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ECCB ANNUAL REPORT 2016/2017
Net interest income continued to be the largest
contributor to operating income and amounted to
$55.7 million, or 71.85 per cent of the revenues earned
by the Bank, up from $41.9 million (68.72 percent)
in the previous financial year. The improvement was
mainly attributed to growth in the portfolio of interest
earning assets. Interest income from foreign reserve
assets grew by $15.2 million or 44.61 per cent primarily
due to growth of $434.5 million (41.36 per cent) in
money market instruments and $78.8 million (2.77
per cent) in foreign debt securities, when compared
to the prior year. Income from banking licence fees
and penalties rose by $5.6 million in accordance with
the provisions of the Banking Act, 2015. The increase
in operating income was offset by a decrease of $2.5
million in realised gains on disposal of securities as
the rise in US Treasury yields during the latter half of
the financial year resulted in a decline in bond prices
and a reduction in realised gains on the sale of foreign
securities.
Operating expenses for the 2016/17 financial year
totalled of $72.1 million, an increase of $0.1 million
or 0.11 per cent over the 2015/16 financial year. The
increase was due to upsurges in administrative and
general expenses and staff costs of $2.2 million and
$1.1 million, respectively. This was offset by a $2.9
million reduction in currency expenses.
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ECCB ANNUAL REPORT 2016/2017
Chart XI - Net Interest Income (EC$’000)
Chart XII - Operating Expenses (EC$’000)