Chinese bank tops world ranking, Russia’s Sberbank comes 34th
The Industrial and Commercial Bank of China (ICBC) has moved from
third to first place in the magazine’s annual list of the top
1,000 banks. The Chinese bank saw its capital grow by 15 percent
to $160.6bn. China now has 4 banks in the top 10 and 96 in the
Top 1,000. Last year's winner, the Bank of America, fell back to
the third while JP Morgan stayed as the second. At fourth HSBC is
the only British bank in the top 10 thanks to significant
earnings from its Asian operations.
"For several years now European and American banks have been
stagnant and shrinking while Chinese banks have been expanding in
line with the growth in the Chinese economy. On most measures
they now score as well or better than Western banks but their big
test will be how they cope as China's growth slows over the next
few years," says Brian Caplen, editor of The
Representation of Russian banks in the Top 1000 increased from 21
to 24. Russian banks are second in the world by rate of growth
that averages at 32%. The capital of Russia’s biggest bank
Sberbank grew by 38%. The Russian Orient Express Bank saw the
second largest capital increase by 105%, business daily Vedomosti
quotes the magazine’s editor in chief Philipp Aleksander. The
world leader of growth is Swiss J. Safra Sarasin.
The total profits of the Top 1,000 banks are now close to
pre-crisis levels overall, but their distribution is very uneven,
according to The Banker.
"Before the crisis European banks accounted for 46 percent of
global profits and 58 percent of total assets (2006). Now they
have 43 percent of assets and a meager 1.58 percent of profits.
Asian banks have moved in the other direction increasing their
assets from 22 percent of the total to 35 percent and their
profits from 19 percent to 56 percent," according to The
One of the best European performers is Turkey where bank profits
grew by 37 percent. Out of the 10 largest loss making banks six
are Spanish. Altogether banks of Spain lost $73 billion.