The global financial crisis caused many corporates to review their treasury operations, with a large number reducing banking partners and signing up to shared technology platforms. Such changes, combined with the introduction of new regulations, such as the Single European Payments Area, have left many banks rethinking their global transaction services.
Arab banks offset the turmoil of the Arab Spring and offered a robust performance in 2011 with impressive growth across the key financial indicators. And with minimal exposure to the eurozone crisis, the region's banks are expected to continue their recovery from the global financial crisis.
In the past three years, South Africa’s economy has struggled. Its growth is slower than that of many other African countries, and the shooting of 34 miners in August exposed a simmering tension that exists within its boundaries. Yet while there is no quick fix, investors remain attracted by the strength of the country's institutions.
South Africa’s ruling African National Congress has come under increasing pressure in the wake of police shooting 34 striking miners in August. But finance minister Pravin Gordhan says his party’s record in government is impressive and that it has done much to develop the country since 1994.
After performing admirably in the aftermath of the global financial crisis, the growth of Lebanon's banks dramatically slowed. The Arab Spring uprisings in the Middle East and north Africa last year further unsettled the country's financial sector, but, as leading figures from its banks explain, there is still a great deal of room for optimism.
North African capital markets were hit hard in the wake of the Arab Spring uprisings that cut through the region in 2011. Economic activity was left disjointed and north African bourses experienced sharp declines in trading. The Banker looks at whether the increased liberalisation of these countries' economies can encourage foreign investment and benefit their respective exchanges.
Much has improved in Côte d'Ivoire since president Alassane Ouattara came to power last year, ending months of post-election turmoil. Although some parts of the country remain volatile, most of it is peaceful. And the economy is expanding quickly. The president even thinks its will soon attain double-digit growth.
While the recent discovery of natural gas will certainly boost Mozambique's economy, the country's president, Armando Guebuza, recognises that it will not be enough to pull the country out of poverty and end its reliance on aid. To achieve this, it will be necessary to promote growth in other areas, such as agriculture and tourism, in order to create a more diverse and sustainable economy.
Tanzania's recent discovery of huge natural gas fields has put it firmly in the sight of foreign investors. But Benno Ndulu, its central bank governor, warns that the east African country should not become reliant on hydrocarbons. Instead, it should use them to diversify its economy.
While The Banker's Top 1000 World Banks ranking published every July gives an insightful and unique snapshot of the state of the global banking market, our ranking of those banks featuring just below the ranking gives an excellent indication of the way in which the market is heading, and which countries and regions are on the rise.
Egypt's tumultuous political landscape of the past 18 months has, predictably, had an impact on it banks. However, the sector has shown impressive resilience since the Arab Spring uprisings, focusing on SME lending and commercial activities with some degree of success. But with foreign investors staying away and further political upheaval still a possibility, the country's rebuilding process still has some way to go.
Having overseen rapid economic growth in the past three years, Ghana’s finance minister insists his government will maintain fiscal discipline before December’s elections. However, he believes fuel subsidies should remain in place, at least for now.
Ghanaian banks are worried that rising interest rates and a depreciating currency could lead to a lot of volatility in the next few months. Nonetheless, they remain in good health and are likely to benefit in the coming years from the country’s rapid economic growth.
Ghana has been hurt by the weakness of its currency since late last year. Yet its economy, one of the fastest-growing in the world, is still in rude health, and investors are said to be increasingly bullish about the country, even if they are hindered by shallow capital markets.