Business
Politics, COVID-19 to weigh on Malawi’s economic prospects-Ecobank
April 02, 2020 / Nelson Gonjani
Ecobank Malawi says political conflicts in the aftermath of the 2019 presidential elections and the global impact of the Corona Virus Disease (COVID-19) pandemic have created waves of uncertainties to the local economy.
In the bank’s audited financial statement for the year ended December 2019 signed by MD Charles Asiedu and Chairman Leonard Chikadya, the Bank says despite the challenges, it remains committed to delivering on its mandate in Malawi.
It says: “In the year 2020 and beyond, the bank will accelerate the sale ofits world class digital solutions targeting every Malawian.”
“It will provide more convenience to its customers by improving on its existing product lines and introducing new ones. It will also continue to play leadership role in the key sectors of the economy by leaving its partnerships around the world.’’
Ecobank says it is cautiously optimistic about the future and will continue to make the appropriate investments to bring more value to its customers and other stakeholders.
‘’We are pleased to present the audited summary financial results of the Bank for the year ended December 31, 2019. These summary statements supersede the version that was published on March 23, 2020,’’ says the Bank.
The report indicates that the Bank continued growth trajectory in 2019 despite the economic conditions of the year which were characterized by the low interest rate regime and uncertainties in the operating environment arising from effects of the general elections.
The Bank’s operation income grew by 14% to k19.7billion both funded and non-funded sources. Due to continued strategic cost management, operating costs increased by a lower rate of 7% to K8.7 billion resulting in a better cost to income ratio of 44%.
Impairment losses on loans and other assets reduced by 26% to K1.5billion mainly arising from improved risk management practices. Consequently,profit before tax grew to K9.5 billion representing 33% growth while profit after tax increased by 42% to k7.1 billion.
The total assets remained stabled at k262 billion principally driven by the funding from borrowed funds which grew by 37% to K82 billion. The loan book increased to K43 billion representing growth of 13% which underlined the Bank’s commitment to support the growth of the economy.
Share this:
Leave a Comment
Comments
Mining & Trade Review News
Agribusiness News
Subscribe to Newsletter
Rehabilitation:
The establishment of a stable and self-sustaining ecosystem, but not necessarily the one that existed before mining began. In many cases, complete restoration may be impossible, but successful remediation, reclamation, and rehabilitation can result in the timely establishment of a functional ecosystem.
Archives
Remediation:
The cleanup of the contaminated area to safe levels by removing or isolating contaminants. At mine sites, remediation often consists of isolating contaminated material in pre-existing tailings storage facilities, capping tailings and waste rock stockpiles with clean topsoil, and collecting and treating any contaminated mine water if necessary.
Stakeholders Logos
