BNP Paribas says profits up despite ‘lacklustre’ markets

PARIS: French bank BNP Paribas said on Tuesday that its profits rose last year as good business performance in all divisions helped cushion it against a “lacklustre interest rate and market environment.”

BNP Paribas said in a statement that net profit edged forward by 0.7 per cent to 7.8 billion euros ($9.7 billion) in 2017.

Underlying or operating profit declined by 4.3 per cent to 10.3 billion euros as revenues slipped by 0.6 per cent to 43.2 billion euros.

Nevertheless, the bank insisted that it “got off to a good start” to its 2020 business development plan.

“In a lacklustre interest rate and market environment, the business activity of the group developed vigorously sustained by a gradually stronger European growth,” it said.

“The good overall performance of the operating divisions this year illustrates the promising start to the plan,” the statement said.

“The group thus confirms its 2020 targets and aims at a return on equity above 10 per cent at that time.”

BNP Paribas said under its business development plan it will invest three billion euros in accelerating its digital transformation and improving operating efficiency.

Its management board proposed paying an increased dividend of 3.02 euros per share for 201. — AFP