The Independent Uganda: You get the Truth we Pay the Price
Kampala, Uganda | THE INDEPENDENT | Africa’s multi-lateral lender, African Export-Import Bank, has recorded an 8% growth in assets to $30.1 billion for the six months ending June 30, 2023, driven by an increase in loans.
The lender recorded a substantial growth in total interest income, which soared by an impressive 107.1% to reach $1.1 billion during the first half of 2023, compared to $540.8 million for the same period in 2022.
Net interest income stood at $663.6 million, marking a 76% increase from the previous year, primarily attributable to effective interest expense management.
The bank’s shareholders’ funds also saw significant growth, increasing by 7.63% to $5.6 billion as of June 30, 2023, compared to the previous fiscal year.
This growth was largely attributed to $261 million in fresh equity contributions from existing and new shareholders, supporting the ongoing General Capital Increase initiative aimed at raising $2.6 billion in paid-in equity by 2026.
Additionally, the growth in shareholders’ funds benefited from $125.5 million in internally generated net earnings, considering approved dividends and other appropriations totalling $209 million.
Denys Denya, Afreximbank’s Executive Vice President for Finance, Administration, and Banking Services, expressed satisfaction with the bank’s performance, highlighting their success in executing their mandate as a countercyclical lender.
He emphasized their commitment to profitability and sustainability while maintaining liquidity, capital strength, and a high-quality asset portfolio.
He also pointed out the affirmation of Afreximbank’s international scale ratings by Global Credit Rating (GCR) and Japanese Credit Rating (JCR), as well as Moody’s maintenance of the bank’s credit rating. Moreover, Afreximbank received accolades from African Banker, naming it the 2023 African Bank of the Year and DFI of the Year, recognizing its significant contributions to Africa’s trade and development.
