Shareholders of Ecobank Transnational Incorporated (ETI) convened on Wednesday May 17, 2023 for the 35th Annual General Meeting (AGM) and an Extra Ordinary General Meeting. During the meeting, the shareholders unanimously approved the accounts and appropriation of profits for the year 2022.
ETI is the parent company of Ecobank Group, the leading pan-African bank operating in 35 African countries. The AGM, held in Lomé, Togo, saw the re-election of key directors, including Mr Simon Dornoo, Professor Enase Okonedo, Dr George Donkor, Mr Deepak Malik, and Ms Zanele Monnakgotla. Additionally, the co-option of the Managing Director, Mr Jeremy Awori, as a director was ratified.
One of the significant resolutions passed by the shareholders was the authorization to raise senior-ranked debt, additional Tier 1, Tier 2-qualifying subordinated debt, or a combination of these financial instruments as deemed appropriate by the board of directors.
Speaking at the meeting, Alain Nkontchou, Ecobank Group Chairman, highlighted the bank’s strength in the African banking landscape. He emphasized Ecobank’s role in supporting and facilitating the growth and development of African businesses, particularly in light of the opportunities presented by the African Continental Free Trade Area. Nkontchou stated, “Ecobank is the solution for SMEs and corporates,” and underscored the bank’s comprehensive payment, collection, working capital, and financing solutions.
Jeremy Awori, Chief Executive Officer of Ecobank Group, commended the bank’s strong financial performance despite challenging economic conditions in 2022. He noted high interest rates, inflation, and Ghana’s debt restructuring as some of the obstacles faced. Awori attributed the bank’s success to its diversified business model, digital expertise, innovative approaches, growth momentum, and efficiency. These factors enabled Ecobank to navigate the adverse economic environment, absorb the impact of debt restructuring, and thrive.
In terms of financial results, ETI reported a profit of $222 million for 2022, a decrease from the $295 million recorded in the previous year. However, the Group’s profit before tax, net revenue, and total assets increased by 13%, 6%, and 5% respectively, reaching $540 million, $1,862 million, and $29,004 million. Notably, the return on tangible equity of 21.1% in 2022 marked the highest achieved by Ecobank in the last decade.
Looking ahead, Ecobank Group’s performance in the first quarter of 2023 indicates promising momentum. The bank expects to continue benefiting from its pan-African and diversified business model, efficiency, balance sheet stability, deep customer relationships, and the hard work of its employees.
The successful approval of accounts and profits, as well as the re-election of key directors, demonstrates the confidence and support of Ecobank’s shareholders. With its strategic vision and strong financial foundation, Ecobank remains well-positioned to drive economic growth and contribute to the development of African businesses across the continent.
