Growth of loans (GROWL) and growth of assets (GROWA) are positively related to bank
profitability. Bearing in mind one-year data analysis, aforementioned results should not be
unconditionally accepted as a sign of prudent credit risk management in a banking practice, but more
realistically to be considered as an evidence of capital employment and consequence of generating fee
income from credit allowance and interest revenues from loans at least in the first year. Indicator of
loan loss provisions (PRO) has a negative impact on bank profitability set out in form existence or
absence of profitability, which is not surprising if an income statement structure is on mind. On the
other hand, a positive impact of the latter indicator on ROAE might be a proof of a gradual
provisioning for non performing loans by the above average profitable banks.