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[SINGAPORE] DBS should be able to hit its return on equity (ROE) target of 15 to 17 per cent through its growth strategy in the years ahead, said the bank’s new chief executive, Tan Su Shan.

The target accounts for the four interest-rate cuts in 2024, as well as the lender’s expectations for another four reductions this year and next, said Tan at DBS’ annual general meeting (AGM) on Friday (Mar 28).

The AGM, which more than 1,500 shareholders attended, also marked the leadership transition of South-east Asia’s largest lender.

Piyush Gupta stepped down from the role of CEO at the end of the AGM, ending a 15-year tenure during which the bank reaped cumulative shareholder returns of almost 600 per cent.

Commenting on the ROE outlook, Gupta said that if interest rates stay closer to the 4 per cent range, DBS may be able to achieve returns of around 17 to 18 per cent.