November 1, 2009
Continental still trails BCP in terms of assets $10.8 billion to $17.0 billion as of July, according to Peru's banks superintendent but has maintained superior ratios during the crisis. ROE rose to 38.3% in May from 36.2% at year-end 2008, and ROA increased to 2.6% from 2.5%, according to the banks. BCP saw ROE of 31.6%, down from 37.6% at year-end 2008, and ROA of 2.4 %, versus 2.7%, they add.Continental's smaller presence compared to BCP may have served to keep it out of some riskier retail business. The two both claim 1.2% in past due loans of May, according to Continental. This, along with a more efficient network has helped maintain profitability. Operating expenses were jus
The banking race in Peru is a close one, and the global credit crisis appears to have done little to separate the two largest players, BBVA Continental and Banco de Credito del Peru. Backed by its parent¹s powerful network and back-office support, Continental¹s focus on profitability above size has served it well.