Abyssinia Bank has earned a net profit of 853.64 million birr for the 2020 / 2019 budget year. The Bank’s earning per share (EPS) [25 birr each] has slightly decreased from 7.23 to 7.20 birr. The bank managed to collect 47 billion birr in total deposit.
The bank showed impressive performance by increasing it’s total deposit from 32.15 million birr to 47.63 billion birr. This showed an increase of 14.5 billion birr. The bank’s number of customers doubled from the previous year’s 1.3 million to 2.6 million.
The bank managed to disperse loans worth 37.25 billion birr for the budget, which is an increase of 13.5 million birr or 56.9% compared to the previous year. Out of the total loans dispersed, Export sector showed a growth if 172% while Industry, Construction, Import and Agriculture showed in increase of 146%, 86%, 184% and 143% respectively.
The bank managed to earn 400 million USD in foreign currency for the budget year. This was 103.6 million USD below the bank’s goal for the current year. The bank report showed that stiff competition from other banks, the parallel currency market and covid-19 outbreak were the main reason for underperforming result.
The bank’s total revenue increase to 5.67 billion birr, an increase of 32.3%, out of which 85.5% is from interest on loans, while 14.6% is from services and fees. On the other hand, the bank’s total expense grew by 40.6% an reached 4.59 billion birr. Interest payments for depositors and salary and benefit increase for employees were reported to be the main reasons for the expense increase.
The bank’s total assets have reached 57 billion birr which is an increase of 17.60 billion birr from the previous year’s 39.3 billion birr.
Abyssinia Bank has increased the number of ATMs from 173 to 233 while an additional 400 ATMs and 300 POS terminals are in the process of being deployed across different parts of the country.
During this year, the Bank started offering first of it’s kind in Ethiopia, virtual banking service at selected locations. The service allows customers to be able to get most of the services obtained at branches such as account opening, cash deposits /withdrawals, etc. operated by themselves and available 24 hours a day and 7 days a week.
With a view to become more accessible to the public, Abysinia Bank has been aggressively expanding its branch networks opening 166 new branches and sub-branches thereby bringing the total number of its branches to 503. Accordingly, the Bank stands first among the private banks in number of branch outlets.
The Bank’s paid up capital increased from 2.81 billion to 3.15 billion.