Standard Bank warns of lower earnings

FILE: A Standard Bank branch.

JOHANNESBURG - Standard Bank is warning its annual headline earnings will be 40 to 50-percent lower than 2019.

South Africa's largest lender has been grappling with pressure on consumers and businesses as a result of COVID-19.

READ: Standard Bank finds clients depend on COVID-19 support

The bank said the high number of retrenchments and salary cuts that its customers have been faced with has led to an increase in stage-three provisions.

Stage-three provisions refer to bad debt provisions for loans that have exceeded the 90-day non-payment threshold.

When the pandemic hit last year, the big banks offered payment holidays and other relief measures for customers struggling to meet their debt obligations.


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