Despite the negative impact of the Coronavirus pandemic on global economies which led to a slowdown in economic activities, the Bank of Industry showed resilience in the 2020 financial period by growing it’s total assets to N1.86trn.
The N1.86trn represents an increase of 79.1 per cent when compared to the N1.04trn which the bank recorded in the 2019 financial period.
The Chairman of BoI, Aliyu Abdulrahman Dikko gave the figures at the 61st Annual General Meeting of the Bank .
The year 2020 will go down in history as a year to remember. Following the initial discovery of the coronavirus in Wuhan, China in December 2019, the virus rapidly spread to almost every country across the globe, leaving in its wake an unprecedented health and economic crises.
By December 31, 2020, a total of 84 million cases of COVID-19 and over 1.8 million deaths had been recorded across 219 countries and territories.
Most economies experienced recessionary pressures in the year. Accompanying this, were reductions in the value of global merchandise.
But despite the negative impact, the Chairman saidthat the Group’s financial statements remain strong and resilient.
For instance, he said that the increase in total assets by 79.1 per cent was driven to a large extent by the successful debt syndications of €1bn and $1bn that were concluded in March and December 2020 respectively.
He noted further that the Group’s Total Equity increased by 15.3 per cent from N293.08bn in the previous year to N336.48bn in 2020.
Similarly, he told the shareholders at the gathering that Loans and Advances grew marginally in 2020 by 1.3 per cent to N749.84bn from the 2019 position. This, he stated is a reflection of the adverse impact of the challenging operating environment on growth of new loans.
He explained further that Profit Before Tax fell by 9.6 per cent from N39.34bn in 2019 to N35.54bn, adding that the economic slowdown in the year as well as the various interventions and support initiated by the Bank for its customers were responsible for this impact.
As part of the Bank’s partnership with the Federal Government with respect to the National Social Intervention Programme, the Chairman said thebank facilitated the disbursement N2.5bn and N1.2bn under the N-Power and Government Enterprise & Empowerment Programmes to 300,011 and 109,039 beneficiaries respectively.
As part of its strong disposition as a socially responsible organisation, Dikko stated that the Bank donation impacted economic integration and intra Africa trade by creating key opportunities for growth in the region particularly in food, pharmaceuticals, logistics and the digital economy.
He said, “The COVID-19 pandemic has forced the world to transform much faster than expected from the way we work to how we communicate; from the way we learn, to how we travel.
“We have witnessed improved opportunities in key sectors and industries, notably Healthcare and Information and Communication Technology.
“The IMF projects a growth of 1.5% for Nigeria on the back of recovery in oil economy as well as implementation of key initiatives aimed at spurring economic growth.
“Our broad strategy in the coming year shall mirror that of the Federal Government, in terms of focussing on business recovery, whilst keeping an eye on growth and new business opportunities.
Dikko expressed appreciation to the Board, the management and staff of the Bank, including all the bank’s stakeholders – the CBN, customers, government agencies and other strategic partners for ensuring the continued growth and success of the Bank.
“I would like to also commend the Presidential task Force on COVID-19, members of the Coalition Against COVID-19, other private and public sector agencies for their immense efforts towards managing and reducing the impact of the pandemic.
“Our thoughts and prayers also go to the frontline health workers and emergency response officials who risk their lives daily to ensure the safety of others. They are by far the true heroes of 2020,” he added.
