Standard Chartered posts "strong" first half

Standard Chartered said first half growth was "very strong" due to robust growth in key Asian markets.

The bank, which makes 90 per cent of its profits from emerging markets, with a particular focus on Asia, said trading for the first six months of the year benefited from robust economic growth.

Standard Chartered said it remains well capitalised despite the credit crisis and impairments are low.

However, the bank said it has written off $108 million (£54.6 million) over the period due to losses in its asset backed securitisation portfolio.

Standard Chartered also warned rising inflation across its key markets in Asia could affect future trading.

Group chief executive Peter Sands said: "Standard Chartered has continued to deliver very strong performance, primarily driven by excellent results from wholesale banking.

"We have yet to see a material slowdown in our markets. However, given the extraordinary turbulence in financial markets, and increasing inflationary pressures now arising in our geographies, we remain disciplined in our management of risks and costs."

During the period, the bank acquired American Express Bank and disposed of its Indian asset management company.

Standard Chartered said the sale of the Indian unit made a profit of $146 million before tax.

Mortgage income has faced "challenges" the bank said, but consumer banking delivered double-digit income growth while wealth management continued to perform strongly, particularly in Singapore, Hong Kong and Africa.

Standard Chartered shares were down 2.93 per cent at 11:30 BST, to £15.23.