Banking – In-depth – [NEUTRAL] – The Growth Story Continues

Banking profits could be poised for double-digit growth in 2026F, driven by remaining robust credit growth and a rebound in fee-based services, such as payments and bancassurance. Despite potential NIM compression, the industry outlook remains positive as NPL ratios stabilize. This improvement is driven by a healthy economy and streamlined debt-handling regulations. Additionally, sustained efforts in bad debt collection are expected to further bolster net earnings.