Ethiopia – Abay Bank profit grows 63 percent

Jan8,2020
Ethiopia - Abay Bank profit grows 63 percentEthiopia - Abay Bank profit grows 63 percent

During the budget year concluded June 30, 2029, the annual profit before tax of Abay Bank Share Company, one of the private financial institutions in Ethiopia, has grown 63 percent compared to the previous year.

Abay Bank has made a gross profit of 683 million birr (about $21.5 million at the current exchange rate) at the end of the year ended June 30, 2019. During the budget year in review, the total income of the Bank has also increased to 1.8 billion birr (about $56.6 million) showing 40 percent growth from the previous year, according t the annual report of Abay Bank, distributed to shareholders about a week ago during the general assembly.



Showing 23 percent growth from the previous year, the total asset of the Bank has also increased to 15.1 billion birr (about $475 million) during the budget year in review.

The report also stated that during the year ended June 30, 2019, an additional 346 million birr (about $10.9 million) capital was raised from shareholders increasing the paid-up capital of Abay Bank to 1.7 billion birr (about $53.5 million), which is 26 percent up from the previous budget year.

The total capital of Abay Bank has increased by 36 percent reaching 2.5 billion birr (about $78.6 million) at the end of June 30, 2019.

The gross loans and advances of Abay bank has also increased to about 7.7 billion birr (around $242.5 million) from around 6 billion birr (about $188.7 million) the previous year.

The total deposit of the Bank during the budget year ended June 30, 2029 has also increased by some 2 billion birr (about 63 million) reaching 11.6 billion birr (about $365 million).

The report also indicated that the Bank has opened 30 new branches during the year, out of which 15 are in Addis Ababa City. The total number of Abay Bank branches has increased to 192 at the end of June 30, 2019 with a total of 3,284 staff including permanent and outsourced employees.

It is also stated that as part of its Corporate Social Responsibilities (CSR) Abay bank has also contributed over 15.6 million birr to the Beautifying Sheger project launched by Prime Minister of Ethiopia Dr. Abiy Ahmed as well as to assisting displaced people in various regions of Ethiopia and other charity activities.

“To enhance its sustained growth, the Bank has been involved in various groundbreaking activities. Nowadays, developing and providing customer-centric products, enhancing the quality efficiency and accessibility of service has become crucial for the sustainable growth of the Bank,” said Ethiopia Tadesse, Board Chairperson of Abay Bank Share Company, in her statement to shareholders printed on the annual report.

“For these to happen identifying top talents, developing and retaining competent and satisfied staff and management team are essential. To this effect, revision of processes, systems and procedures have been undertaken throughout the year. Besides the bank was immediately involved in discharging its CSR to give back to the society it is working with,” she said.

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