By Edu Abade
The board of directors of Ecobank Transnational Incorporated (ETI) has approved a resolution of shareholders authorising to raise senior-ranked debt, additional Tier 1 and Tier 2-qualifying subordinated debt or a combination of both instruments as the board may deem appropriate.
ETI, the parent of the Ecobank Group, the leading pan-African bank with presence in 35 African countries, reached the decision at its 35th Annual General Meeting (AGM) and Extra Ordinary General Meeting, yesterday, in Lomé, Togo.
The shareholders also approved the accounts and appropriation of profits for the 2022 fiscal year and voted for the re-election of Mr. Simon Dornoo, Professor Enase Okonedo, Dr. George Donkor, Mr. Deepak Malik and Ms Zanele Monnakgotla as directors of ETI, as well as ratified co-option of the Managing Director, Mr. Jeremy Awori as director.
Speaking at the meeting, Ecobank Group Chairman, Alain Nkontchou, said: “Ecobank is a powerhouse in the African banking landscape and is positioned to support and facilitate the growth and development of African businesses, as they grasp the immense single market opportunities created by the African Continental Free Trade Area.
“Quite simply, Ecobank is the solution for SMEs and corporate organisations. The strength of our borderless payment, collection, working capital and financing solutions exemplifies this.”
Also speaking, Chief Executive Officer of Ecobank Group, Jeremy Awori, said: “In 2022, Ecobank demonstrated strong financial results and performance, despite the challenging economic conditions of high interest rates, inflation and Ghana’s debt restructuring.
“This success can be attributed to the bank’s diversified business model, digital expertise, innovative approaches, growth momentum, and efficiency. These strengths allowed the bank to navigate the adverse economic environment, absorb the impact of the debt restructuring, and continue to thrive.”
Details of the financial report showed that ETI’s profit for 2022 amounted to $222 million compared with $295 million in 2021, while its profit before tax (PBT), net revenue and total assets increased by 13 per cent, six per cent and five per cent to $540 million, $1,862 million and $29,004 million respectively.
In addition, the return on tangible equity of 21.1 per cent in 2022 remains the highest Ecobank has achieved in the last decade and for the first quarter of 2023, the Group performance results showed momentum, as the bank continues to benefit from its pan-African and diversified business model, efficiency, balance sheet stability, deep customer relationships and the efforts of its employees.
Ecobank is one of the leading banking groups in Africa and by far the largest in terms of countries of presence. It is renowned for its continuous delivery of innovation and excellence in customer service to its broad range of Consumer, Commercial, Corporate and Investment Banking customers.
The bank has significantly invested in its digital capabilities, including mobile banking, internet banking and payments infrastructure. This focus on digital banking enables it to reach more customers, reduce costs and improve efficiency.