Singapore's DBS profit slumps to 2-year low on O&G bad debts

Gupta: ‘I don’t think the worst is over.’ – Bloomberg

SINGAPORE: Singapore bank DBS Group Holdings posted its lowest quarterly profit in two years as provisions for soured loans to the city-state’s oil services industry surged, and it joined smaller rival OCBC in forecasting more pain for that sector.

The city-state’s banks, long lauded for their conservative lending practices, have been subjected to a severe test over the past year as a number of local offshore and marine companies have been forced to restructure their loans due to low oil prices, weak charter rates and delays to projects.