Home' Trinidad and Tobago Guardian : August 16th 2015 Contents AUGUST 16 • 2015 www.guardian.co.tt SUNDAY BUSINESS GUARDIAN
NEWS | SBG5
1 How would you describe the banking
environment in Suriname?
2 Can you provide a breakdown of the
bank s loan book?
3 What is the level of non-performing
loans, loan loss reserves as at the most recent
4 How profitable is the bank, in US dollars
terms, as at its most recent annual period?
Also, what are the return on equity (ROE) and
the return on assets (ROA) of the bank?
5 What is the competitive position of the
6 What are the growth prospects of the
bank, given that the country s main exports
are alumina, gold and oil, all of which have
suffered price declines in the last year or more?
7 In broad terms, what is Republic going
to do to attract more business to the bank?
8 Will Republic embark on a restructuring
programme at the bank in Suriname in order
to cut costs?
9 RBC Caribbean s July Economic report
indicates that Suriname s reserves fell 31 per
cent y-o-y to US$504 million, which it esti-
mates to be roughly 2.5 months of imports.
Is Republic Bank prepared for a loss in the
value of the Suriname dollar?
The Surinamese market is highly compet-
Out of the 10 commercial banks in Suriname,
Republic Bank (Suriname) NV (RBSR) is cur-
rently ranked as the third largest bank, with
DSB and Hakrinbank ranked first and second
respectively. The bank finances all sectors of
the economy and its portfolio extends to cus-
tomers at all levels: retail, commercial and
The loan portfolio of RBSR is strong and
healthy and its level of non-performing loans
is among the lowest in Suriname and possibly
the region; it is well below the five per cent
NPL average. As far as the profitability and
competitive position of the bank are concerned,
there is tremendous potential.
Over the past five years, the Suriname econ-
omy has demonstrated consistent growth of
between 2.9 per cent and 5.3 per cent. Though,
growth in 2015 is expected to decelerate, it
will still be positive, and from 2016 onward,
growth is expected to rebound, based in part
on two major projects that will be coming on-
stream: the new gold mine in the Nausau
region, and the new state oil refinery (Staatsolie
Maatschappij Suriname NV).
Suriname is dynamic and is on a very good
trajectory and Republic Bank believes in the
country s potential and the resulting oppor-
tunity for commercial banks drives the inten-
tion to become the number one bank in the
Republic is in Suriname because the market
is an excellent fit for its strategic Caribbean
push and based on the stage of market devel-
opment the bank believes that it can add value.
Republic expects to be an innovator in Suriname,
guided by the belief that there is significant
space for the introduction of new products and
new channels for the delivery of products and
services. It was the first bank in the English-
speaking Caribbean to offer credit cards with
chip and PIN technology. It is the first with
this innovation in Suriname.
RBSR is the only bank in Suriname that is
part of a larger group. This gives it certain
unique advantages, particularly in the area of
investment banking, and the bank will make
available to the Surinamese market its wealth
of banking expertise.
Republic has a very strong tradition of local
empowerment when it comes to operations
within a jurisdiction. In practical terms, this
means that local management is allowed and
expected to make decisions related to their ter-
ritories, usually without reference to head office.
The bank has very real expertise in economies
driven by mineral wealth, given its experience
in T&T and in Guyana. This gives it an impor-
tant perspective on Suriname s economy and
Republic is confident that it can provide busi-
nesses in the Surinamese sector with an
unprecedented level of support that will benefit
When Republic decides to enter a market,
it is there for the long term. This approach has
ensured the creation of significant value for
each of its strategic investment partners and
in every one of the markets it has entered.
The bank sees positive prospects for growth
in the economy, and while the possibility of a
depreciation of the Surinamese dollar is a risk,
it is one for which Republic is prepared. Should
there be devaluation, the bank expects that
RBSR s profitability will be maintained and is
confident in the wisdom of this investment.
Republic Bank is confident about the future
and while, at this time, the bank cannot say
that commodity prices will not fall further,
the bank is reasonably encouraged that the
most significant deadlines have already
The bank s confidence comes from its expe-
rience as a well as the team chosen to lead
RBSR. Throughout its history and more so,
over the last decade, as Republic Bank has
expanded into new territories, it has gained
increased insight and knowledge. In all its
markets and with ever-changing circum-
stances, it has and continues to encounter,
challenges and opportunities, and with its
increased experience, has become better at
converting the former into the latter.
In keeping with the code of conduct in Suri-
name and in compliance with the laws and
regulations of the country, RBSR has installed
a management board of directors, led by man-
aging director Gloria Anthony, with deputy
managing director Peter Ng A Tham and direc-
tor of corporate banking Montague Mc Leod.
The team has a combined total of over 75 years
banking experience in corporate business bank-
ing, SME banking and retail lending and oper-
This team will also have the support of the
supervisory board of directors, the members
of which are from Trinidad, Guyana and Suri-
name; three countries with similar economic
characteristics and challenges.
In Suriname, Republic Bank will therefore
do the same thing it has strived to do through-
out its long history; provide personalised effi-
cient and competitively-priced financial serv-
ices and implement sound policies, which will
benefit our customers, staff, shareholders and
communities, while aiming to build successful
Republic Bank prepared for
slide in Suriname dollar
On August 4, the day after Republic Bank started operating the
bank it acquired in Suriname from RBC Royal Bank (Suriname)
NV at a cost of US$39.8 million, nine questions were sent to the
bank s managing director David Dulal-Whiteway and the deputy
managing director, Nigel Baptiste.
Republic Bank, one of T&T s largest publicly listed companies,
responded on August 14, ten days after the questions were sent.
Following are the questions to the bank and its response:
Links Archive August 15th 2015 August 17th 2015 Navigation Previous Page Next Page