Standard Chartered unfazed by emerging markets slowdown
STANDARD Chartered, the UK bank that generates more than three-quarters of its earnings in Asia and also does significant business in Africa, has reiterated its profit forecast for 2013 despite investors around the world pulling out of emerging markets.
Investors are pulling money from emerging markets at the fastest pace in two years as slowing economic growth and the prospect of less global stimulus hurts stocks, bonds and currencies from India to Brazil.
China, the largest developing economy, is forecast by the World Bank to expand at its slowest pace since 1999 this year.
The bank said in a statement yesterday that it is "comfortable" with analyst estimates that predict a full-year operating profit of $8bn for 2013, compared with about $6.88bn in the previous year.
"Growth has remained resilient across our footprint markets of Asia, Africa and the Middle East with high levels of client activity," said chief executive Peter Sands.
Standard Chartered's share price was up by 1.5pc yesterday to £14.31 (€16.88), valuing it at about £35bn (€41bn).