[ Next | Previous | Up ]
Time: 2:26:05 AM
Remote Name: 18.104.22.168
One Hundred Ninety Three Billion Rials-The total Funds Accumulated By Commercial Banks Operating In Yemen During 1997
Till end of 1997, the accumulated funds of all commercial banks operating in Yemen rose to 193 billion rials (1484 million dollars). This represented a proportional increase of 4,5% than the available in 1996. Within a report published by the Yemeni Central Bank, this was certified by stating that such an increase is somehow modest due to the fact that many efforts were exerted to ease the burden levied on one public-sector bank i.e. The Bank of Yemen For Reconstruction & Development. It was also to decrease the heavy weight of responsibilities and obligations entrusted on this bank. The central Bank bought the biggest portion of its foreign debts by a low price rate.
The "Report" indicated that the commercial banks achieved an increase in their financial resources which reached the amount 76,4 billion rials, and out of which four billion rials were related to the raising of capitals, invested reserves and non-distributable profits. Another increase of about 19 billion rials came from the deposit funds sector of each of these commercial banks. It was also mentioned by the report that the value of funds belonging to such banks and kept by the Central Bank have diminished by about 33 billion rials due to the lowering-down of the ratio; imposed on compulsory funds deposited on these deposits and/or savings; from 15to 10%. The Governor of the Yemeni Central Bank indicated in a statement that the commercial banking sector witnessed throughout the whole year last some visible stability and development of the activities. These were praised by the Council's Executive Directors of the World Bank during the time they came to check on implementation of Article (4) of the banking system law in Yemen. The Council of World Bank confirmed that such implementation deserved the admiration for the fact that the overall economic performance of the commercial banks in Yemen improved to a large extent through developments observed in the growth, inflation ratio, general fiscal procedures, fiscal conditions, and other external sectors. Moreover, the commercial banks have employed its resources through investing in the treasury bills up to the amount 28 billion rials on one hand, and in expanding its limits of offering loans and personal debts that reached to approximately eleven billion rials on the other hand. Besides another 16 billion rials were collected as extra income through the related foreign funds sectors of each of these banks. Though the Central Bank resumed a number of depreciation since the last quarter of 1996 on the interest rates from 20% to 11% on last December 1997, the report revealed that the deposit funds related to the commercial banks; and as from the closing period of 1996 to the one of 1997; have had an increase increase in value from 122 billion to 141 billion Yemeni rials. ________________________________ Press Article issued by: Al-Hayat daily issue published from London in Arabic Reference: Iusse No. 12811 dated 31/3/1998-04-19 Press Reporter: Ibrahim Al-Ashmawi from Sana,a.