Balance sheet total of Orabank Togo grew by nearly XOF100 billion in 2018

Banking

Tuesday, 24 September 2019 13:45

Balance sheet total of Orabank Togo grew by nearly XOF100 billion in 2018

(Togo First) - Over the past year, Orabank Togo's balance sheet total grew by nearly XOF100 billion to XOF632 billion with a net profit of XOF9 billion (up a billion compared to 2017).

Reflecting the lender's growing profitability, the cost-income ratio fell from 60% to 58% in 2018. This improvement, which is paired with that of the net cost of risk, results from a 12% increase of the net banking product (to XOF31.5 billion) and better control of expenditures.

Orabank currently detains 24% of the deposit market. Last year, it collected more than XOF395 billion, thus 80 billion more than the year before. Regarding lending to the economy, it remains the leader with 27% of a market where 10 other banks, including Ecobank, Orabank's main rival, operate. In effect, Orabank Togo lent 328 billion to the economy in 2018 (+43 billion).

Commenting on the figures, Guy Martial Awona, MD of Orabank-Togo, told Economies Africaines: "These objectives were reached because Orabank Togo preserved its leading position, its solvability, and profitability despite financial difficulties spurred by the introduction of the new Bâle 2-Bâme 3 laws, and great competition."

This year, "focus will be put on improving customer service quality with the KEAZ digital platform," the executive added. He also revealed that the lender would open six new branches by 2020, under its expansion strategy.

REFORMS OVERVIEW

STARTING A BUSINESS (more info)

At the fifteenth position, worldwide, and first in Africa, under the Starting a Business index of the 2020 Doing Business ranking, Togo sustains its reformative dynamics with more reforms….

ENFORCING CONTRACTS (more info)

Compared to some years ago when it was one of the lowest rankers under the Doing Business’ Enforcing Contracts indicator, Togo, leveraging many efforts to improve its business climate, was able to jump significantly on the index in the recent years... .

CONTRACT EXECUTION (more info)

Creation of special chambers of commerce for small debts • Creation of chambers of commerce at the Court of Appeal • Civil and commercial cases now handled by distinct clerks • Establishment of commercial courts in Lomé and Kara • Lawyers and bailiffs now have access to the FORSETI COMMERCIAL platform • A maximum period of 100 days was fixed to settle a commercial dispute .

TRADING ACROSS BORDERS (more info)

In comparison to previous years,Togo has significantly improved its ranking under the“Trading across borders” indicator by adopting multiple reforms that focus mainly on the digitization and reduction in delays, for import and export procedures related to import and export.

In comparison to previous years, Togo has significantly improved its ranking on the “Trading across borders” index by adopting multiple reforms that focus mainly on the digitalization and reduction in delays, for import and export procedures related to import and export.

CONSTRUCTION PERMIT (more info)

After moving from the 133rd to 127th place under the 2020 Doing Business’ construction permit index, Togo intends to reiterate this feat in the coming edition of the global ranking. To this end, it has introduced this year multiple reforms.

GETTING ELECTRICITY (more info)

Over the past two years, Togo’s ranking under the Doing Business’ Getting electricity and water indicator has increased consistently. Owing this performance to multiple reforms aimed at making it easier for businesses to access power and water, Lomé plans to introduce even more reforms this year to keep up its improvements.

REGISTERING A PROPERTY (more info)

Out of all the 'Doing Business’ indicators, Property Registration is where Togo has improved the most since 2018. Indeed, after spending years in the lowest part of this ranking, the country now seeks to beat Rwanda which is the best performer on this index in Africa. To do so, Lomé has been introducing many reforms, with the latest batch implemented this year.

PUBLIC PROCUREMENT (more info)

From professionalization to digitization, through legislative regulations, Togo’s public procurement framework is constantly being modernized. Several reforms have been implemented to improve the sector much to the benefit of the private sector, which is the focus of the National Development Plan.

PAYING TAXES AND DUTIES (more info)

To improve its business environment, Togo introduced some important reforms related to the payment of tax and duties. From the replacement of some taxes to the cancellation of others through exemptions, the country has only one objective: offer the most attractive tax framework to investors and economic operators. To achieve this, the authorities relied on digitization.