Despite the disruptions of tariffs, the bank said it believes in ASEAN's resilience and long-term potential – the region's competitive edge in manufacturing and commodities would ensure its relevance as global supply chains reconfigure.

United Overseas Bank (UOB), headquartered in Singapore, has reported S$1.5 billion ($1.16 billion) in net profit for the first quarter of 2025, stable year-on-year, supported by broad-based growth, including record fee income and robust loan growth.

The group’s first quarter performance was supported by its diversified growth drivers across the wholesale banking and retail businesses, the bank said in a statement. Net fee income rose 20 per cent year-on-year to a high of S$694 million, driven by growth in loan-related and wealth management fees. Net interest income increased by 2 per cent from the previous year, led by robust loan growth of 6 per cent.

Other non-interest income eased 5 per cent year-on-year from lower trading and investment income, but grew 25 per cent from the previous quarter, due to strong customer treasury income and good performance from trading and liquidity management activities.

Credit costs in the first quarter increased to 35 basis points due to additional pre-emptive allowance set aside to strengthen provision coverage amid growing macroeconomic uncertainties. Asset quality remained resilient with a non-performing loan ratio at 1.6 per cent. The group’s balance sheet stayed robust with ample liquidity and a Common Equity Tier 1 ratio at 15.5 per cent.

“Macroeconomic uncertainties from the US tariffs have triggered significant market volatility and disruptions in global trade. We anticipate a slowdown in global growth in the near term and remain vigilant amid the uncertain global outlook,” Wee Ee Cheong, UOB’s deputy chairman and chief executive officer, said. “We believe in ASEAN’s resilience and long-term potential. The region’s competitive edge in manufacturing and commodities will ensure its relevance as global supply chains reconfigure. We expect flows within ASEAN and between ASEAN and the rest of the world to continue growing as countries seek new ways to prosper.”