Stanbic IBTC, a member of Standard Bank Group, in the second quarter of this year, facilitated a staggering $589.84 million capital inflow into the country, ranking it first among financial institutions that imported capital into Nigeria.
The Nigerian Bureau of Statistics (NBS), in its Capital Importation Q2 2017 Report, stated that Stanbic IBTC accounted for 32.91 percent ($589.84 million or N216.47 billion) of the total share during the period, representing an increase of 9.12 percent over the $536.78 million it posted in the first quarter of the year. That brings to $1.127 billion (N413.62 billion) capital importation by Stanbic IBTC in the first six months of the year.
The trio of Stanbic IBTC, Citibank Nigeria and Standard Chartered Bank accounted for 70.7 percent or $1,267.8 million of the total $1.792 billion capital importation during the quarter, while the other 22 banks generated the rest.
According to the report, Portfolio Investments was the key mover of capital during the quarter, growing by 145.7 percent, followed by Other Investments, which rose by 95.02 percent, and Foreign Direct Investment (FDI) by 29.8 percent over the first quarter. In figures, Portfolio Investment accounted for $770.5 million, or 43.0 percent of the total. In second place was Other Investments with $747.5 million, or 41.7 percent, and FDI with $274.4 or 15.3 percent.
The accomplishment reflects Stanbic IBTC strength, strong leadership and unyielding support of its parent company, the 154 year-old Standard Bank Group, Africa’s largest financial institution.
Stanbic IBTC has consistently demonstrated its commitment to the Nigerian market and often pledged that it will continue to provide support to all sectors of the economy in moving individuals and businesses forward. This is also in synergy with the drive to build a leading end-to-end financial solutions institution that offers bespoke products and services to its clientele.
The NBS report showed that the bulk of capital imported into Nigeria in Q2 came from the United Kingdom, which accounted for $696.7 million or 38.87 percent of the total.
The second largest value of capital importation came from the United States with $287.82 million or 16.06 percent.
Sterling Bank wins housing friendly commercial bank of year award
Sterling Bank Plc, has won the housing friendly commercial bank of the Year Award for its remarkable impact on housing delivery in Nigeria’s housing sector.
Receiving the award at the 12th edition of the Abuja Housing Awards in the Federal Capital Territory (FCT), Abuja recently, Sterling Bank’s Non-Interest Banking (NIB) group head, Basheer Oshodi said, the Bank was delighted at the recognition of the innovative efforts of the NIB group in the housing sector.
Oshodi said the model of engagement created by the NIB group enhanced the ability of many Nigerians to own houses under a flexible mode of payment, adding that the NIB group has done so much in making affordable housing available to Nigerians.
According to him, customers who express interest in the home ownership model are made to contribute between 20 and 30 per cent equity over the construction period of 18 months after which the facility is booked for future ownership. He added that rentals in the scheme are less than what would have been paid in a conventional banking arrangement.
“We have developed an innovative method of home ownership for Sterling Bank customers. The model gives an opportunity to the buyer to own a house without the stress of bulk payment. Where the house is already built, a prospective home owner simply makes equity contribution and is booked for future ownership. Even if there is no house on the ground and the customer signifies an intention to access a mortgage, the next step will be to start contributing equity,” Oshodi said.
He explained that once off-takers are identified and profiled, current accounts are opened for them so that they can start saving towards meeting their equity quotient while the deposits serve as a liability to the bank.
He said since the rules do not allow NIB to invest in treasury bills or interest bearing securities, the deposits are normally used to buy off-plans from developers through a lease structure. The lease can be either off-plan, which means the bank books the facilities even before construction starts, or a home finance which leads to ownership.
The Abuja Housing Awards recognize and celebrate original and innovative businesses, consultants and teams, among others, that demonstrate excellence in the built environment. This year’s edition was attended by senior government officials including the Minister of Power, Works and Housing, Mr. Babatunde Fashola; private sector operators and other stakeholders in the built industry both from within and outside the country.
Oshodi disclosed that Sterling Bank also won “The European-Islamic Bank of the year Africa in 2016” award in London recently at an Awards ceremony organised by a United Kingdom-based magazine, The European.
On his part, Lanre Adesanya, executive director, commercial and Institutional Banking, Sterling Bank, said the bank has made significant commitments in the real estate segment, especially in Lagos State and is willing to provide facilities to real estate developers. According to Adesanya, Sterling Bank has done well in retail real estate financing and some of the projects financed include Crown Court Durumi, 360 low-cost housing units in Amuwo-Odofin, 210 semi-detached houses in Agungi-Lekki, 539 units of apartments in Lekki Phase 1 and 566 mixed housing units also in Lekki, among others.
Reuters
