Mr. Hussain explained that despite these lower rates, the bank must strategically compete with commercial banks, which generally have different cost structures for funding. Since FDB typically borrows funds directly from the market, it can affect its pricing strategy.
This positive financial performance not only reflects the bank’s effective management and growth but also demonstrates its commitment to supporting the local economy by providing affordable lending options. As the FDB continues to balance profitability with the provision of accessible financial services, it reinforces its crucial role in fostering economic development in Fiji.
In summary, the FDB’s profit rise indicates a healthy financial trajectory while maintaining a strong focus on customer needs, positioning itself favorably in a competitive market landscape.
Leave a comment