Mozambique: BCI bank sees 2021 net profit almost double, balance sheet improve

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Mozambique: BCI bank sees 2021 net profit almost double, balance sheet improve

2:17 CAT | 22 Apr 2022

File photo: Betar

Mozambique’s Banco Comercial e de Investimentos (BCI), which is controlled by Portugal-based banks Caixa Geral de Depositos and BPI, almost doubled its net profit last year from the previous year, to 5.2 billion meticals (€74 million), it announced.

Last year, its financial report said, “is marked by the fact that, under difficult circumstances, BCI posted very significant growth in its net profit (+95%) accompanied by an improvement in the solidity of its balance sheet through better quality of assets and maintenance of a solid capital structure.”

The growth comes after a 22% drop in the 2020 financial year, mainly attributed to the impact of the pandemic.

The bank said that the 2021 result was thanks to an increase in operating income (+23.74%), sustained by simultaneous growth in net interest income (+23.48%) and in non-interest income (+24.37%), along with a “strategy of adequate control of operating costs”.

At the end of 2021, the bank had a solvency ratio of 23.12% – that is, almost double the regulatory minimum of 12%.

In the document, the BCI describes the macroeconomic environment as “not very favourable” but adds that nevertheless “the level of credit to the economy throughout the national financial system grew 2.66 percent and total deposits grew 2.16 percent.”

The bank also notes that it had over 2 million customers, making it “the biggest financial institution operating in the Mozambican market, and also leader in terms of credit (26.26 percent), deposits (25.36 percent) and assets (22.95 percent).”

BCI has 210 physical outlets, 539 automatic teller machines (a market share of 33%) and 14,883 point-of-sale machines (41% of the market total).

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Source: Lusa