Dbs Annual Report

SME banking, transaction banking and treasury activities. omestic loan market share grew to 24% from 23% in the previous year. We continued to achieve sthrong growth in consumer and institutional banking. In capital markets, we remained a leading player in equities, ? xed income, real estate investment trusts and business trusts. Hong Kong, which anchors our Greater China presence, is also a much sthronger entity; 2012 earnings at SGD 716 million are a record in local-currency terms. At the same time, we have shifted the composition of our business.

Income from higher-return annuity businesses has grown substantially.

For example, cash management, trade ? nance and treasury DBS was named “Bank of the Year, Asia” by The Banker, a subsidiary of the Financial Times. Over the course of the past three years, the fundamental construct of the bank has changed. Our business pro? le and earnings drivers have improved and the bank today is more resilient and better diversi? ed. Singapore now contributes 58% of the Group’s income compared to 65% three years ago, based on internal measurements. This is due to an increase in customer acquisition and a deepening of customer relationships in the region.

Even as the income contribution from our markets outside Singapore has increased, our leading market share in Singapore continues to grow – not an easy feat given our size and the maturity of our home market. In 2012, our Singapore customer income today account for 28% of the Group’s income, compared to 17% in 2009. Our SME and wealth businesses now account for 25% of Group income. We have also reshaped our balance sheet. With a loan-deposit ratio of 87%, we are now utilising our balance sheet more effectively to achieve growth and stability.

Over the past two years, we have also diversi? ed our funding sources to include wholesale funding.