Nib International Bank attains outstanding performance in conventional and interest free banking (IFB) business operations in the 2021/22 financial year.
In the year under review, the bank was able to mobilize an additional 6.2 billion birr through its deposit scheme, which is 14 percent higher when compared to the previous year, cumulating to a now firm record of 49.8 billion birr.
The growth registered also rippled to the number of depositors who increased by over 25 percent to currently stand a little over 2.12 million.
Of the total 49.8 billion birr deposit mobilization, 9.3 billion birr or 18.7 percent stemmed from non-interest bearing deposits.
In the year, Nib’s total outstanding loans and advances stood at 39.4 billion birr that increased by 14.2 percent of the 34.5 billion birr as of June 30, 2021.
According to the report, the loan to deposit ratio of the bank was 79 percent at the end of the year, while the number of loan accounts have reached over 18,200.
The bank paid up capital has expanded by over 13 percent to reach 4.8 billion birr, while the total equity has increased by almost 16 percent sitting at 8.1 billion birr.
The bank’s asset now stands at 61.5 billion birr as a result of a 7.3 billion birr or 13.5 percent increase registered during the year in review.
In the financial year that closed June 30, 2022, the bank managed to generate 7 billion birr that increased by a fifth or 1.2 billion birr compared with the year that ended on June 2021.
Likewise, Nib’s profit has registered marvelous achievement and according to the annual report, in the year, 1.76 billion birr profit before tax was secured which is an 8.6 percent increase from the year prior.
On similar grounds, the bank’s IFB activity also attained promising results. For instance, in the IFB business the bank’s customer increased by over 129,000 or by 62 percent to reach over 340,000. Similarly fresh deposit mobilization in the IFB sector has increased by 768 million birr to cumulate to 3.8 billion birr at the end of the year.
The profit after tax also grew by 10 percent to reach a new milestone of 1.34 billion birr. However, the aggressive paid up capital increment influenced the earning per share (EPS) to slightly reduce compared with the preceding year. According to the bank’s audit book, the EPS now stands at 146 birr for 1,000 birr par value from 154 birr from the 2020/21 financial year.