Peruvian Bank Scotiabank Expects Loan Growth, Increased Risk Appetite Amid Economic Optimism
LIMA, Peru – Scotiabank Peru anticipates loan growth exceeding its previously projected 8-10% range, fueled by a resurgence in credit card and SME lending, the bank’s executives announced to investors. This optimistic outlook is coupled with a slight increase in the bank’s risk appetite, driven by recent portfolio performance and positive expectations for the Peruvian macroeconomic environment.
The bank’s net interest margin is expected to expand alongside the growth in credit card and SME loans, according to Scotiabank’s leadership. Though, this growth will be tempered by the cost of funds, influenced by lower interest rates on deposits, explained bank representative Tori during the investor conference. The growth comes as Peruvians increasingly seek credit, prompting banks to refine their lending filters.
Notably, Infocorp reports that individuals will be able to clear debts at a faster pace, with timelines shrinking to a matter of days in some cases. This increased access to credit and streamlined debt resolution are key indicators of a strengthening financial landscape in Peru.
The reporting was contributed by journalists Omar Manrique, a finance editor with 10 years of experience and a degree in economics from the Pontifical Catholic University of Peru, and Guillermo Westreicher Herrera, an economist specializing in journalism and digital media.
