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China Merchants Bank forecasts doubled H1 net profit
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China Merchants Bank (CMB) said its unaudited net profit for the first half of this year would more than double compared with 6.12 billion yuan (886.96 million U.S. dollars) in the first half of 2007.

The rise was driven by the company's various businesses expansion, increased loans and interest spread, growth in interest and non-interest income, reduced credit cost and lower effective income tax rate, said an announcement released by the CMB.

CMB shares rose 0.66 percent to 21.29 yuan on the last trading day this week. The bank's positive performance estimate, together with the Industrial and Commercial Bank of China and Shanghai Pudong Bank's forecasts of major rises in net profit on Friday, would back up investors' confidence in bank shares, said analysts.

(Xinhua News Agency July 4, 2008)

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