Derivatives cost Kotak bank clients Rs 612 cr

Font Size

Express news service Posted: May 10, 2008 at 2338 hrs IST

Print Email Feedback Discuss

MUMBAI: : Private sector Kotak Mahindra Bank has made a provisioning of Rs 86 crore to cover the mark-to-market (MTM) losses of its clients on account of forex derivative transactions. Around 45 clients of the bank which have taken exposure to forex derivatives have incurred MTM losses of Rs 612 crore on account of forex transactions as on May 8, 2008. “With regard to exposure to forex derivatives, the bank has no exposure to SME clients,” vice-chairman and MD Uday Kotak said.

Many banks, including SBI, ICICI Bank and Axis Bank have made provisions on account of the losses of their clients in forex transactions.

Meanwhile, Kotak Mahindra Bank announced a consolidated net profit of Rs 240 crore for the fourth quarter ended March 31, 2008, a 41 per cent growth over the corresponding period a year-ago. The bank had a net profit of Rs 170 crore in the fourth quarter of financial year ended March 31, 2007.

Ads By Google

Post Comments

Message*	Maximum characters allowed

Name*		Email ID*
Subject*		Country*

TERMS OF USE:
The views, opinions and comments posted are your, and are not endorsed by this website. You shall be solely responsible for the comment posted here. The website reserves the right to delete, reject, or otherwise remove any views, opinions and comments posted or part thereof. You shall ensure that the comment is not inflammatory, abusive, derogatory, defamatory &/or obscene, or contain pornographic matter and/or does not constitute hate mail, or violate privacy of any person (s) or breach confidentiality or otherwise is illegal, immoral or contrary to public policy. Nor should it contain anything infringing copyright &/or intellectual property rights of any person(s).

I agree to the terms of use.

View all Messages [ 0 ]

Be the first to comment.

View all Messages [ 0 ]

Mail this page