Access, Zenith and others grow loan portfolios and reap billions from overseas transactions

Half-yearly financial statements released by Access, Zenith, United Bank for Africa, Guaranty Trust Holding Company (GTCO), FCMB Group, Stanbic IBTC Holdings Plc and FBN Holdings Plc revealed that these banks provided more loans during the reporting period. .

According to the analysis, Stanbic IBTC Holdings Plc and Access Bank Plc recorded the largest increase in customer loans and advances in the first half of this year.

Stanbic IBTC increased its loans and advances to customers by 39%, from N0.76 trillion in the first half of 2021 to N1.06 trillion in the same period this year.

Access Bank’s loan portfolio increased by 29% from 3.58 trillion naira in the first half of 2021 to 4.62 trillion naira in the first half of 2021. Zenith Bank increased its loans to customers by 22% to 3.66 trillion naira vs. 3 trillion naira.

FCMB’s lending to customers also increased by 22% to N1.12 trillion in the first half of 2022 from N0.92 trillion in the same period of 2021. UBA’s lending to its customers s stood at 2.75 trillion naira at the end of 2022, rising. by 4.5% from the N2.63 trillion posted in the same period of 2021.

GTCO, the holding company of Guaranty Trust Bank Limited, said its loans and advances to customers increased by 12% to N1.83 trillion in the first half of 2022 from N1.63 trillion in the same period of 2021.

However, only FBN Holdings, the holding company of First Bank of Nigeria Limited, reduced its lending to customers during the period.

The lender’s loans and advances to customers increased from N2.53 trillion in the first half of 2021 in the first half of 2021 to N1.83 trillion this year.

Similarly, examining the financial performance of some of the largest Nigerian banks that have offshore subsidiaries shows a significant increase in revenue and profits from these foreign subsidiaries.

In total, across all banks examined, revenue from offshore operations grew from N2.4 trillion in 2020 to N2.8 trillion in 2021, representing a 13.8% year-on-year increase. the other.

Additionally, revenue from outside Nigeria also contributed 22% of revenue in 2021, up from 21% the previous year.

UBA’s African operations alone contributed 40.9% of revenue and 59.5% of pre-tax profit (N96.8 billion) respectively in 2021. In total, operations outside Nigeria contributed to 45% of revenues and 65% of profits in 2021. .