OCBC conservative about FY2025 targets amid trade tensions, uncertainties 

OCBC rode on the strength of macroeconomic tailwinds to register healthy growth for the full year ended December, as net profit hit a record high.

But its management is staying cautious about the year ahead.

Notably, OCBC is maintaining a conservative view of three rate cuts for 2025 – compared with its peers’ expectations of one or two cuts for the year – noting that the volatile environment and heightened trade tensions could impede global growth even as Asean economies remain resilient.

For the financial year 2025, the lender is targeting a net interest margin (NIM) of around 2 per cent and mid-single-digit loan growth.

It also expects a cost-to-income ratio in the low 40 per cent range and credit costs of around 20 to 25 basis points.