Deputy CEO: MNB Mortgage Bank to return to profitability



MNB Mortgage Bank expects to break back into the black this year, according to IFRS, on improved revenue from interest and fees, deputy CEO Gergő Soltész said at a shareholders meeting yesterday.

Meanwhile, the Hungarian Development Bank (FHB) took a loss of HUF 4.7 billion last year, widening 4.5% from the loss in 2012, said CEO Gyula Kobli. Excluding the effect of the bank levy, losses would have come to HUF 1.3 billion, he added. Chairman Zoltán Spéder said FHB’s home loan outlays came to HUF 7 billion last year, raising its market share in this view to more than 5%. The bank’s corporate lending activity also improved, helped by the National Bank of Hungary’s Funding for Growth scheme. FHB lent HUF 30 billion in the framework of the first phase of the MNBscheme. Average loan size was HUF 160 million - 170 million.

Spéder said retaining and improving the quality of the lending portfolio had been a priority, noting that the proportion of non-performing loans had fallen. He added that the percentage of properties the bank had transferred to the National Asset Management Agency (NET), established to buy foreclosed properties designated by banks and allow the borrowers to continue to reside in their homes as tenants, was well over the market average. 

Corporate outlays reached almost HUF 40 billion in 2013, almost triple that in 2012, Speder said. 

This year, FHB expects outlays of subsidised forint home loans to rise 41% over HUF 11 billion, Soltész said. Stock of retail deposits could rise by 42%, thanks to a partnership with Hungarian postal service Magyar Posta, he added.


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