2009 YEAR OF ECONOMIC TURBULENCE, SAYS STANCHART

KUALA LUMPUR, April 22 (Bernama) -- 2009 is expected to be a year of
continued economic turbulence with global recessionary conditions, says Standard
Chartered Group Finance Director Richard Meddings.

Against this backdrop, he said the maintenance of a liquid, conservative and
well diversified balance sheet was the best way to sustain the
group and serve customers.

"We will place investments and discretionary expenditure through the year,"
he said in the Standard Chartered annual report.

Wholesale banking will continue with disciplined execution of the existing
client-focused strategy, with effective management of capital, liquidity and
risk, he said.

"Consumer banking will continue to undergo significant repositioning,
diversifying income streams and accelerating the transition to an increasingly
customer-centric model," Meddings said.

The report said the early part of 2008 was characterised by
strong economic growth across the group's key markets, driven by strong regional
trade flows, with the Middle East benefiting from high oil prices.

The last few months of 2008 witnessed severe disruption in financial markets
including a significant deterioration in international trade flows and a fall in
confidence across much of the world.

In Malaysia, income was down US$9 million or three per cent to US$265
million. Mortgage income was lower as margins fell in the face of competition.

A decrease in wealth management income reflected a lack of consumer
competition in the equities market.

There was however an improvement in unsecured lending income which benefited
from the implementation of a revised sales and incentives scheme.

-- BERNAMA