TOTAL deposits of First Private Bank (FPB) increased an impressive 56 percent to K24.7 billion in the 2006-07 financial year from K15.8 billion in 2005-06, the bank stated in its annual report.

“As of November 20, total deposits of our bank amounted to K31 billion,” FPB president Dr Sein Maung said at the bank’s 16th annual general meeting on November 24.

Money in current accounts has increased the most, up 174pc, while savings accounts increased 47pc and fixed deposits rose 42pc in 2006-07, the report shows.

In September 2007 the bank’s paid up capital reached the K5-billion limit on authorised capital, allowing the bank to accept up to K50 billion in deposits, Dr Sein Maung said.

The bank’s loan book increased 28pc to K17 billion in 2006-07, which ended March 31, from K13 billion the previous year, the annual report shows.

“We are now lending out 80pc of total deposits, mainly to the manufacturing, trading and service sectors,” Dr Sein Maung said.

The Central Bank of Myanmar has instructed all private sector banks, including joint venture banks with government ministries, that non-performing loans (NPL) must not exceed 2pc of total loans.

“Our bank has zero NPL, which is the lowest rate among all the financial institutions in Myanmar and even in the region and further afield,” Dr Sein Maung said.

The bank increased its profits by almost two-thirds in 2006-07 to K2.47 billion from K1.491 billion in 2005-06.

“In this financial year our profit is expected to reach K2.8 billion,” Dr Sein Maung told shareholders at the meeting.

First Private Bank was established in 1992 and now has 15 branches across the country employing 450 staff.