The geographical structure of the 2007 Top 1000 World Banks reflects the increasing size and role of Asian (excluding Japan) and Middle Eastern banks. Their numbers in the ranking have increased by 11 and 10 respectively to reach 174 from Asia and 93 from the Middle East.
The annual tussle in recent years between the US and Germany to produce the highest number of New Arrivals came to an abrupt end this year as China easily ousted them both. The overall number of newcomers dropped significantly to 46, compared with 54 in last year’s and 60 in the two previous listings.
Africa is changing and it is not just $11.7bn of Chinese investment in recent years that is making a difference. Nigeria’s banks are bulking up as a result of central bank governor Charles Soludo’s new capital requirements, and are becoming bigger and stronger through multiple mergers and acquisitions.
Investment banks and institutional fund managers are being persuaded to take microfinance institutions seriously as they show better returns than some other emerging market investment vehicles and prove their stability in the face of external shocks. Kathryn Tully reports.