Despite this, Stanbic Bank has managed to post a net profit over the past three years. In 2006, profits grew by a whopping 189%, but 2007 was a tougher year for the bank. Its net profit growth actually fell by 6.7%, as did its return on equity, which came in at 17.4%, down two percentage points on 2006. Given the circumstances in which it operates, however, it is a great achievement to post a net profit at all.
The bank prides itself on its tight credit control and boasts a non-performing loan ratio of 0%. In 2007, Stanbic Bank embarked on an expansion programme that involved opening a branch in the Lubumbashi mining region. It also opened a business banking unit to service small and medium-sized enterprises. Stanbic Bank’s ability to operate at all in a region that does not conform to any international standards is impressive. It remains the sole banker to the United Nations and the United Nations Development Programme and as such is a worthy winner of The Bank of the Year Award.
Stanbic bank managing director Louis Nallet says he is proud to have won the award two years in a row. “We successfully implemented our organic growth plan and opened a branch in Lubumbashi in the heart of the mining region of DRC. There will be more branches opened in coming years and ATMs installed to serve our corporate customers around a country wider than western Europe.”
