Bank of Africa Registered Sustained Growth in the Third Quarter

Bank of Africa posted a good performance in the first nine months of 2023, marked by a significant increase in its main financial indicators. Consolidated net banking income rose by 11% to 12.6 billion dirhams (MMDH). This growth was driven by higher commission (+18%) and interest (+8%) margins. In Morocco, the bank recorded a 10% increase in net banking income, reflecting effective management of local activities.

Net income and group share, rose by a substantial 15%, reaching 2 MMDH at September 30th, 2023. This increase should be qualified by taking into account the impact of the earthquake donation.

Excluding this exceptional item, restated net income rose significantly, by 22%. Despite the impact of the earthquake donation, net income stabilized at 1.4 billion euros, on a par with the previous year. Excluding the donation, net income rose by 8% to 1.5 MMDH.

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Loans on the rise at Bank of Africa

Consolidated loans rose by 2% to 214 MMDH. On the social front, customer loans rose by a significant 4% to 133 MMDH. However, customer deposits in the Group and in Morocco fell slightly, by 5% to 233 MMDH and 4% to 142 MMDH respectively. Despite this, non-interest-bearing resources in Morocco held up well, increasing by 3%.

Over the past period, the Bank of Africa has strengthened its ties with China, opening up new prospects for China-Africa trade. The alliance with China EXIM Bank, announced at the 2023 Annual Meetings of the World Bank Group and the International Monetary Fund (IMF) in Marrakech, aims to stimulate economic development in Africa. A key step in this collaboration is the signing of a memorandum of cooperation between the Bank of Africa and the China-Africa Development Fund (CAD Fund) at the 6th China arab states exhibition.

This initiative will encourage Chinese investment in Morocco, particularly in the Cité Mohammed VI Tanger Tech. The Bank of Africa was twice honored at the Euromoney Awards for Excellence, winning the distinctions of “Best Bank for SMEs in Morocco” and “Best Bank for ESG in Morocco”.

These awards underline the bank’s commitment to small and medium-sized enterprises, as well as its responsible environmental, social, and governance practices. In addition, the bank’s ranking in The Banker magazine’s financial report as one of the Top 10 African banks for the year 2023 testifies to its solid position in the continental financial market.

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(Featured image by Lukas via Pexels)

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First published in LES ECO.ma. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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