- NBE contributes share for the success
BY BILAL DERSO
ADDIS ABABA- Awash Bank, Ethiopia’s most profitable private bank, announced it amassed 5.58 billion Birr profit before tax in the 2020/21 fiscal year. The increment of the bank’s last year 10.2 billion Birr revenue to 13.7 billion Birr is instrumental for the success.
Presenting the 2020/21 performance report on Tuesday, the Bank’s President Tsehay Shiferaw said that Awash has also become the first private bank to mobilize over 100 billion Birr in deposit. The amount is surpassed that of the past year same period by 33.8 billion Birr.
The president further stated that the bank has been hugely investing to enhance accessibility and opened100 new branches during the fiscal year. Currently, Awash has 566 branches spread all over the country.
Due to meticulous efforts, Awash has acquired two million additional saving account holders in the fiscal year and increasing the customer base in the service to over five million thereby enhancing public’s saving culture.
“Equal consideration has also been given to digital banking and enhance the accessibility of ATM, mobile and internet banking service,” Tsehay said, adding that the bank has incorporated four million customers in the service thus contributing share for government’s financial inclusion strategy.
By the same token, the total amount of loan the bank disbursed to various economic sectors has registered a 53 percent increment (30 billion Birr) and reached 87.1 billion Birr. Awash generated 906 million USD from various forex earning sources during the 2020/21 fiscal year and the performance is exceeded that of the past year same period by 37 million USD.
Noting Awash’s paid- up capital reached 8.2 billion Birr in June 2021, the largest among Ethiopia’s private banks, the president highlighted that the amount is significantly surpassed the National Bank of Ethiopia’s (NBE) recent directives to banks to raise their paid-up capitals to five billion Birr within five years.
“The management and staff have made tireless efforts to keep the bank’s competitiveness, he noted, adding that the NBE’s meticulous intervention to avail loans to private banks is contributed for Awash’s success.
In unprecedented move, the NBE has allocated substantial finance to private banks thereby helping them to overcome challenges that have been posed by the outbreak of coronavirus pandemic and political instability.
Tsehay, who have formidable experience in Ethiopia’s banking industry expressed gratitude to measures NBE has taken to the industry’s revival.
In line of discharging cooperate social responsibility, Awash Bank has donated over 30 million Birr for governmental and non-governmental agencies in the reported period, it was learned.
The Ethiopian Herald July 8/2021
