Having recorded tremendous growth as a state microfinance bank (MFB), Accion Microfinance Bank Limited, which in 2014 got a National Licence from the Central Bank of Nigeria (CBN), is on top gear in its five-year strategic plan 2015 – 2019 to expand geographically in Nigeria with a variety of retail channels while improving operational efficiency through technology.
The bank made a profit after tax of N622,555,000 at the end of 2014, representing a 60 percent growth compared with the same period in 2013. Shareholders’ funds grew to N2.6 billion in 2014 from N2 billion in 2013, representing a 27 percent growth.
Compared with December 2013, the bank’s total loan portfolio grew by 33 percent from N3.018 billion in 2013 to N4.028 billion in December 2014. Total loans disbursed grew by 26 percent from N7.4 billion in 2013 to N10.3 billion in 2014, with total loans disbursed from inception to date closing at N31.7 billion at the end of December 2014.
With the national licence, the bank is set to explore establishment of far reaching financial inclusion programmes for micro-entrepreneurs and low-income earners, not just in Lagos, but in at least 10 states of the Federation and Abuja.
“We have identified Port Harcourt in Rivers State as an initial location for the establishment of our first branch outside of Lagos State, and recruitment is currently ongoing to staff that branch. It is our intention that within five years Accion Microfinance Bank will have established not only additional branches but growing its retail service channels through cash centres, agents and ATMs and PoS machines,” Patrick Akinwuntan, chairman, said at the 2014 annual general meeting held in Lagos, recently.
The bank will continually leverage relevant technology to ensure that staff have the requisite facilities to carry out their duties in the field in a safe and secure environment, which should grow clients’ confidence in the bank, he said, as a key focus will be on improving operational efficiency by automating key services to customers.
Speaking at the AGM, Bunmi Lawson, managing director/CEO, said the bank recorded another milestone in the financial year 2014, despite the challenging economic and socio-political environment in Nigeria during the period under review. The bank further deepened financial inclusion as evidenced by the positive performance indicators and awards during the period under review.
At the end of 2014, Accion Microfinance Bank increased its operational branch network from 19 in 2013 to 23 in Lagos State. During the period, a total of N10.33 billion was disbursed in loans bringing the accumulated loan disbursement from inception to N32.79 billion. This indicates a growth of 46 percent when compared with N22 billion in 2013.
In the same vein, cumulative number of loan disbursed closed at 162,988 from 113,741 in 2013, indicating an increase of 43 percent. Active clients at the end of the year closed at 34,523, indicating a growth of 57 percent compared with 21,997 in 2013. Total active portfolio during the period closed at N4.22 billion compared with N3.142 billion in 2013.
The bank made a profit before tax of N911.2 million for the year ended December 31, 2014. This is an increase of 64 percent from N554 million in 2013. Total asset at the end of the year totalled N5.09 billion as against N3.95 billion in 2013, indicating a growth of 29 percent. Deposits also grew by 36 percent from N1.06 billion in 2013 to N1.42 billion.
Also at the AGM, Akinwuntan unveiled the bank’s new logo and brand identity.
According to Lawson, the bank’s new logo is bold and assertive, yet warm and approachable, representing the confidence and values of the bank, saying the new orange colour and larger sunbeam symbol signify the bank’s commitment to building a brighter future for its customers. The sunbeam symbol represents a new dawn, freshness, new opportunities, optimism and empowerment as the bank provides easy access to financial products and services to customers. The new logo symbolises a new dawn as the bank is set to expand its operations across Nigeria.
HOPE MOSES-ASHIKE
