International Finance Corporation (IFC) has lent $175 million to Nigeria’s Guaranty Trust Bank (GTBank) to expand its lending portfolio in Africa’s biggest economy, the private arm of the World Bank said on Tuesday.
The financing comprises $100 million for IFC’s own account and $75 million through an IFC managed co-lending portfolio.
GTBank is a top tier commercial lender with 233 branches in Nigeria.
For the year ended December 31, 2014, the bank’s profit after tax increased by 10 percent to N98.69 billion ($493m) from N90.02 billion ($450m) the same period of the corresponding year (FY) 2013.
Earnings per share (EPS) also increased by 10 percent to 347k in the review period from 317k the preceding year.
GTBank was more aggressive about lending last year as its loans to deposit ratio increased to 77.68 percent in 2014 from 69 percent as of December 2013.
The loan book also surged as loans and advances in the balance sheet jumped by 27 percent to N1.28 trillion compared with N1 trillion the preceding year.
The growth in loan book was driven primarily by growth of the foreign currency loan book on the back of the 2013 $400 million Eurobond issue.
Deposit by customers were up by 14 percent to N1.64 trillion in FY 2014, as against N1.44 trillion in 2013 on the back of the bank’s retail franchise. The audited financial statement also showed the bank had strong asset base as total assets rose by 11.90 percent to N2.35 trillion in 2014 from in N2.10 trillion in 2013.
