Dubai: Standard Chartered reported a 175 per cent jump in annual profits, reporting a $2.41 billion (Dh8.85 billion) in pretax earnings for 2017, up from $409 million the year before.

The bank proposed to restore a full-year dividend of $0.11 per ordinary share after suspending it in 2015 following losses. The bank, which operates across Asia, the Middle East and Africa, cancelled its dividend as part of a restructuring initiated by Bill Winters who took over as group chief executive in 2015.

Standard Chartered swung back to profit in 2016, a year after scoring its first annual loss in more than a quarter of a century as it struggled to cope with the effect of bad debts.

“The transformation of the group continued in 2017 with the significant improvement in underlying profits, a strong capital position and emerging clarity on regulatory capital requirements allowing us to resume paying dividends. We are encouraged by our start to 2018 and remain focused on realising the group’s full potential,” Winters said in a statement.

Standard Chartered’s loan book grew by about 11.6 per cent last year while operating income rose about 2.6 per cent in the period to $14.4 billion.

The bank reported strong performance in the Africa & Middle East region with profit after tax up 49 per cent from $431 million to $642 million in 2016, with a stellar showing from transaction banking and wealth management.

It said that the UAE, a key market, has turned around and commercial banking in the region has stabilised.

The bank plans to build income momentum and focus on returns in the region while focusing on digitisation and efficiency initiatives, it said in a statement.

“We have a deep-rooted heritage of over 150 years in Africa & Middle East and are present in 25 markets, of which the UAE, Nigeria, Pakistan and Kenya are the largest by income. Among international banks we have the broadest presence across sub-Saharan Africa by number of markets,” the bank said in its balance sheet.

It said while the economic challenges in Africa & Middle East were severe in 2015 and 2016, its business stabilised in 2017 and said it remains confident that the opportunities in the region will support long-term sustainable growth for the group.

Despite economic challenges in the region, underlying income of $2.76 billion was up 1 per cent year-on-year, driven by Africa (up 4 per cent) while the Middle East, North Africa and Pakistan were down 2 per cent. The UAE accounts for a significant share — at 27 per cent of the income from the region — with all others together adding up to 73 per cent.

Strong transaction banking and wealth management performance was offset by the impact of lower volatility in financial markets and lower margins in retail products. Loans and advances to customers in the region were up 5 per cent year-on-year and customer accounts grew 6 per cent. The Africa & Middle East region accounts from 10 per cent of the group’s loans and advances to customers.