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BoI grows assets to N1.8trn despite Covid

The Bank of Industry (BoI) grew its total assets to N1.86trn in 2020 despite slowdown in economic activities occasioned by the coronavirus pandemic.

The N1.86trn recorded assets indicate 79.1 percent increase when compared to the N1.04trn which the bank reported in the 2019 financial period.

Aliyu Abdulrahman Dikko, chairman of BoI, announced this at the 61st Annual General Meeting of the bank.

He said that even as the pandemic put recessionary pressures on global economies, the Group’s financial statement remained strong and resilient.

The 79.1 percent increase in total assets was largely driven by the successful debt syndications of €1bn and $1bn that were concluded in March and December 2020, respectively.

The Group’s total equity increased by 15.3 percent from N293.08bn in the previous year to N336.48bn in 2020.

Read Also: Financial services sector expands by 0.15% on banks’ capital buffers

But loans and advances grew marginally by 1.3 percent to N749.84bn from the 2019 position, reflecting the adverse impact of the challenging operating environment on growth of new loans.

Profit Before Tax fell by 9.6 percent from N39.34bn in 2019 to N35.54bn. The chairman attributed this to the economic slowdown in the year, coupled with the various interventions and support initiated by the bank for its customers.

“The COVID-19 pandemic has forced the world to transform much faster than expected from the way we work to how we communicate; from the way we learn to how we travel,” Dikko said.

“But we have witnessed improved opportunities in key sectors and industries, notably Healthcare and Information and Communication Technology,” he told shareholders at the meeting.

Under the National Social Intervention Programme, which the bank partners with Federal Government to implement, BoI disbursed N2.5bn and N1.2bn under the N-Power and Government Enterprise & Empowerment Programmes to 300,011 and 109,039 beneficiaries, respectively, according to the chairman.

Dikko stated that the bank’s donations under its Corporate Social Responsibility impacted economic integration and intra-Africa trade by creating key opportunities for growth in the region particularly in food, pharmaceuticals, logistics and the digital economy.

He said the bank’s broad strategy for 2021 would mirror that of the Federal Government, in terms of focussing on business recovery, whilst keeping an eye on growth and new business opportunities.

Dikko expressed appreciation to the Board, the management and staff of the bank, including all the bank’s stakeholders – the CBN, customers, government agencies and other strategic partners – for ensuring the continued growth and success of the bank.

He also commended the Presidential Task Force on COVID-19, members of the Coalition Against COVID-19, other private and public sector agencies for their immense efforts towards managing and reducing the impact of the pandemic in the country.

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