The world started the year 2022 with the hope that the pandemic has come to an end, the health concerns have subsided, and the economy will revive. However, the war that began in the middle of Europe has once again revealed a sad scene for humanity and new uncertainties in the economic context.
The IMF has published the April 2022 issue of the World Economic Outlook with the title "War Sets Back the Global Recovery". It was noted that the global economic outlook has deteriorated significantly since the January outlook with the Russian invasion of Ukraine. The report revised down the global growth forecast for 2022 from 4.4 percent to 3.6 percent. In the report, which pointed out that the war will slow growth and boost inflation, it was stated that interest rates are expected to increase with the tightening monetary policies by the central banks, while many countries have limited room for fiscal policy to moderate the impact of the war on their economies.
For Turkey, in addition to geopolitical developments in our region, the pace of monetary tightening of the major central banks as a result of rising global inflation will be closely monitored in the coming period. In addition, trends in energy and raw material prices will be decisive in terms of the current account deficit and inflation outlook.
In addition to maintaining the growth trends that are still strong, it will be important to keep financial risks under control with the support of monetary and fiscal policies. The issue of financing the current account deficit, which has risen due to strong growth and rising energy prices, will remain on the agenda. In addition, restoring the rising inflation back to its previous levels will be decisive in terms of sustainability and fair distribution of growth.
Along with all these developments, the strength and soundness of our banking sector make us strong as a very important anchor. While the Turkish banking sector supports the economy during this period, it also should guide its customers wisely when it comes to funding.
We will continue to prepare ourselves for the coming period by making the firsts in the sector, again, with the right projects and technological developments in the digitalizing world.
In addition, we will continue to take responsibility towards sustainability with the right human resources and social responsibility projects developed.
Despite all these uncertainties, as QNB Finansbank, we successfully wrapped up the first quarter of 2022 with the right financing models and timely strategic decisions.
As of 31 March 2022, QNB Finansbank's total assets increased by 15 percent compared to the year-end of 2021, reaching TL 425 billion 669 million. In the same period, net loans of the Bank grew by 20 percent, reaching TL 240 billion 762 million, and customer deposits rose by 16 percent reaching TL 248 billion 263 million. The Bank’s net profit for the first quarter of 2022 realized at TL 2 billion 383 million.
I would like to thank all our financiers, customers, and business partners for their contributions to this success.
Ömer A. Aras
QNB Finansbank A.Ş.