Iran Commercial Banking Report Q4 2011: New research report available at Fast Market Research

Sept. 18, 2011 - PRLog -- A Dismal State Of Affairs  The Central Bank of Iran's decision to cut lending rates dramatically in April will harm the overall health  of the banking sector, particularly for private sector banks. In addition, the measure will fail to drive  strong loan growth, and we project total asset growth of just 3.0% in FY2011/2012 and 4.0% in  FY2012/2013.    We maintain our view that the Iranian banking sector is in a dismal state, and we expect only marginal  growth in total assets in FY2011/2012 (see our online service, February 3, 'Banking Sector: Anaemic  Growth Ahead'). Not only is the industry dealing with the effects of international sanctions and the  country's subsidy reform programme, both of which are harming the sector's growth potential, but  Iranian banks also have to deal with falling interest rates, which, in our view, will reduce their solvency.  We project banking sector assets to grow by just 3.0% in FY2011/2012 and 4.0% in FY2012/2013.    The interest rate cuts decreed by the Central Bank of Iran will reduce the banking sector's profitability,  and could also put the solvency of private-sector banks at risk. The Central Bank of Iran sets the interest  rates that Iranian banks can impose on deposits and loans and, according to media sources, on April 12  central bank governor Mahmoud Bahmani ordered banks to reduce their lending rates from 26-28% to 14-  17%, and lower the interest rate for long-term savings from 17% to 15%, in order to spur economic  growth. However, given the massive reduction in the spread between deposit rates and lending rates (which declined from an average of 10% before the announcement to 0.5% afterwards), we expect the  profitability and solvency of the banking sector to decrease dramatically going forward. Indeed, with  inflation rising to 18.0% year-on-year (y-o-y) in February 2011, even an interest rate of 17% for loans  would imply a negative real interest rate, boding ill for the health of the overall sector.

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Full Report Details at
- http://www.fastmr.com/prod/217209_iran_commercial_banking...
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Report Table of Contents:

Executive Summary
- Table: Levels (IRRbn)
- Table: Levels (US$bn)
- Table: Levels At December 2010
- Table: Annual Growth Rate Projections 2011-2015 (%)
- Table: Ranking Out Of 59 Countries Reviewed In 2011
- Table: Projected Levels (IRRbn)
- Table: Projected Levels (US$bn)
SWOT Analysis
- Iran Commercial Banking SWOT
- Iran Political SWOT
- Iran Economic SWOT
- Iran Business Environment SWOT
Business Environment Outlook
- Commercial Banking Business Environment Ratings
- Table: Iran's Commercial Banking Business Environment Rating
- Commercial Banking Business Environment Rating Methodology
- Table: Middle East And Africa Commercial Banking Business Environment Ratings
Global Commercial Banking Outlook
Middle East Banking Sector Outlook
- Improved Outlook, But Caution Warranted
- Table: GCC - Selected Banks' Exposure To MENA Countries
- Table: Banks' Bond Portfolios, 2009
- Table: Middle East and Africa Commercial Banking Business Environment Ratings
- Table: Comparison Of Loan/Deposit, Loan/Asset And Loan/GDP Ratios
- Table: Anticipated Developments In 2011
- Table: Comparison Of Total Assets, Client Loans And Client Deposits, 2009-2010 (US$bn)
- Table: Comparison Of Per Capita Deposits, 2010 (US$)
- Table: Interbank Rates And Bond Yields, 2010-2011
Islamic Finance Outlook
Iran Banking Sector Outlook
Economic Outlook
- Table: Iran Economic Activity, 2007-2015
Competitive Landscape
- Market Structure
- Protagonists
- Table: Protagonists In Iran's Commercial Banking Sector
- Definition Of The Commercial Banking Universe
- List Of Banks
- Table: Iranian Banks And Credit Institutions
Company Profiles
- Bank Melli Iran
- Table: Key Statistics For Bank Melli Iran, 2006-2008 (IRR)
- Bank Mellat
- Table: Key Statistics For Bank Mellat, 2006-2008 (IRR)
- Bank Saderat Iran
- Table: Key Statistics For Bank Saderat Iran, 2007-2009 (IRRmn)
- Bank Sepah
- Karafarin Bank
- Table: Key Statistics For Karafarin Bank, 2006-2008 (IRRmn)
- Parsian Bank
- Table: Key Statistics For Parsian Bank, 2007-2008 (IRRmn)
- EN Bank
- Table: Key Statistics For EN Bank, 2006-2007 (IRR)
- Post Bank of Iran
- Tejarat Bank
- Table: Key Statistics For Tejarat Bank, 2004-2005 (IRR)
BMI Banking Sector Methodology
- Commercial Bank Business Environment Rating
- Table: Commercial Banking Business Environment Indicators And Rationale
- Table: Weighting Of Indicators

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Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.