18 Percent Increase in Annual Profit while Brazil block Notices Strong Performance- Santander Announces

According to the reports of Banco Santander, there is an 18 percent rise in the revenue during 2018 as a result of strong growth in the United States, Spain, and Brazil.

By observing at the bank’s annual performance, the annual income has gained 7.81 billion euros during last year as compared to 6.62 billion euros during 2017.

On Wednesday, the Spanish bank mentioned that during the last quarter of 2018 we noticed an increase of around 4 percent in net income from earlier three month time by reaching 2.07 billion euros. On Wednesday, during the morning trade, the shares were much higher.

Ana Botin who is the executive chairman speaking at the bank said that she is immensely self-satisfied about the last three years performance.

We are immensely proud of the things we have earned during these three years since we have delivered growth and only a few European banks have delivered growth. More than 20 percent of progress has been delivered at the top level along with profit and has strengthened the balance sheet. In Madrid, Ana Botin spoke to CNBC’s Geoff Cutmore.

Further, Botin stated that the current strategy would be maintained by the bank that is mainly based on client loyalty and digital quality.

The bank functions are various regions, by looking at these regions, the United States observed that the profit is up by 42 percent annually. Brazil saw the profit up by 22 percent and Spain by 21 percent. The United Kingdom and Argentina did not notice any positive growth.

Botin told that we have more trust in Brazil; Brazil has sustained a huge recession in the history, which has seen only 9 percent of the rise in the GPD and our banks did function well throughout the period.

She also spoke out on the appointment of Jair Bolsonaro, the new leader and the plans that he has for the country.

The plan that the government has needs to get the pension reform certified, and this is the essential thing, Botin mentioned. There are various other things to be done, but I hope that you see 10 years of growth in Brazil around 3-4 percent.

A slowdown in Global Growth seems to be good for Banks

A few days back the International Monetary Fund [IMF] dropped its prediction related to global growth stating to the issues in China, the U.K, and Germany.

Although, Botin spoke to CNBC that the decrease in the global growth rate could be a positive sign for banks.

There will be some drop in the global growth, and there is no doubt in it, but I believe that it will be not so bad because the growth can be more stable and this is considered good for the banks, Botin said.

If there is more sustainable growth then we will be having limits, could be a bit expanded one, along with high rates but not too high, and this is good for worthless loans, and it will be even good for demand for credit.

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