The Nation Newspaper

Tag: Ecobank

  • Ecobank rewards customers with 15% contributions

    Ecobank rewards customers with 15% contributions

    Ecobank Nigeria has rewarded 30 of its customers with 15 per cent of their monthly contribution in their Target Savings Account with the bank. The lucky winners emerged from the first draw of the Ecobank Target Savings promo which started in August.

    The winners include Garba Suleiman Dalha of Kano – Bello Road branch; Nduonyi Sunday Matthew of Apapa-Warehouse Road branch in Lagos; Ugwu Lilian of Abuja-Gwagwalada branch FCT; Ezekwem Amoge Caroline of Onitsha-Old Market Road branch, Anambra State and Ezema Helen Chinyere of Bonny-Mission Road 2 branch in Rivers State, among others. All the winners, whose accounts will be credited with the winning sums were contacted through telephone calls at the draw venue and advised to visit their branches for confirmation.

    The draw event which held at the Bank’s head office in Lagos was supervised by officials of promo regulatory bodies including National Lottery Regulatory Commission (NLRC), Consumer Protection Council (CPC) and Lagos State Lotteries Board.

    Responding to media questions at the event, Group Head, Personal Banking of Ecobank, Olukorede Demola – Adeniyi said the Target Savings Promo aims at rewarding customers who want to build up savings with the Bank to meet their future financial goals  or execute specific desired projects.

    She reiterated that the promo is designed to reward both new and existing customers of the bank within the six months of the promo from August 1  to next January 31.

    Mrs. Demola-Adeniyi advised the banking public to take advantage of the promo to open Target Savings Accounts with Ecobank to enjoy the benefits the promo and other convenient products and services that the pan African bank offers.

    She also enjoined the existing customers to increase their savings to qualify and win.

  • Ecobank unveils card-less cash withdrawal from ATMs

    The Ecobank Group has upgraded its Mobile App to offer Xpress Cash service.

    The product, the lender said, allows customers access cash from the bank’s Automated Teller Machines (ATMs) using e-tokens generated from their Mobile App.

    The Xpress Cash e-token gives the customers total control over their funds, to make convenient withdrawal by self or send to third parties via Short Messaging Service (SMS), email or social media.

    Released last month to the iOS Store and Playstore, Ecobank Mobile App 3.1 incorporates several exciting and innovative features, which enable non-Ecobank customers activate the mobile app with their debit cards and conduct seamless transactions as well as make digital payments at merchant locations with Masterpass and mVisa on the App.

    Commenting on this new development, Ecobank Nigeria Executive Director, Consumer Banking, Mrs. Carol Oyedeji, said: “With these exciting and innovative features on the Ecobank Mobile app, customers will continue to enjoy convenient banking services.

    “It strengthens our support towards ensuring financial inclusion for Nigerians. The Cardless Withdrawals on the ATMs drastically reduce transaction time giving the Bank an opportunity to serve a whole lot more customers while also driving customer engagement. It has been proven that it is more secured when compared to the traditional card based ATM withdrawal as card skimming is totally eliminate.’’

     

  • Ecobank gets $250m credit line

    Ecobank gets $250m credit line

    Ecobank Transnational Incorporated (ETI) Plc-the pan-African parent company of Ecobank Group, has signed a five-year $250 million senior unsecured loan facility from Deutsche Bank AG.

    The Public Investment Company (PIC) of South Africa, one of the major institutional shareholders of ETI, is providing full credit support to Deutsche Bank on the transaction through a sub–participation of risk.

    In a statement yesterday, ETI stated that the new facility of $250 million, equivalent to N76.5 billion, will be used primarily to refinance maturing facilities.

    Shareholders of ETI had recently authorised the board of the financial services group to raise up to $400 million through a convertible bond issue. At the annual general meeting and extraordinary general meeting held in Lomé, Togo, shareholders voted in support of the convertible bond issue, which will be undertaken by way of rights issue. As a rights issue, the units will be pre-allotted to shareholders on the basis of their existing shareholdings. As a convertible bond, it means shareholders can exchange the bond unit for other instrument or cash.

    Ecobank had confirmed to The Nation that the convertible bond issue will include equities option that allows unit holders to convert their bonds to equities in a middle-of-the-road debt-to-equity financial structure that has become a regular feature of the pan-African group.

    ETI, which is also listed on the Ghana Stock Exchange in Accra and the West Africa Stock Exchange (BRVM) in Abidjan, will use the net proceeds of the $400 million bond issue to repay the bridging finance required to create a resolution vehicle to manage Ecobank’s legacy loan portfolio and to optimise the maturities of the group’s debt portfolio.

  • Ecobank promotes savings culture

    Ecobank Nigeria has launched a target saving promotion to encourage saving amongst Nigerians. The lender’s plan is enable savers acquire valuable assets, save for travels or save for the rainy day, which they cannot achieve in one go.

    The bank’s Head, Consumer Banking, Ayotunde Kuponiyi disclosed this fact during customer sensitization exercises in different parts of Lagos. He observed that the excitement, enquiries and patronage generated by the promo was commendable.

    According to him,  the promo is intended for customers who want to build up savings with the Bank to meet their future financial goals or execute specific desired projects, stressing that, winners will be promptly compensated as stated in the terms and agreement of the promo.

    “Ecobank has a long history of recognizing customer loyalty which is the focus of this promotion. The level of enthusiasm shown by members of the banking public is laudable. This may not be far from our history of customer reward.  People of different background, age and sex are all embracing the account. It is quite encouraging,” he said.

    Kuponiyi used the opportunity to call on those that are yet to open account with the bank to do so, because of the attendant benefits, enjoining existing customers of the Bank to also increase their savings to qualify and win in any of the numerous draws.

    The promo tagged ‘Double Your Target Savings Promo’ which commenced in August is designed to reward both new and existing customers of the bank within the six months period. It is expected to run from August 1, 2017 to January 31, 2018.

     

     

     

     

     

  • ECOWAS to enhance electricity access through renewable energy by 35%

    ECOWAS to enhance electricity access through renewable energy by 35%

    The ECOWAS Centre for Renewable Energy and Energy Efficiency (ECREEE) has reaffirmed its commitment to increase household access to electricity in the sub-region by 35 per cent through renewable energy sources by 2020.

    The International Energy Agency estimates that in order to achieve universal electricity access, mini-grids will have to provide around 40 per cent of new capacity by 2030 with the largest percentage needed in Sub-Sharan Africa.

    The centre noted that at the moment, household energy access to electricity in the ECOWAS sub-region was below 50 per cent, which was among the lowest globally.

    Mr Mahama Kappiah, Executive Director, ECREEE made this known at a regional training for 17 renewable energy experts from English-speaking member states of the sub-region in Abuja on Monday.

    He said that the regional policies developed by ECREEE were aimed at increasing renewable energy access to 35 per cent by 2020 and 48 per cent by 2030.

    Kappiah said that the policies were adopted by the Heads of State and member states were engaged to develop national action plans.

    “The ECOWAS Renewable Energy Policy aims to increase the share of renewable energy in the region’s overall electricity mix to 35 per cent in 2020 48 per cent in 2030.

    “The ECOWAS Energy Efficiency Policy aims to implement measures that would free 2,000 MW of power generation capacity.

    “Following the adoption of these policies, the Heads of State engaged member states to develop their national action plans towards the attainment of the goals of these policies.

    “Every member state has developed their national action plans.

    “Following that they (Heads of State) said every country should develop an investment prospectus, that is the investment required to meet this action plan that will take everybody to this target,” he said.

    He further said that 10 countries had developed their investment prospectus adding that the other five countries would conclude theirs by the end of 2017.

    “Once all this is done, then we, together with member states will go on the fund mobilisation to look for ways to get funding to support one another and get these plans implemented,” he added.

    He explained that the workshop for the 17 renewable energy entrepreneurs was part of the ECOWAS Renewable Energy Entrepreneurship Support Facility.

    Kappiah added that the training would help participants develop project proposals, marketing strategies and learn how to access finances from banks.

    Mr Guevera Yao, Coordinator, ECOWAS Community Development Programme, accessing finances from the banks was a major challenge faced by entrepreneurs.

    Yao said that the training would assist participants to develop “bankable” projects.

    “Bankable projects are those projects that really outline not just the technical aspect but the financial aspect specifically return on investment, risks involved, the mitigating factors and this is called a business plan.

    “This is something that has been noted across the 15 member states; having a bankable project is so important to attract any financing,” he said.

    Mrs Abimbola Odesanya, Environmental and Sustainability Officer for FCT and North, ECOBANK said that viable projects would be reviewed and the needs of the entrepreneurs would be taken consideration.

    “We are here to offer our financial services; the aim of this training is to make sure the projects are bankable and there are some things the banks look out for before a project is financed.

    “Most importantly is payment sources, we also look at customers’ cash flows to see if they can pay back; if the projects are viable and we see that they can repay the bank will be willing to partner.”

    Odesanya said that ECOBANK was in partnership with the International Financial Cooperation and would use the feedback from the workshop to develop products favourable for entrepreneurs.

    Also speaking, Mrs Safiatou Nouhou, Regional Programme Officer for Sub-Saharan Africa, International Renewable Energy  Agency (IRENA) said that the training would also address challenges faced by renewable energy entrepreneurs.

    Nouhou said that the workshop provided a platform to better engage with and understand the needs the entrepreneurs.

    “We believe that training workshops and advisory assistance provided to entrepreneurs are ways in which we can closely engage with local enterprises and address some of their technical challenges so we can see more bankable renewable energy projects.”

    The training is in partnership with IRENA, Centre for Renewable Energy and Industrial Maintenance and the International Institute for Water and Environmental Engineering, among others.

  • Ecobank extends rapid transfer services to customers

    Ecobank extends rapid transfer services to customers

    Ecobank has extended the capabilities of its Rapid Transfer product enabling all bank account holders in Nigeria receive money via the Rapid Transfer instantly from 33 African countries where Ecobank operates.

    With this development, a bank account holder in any bank in  Nigeria, who is privileged to receive transfer of funds from within Africa can now benefit from the Ecobank Rapid Transfer product. Rapid Transfer is an Ecobank proprietary send and receive money transfer product available in all Ecobank location across Africa. This unique product facilitates easy transfer and access to funds across Nigeria and in all countries where Ecobank is present.

    Announcing this new development in Lagos, Head Remittance, Consumer Banking, Ecobank Nigeria, Esther Obot, said this is a strategic initiative that expands the reach of the product and allows non customers of Ecobank access the enormous benefits offered by this product. According to her, this is a more convenient way we believe bank customers in Nigeria can be served better.

    She explained that the Rapid Transfer service was conceived by Ecobank out of the need to provide convenient, accessible, and reliable money transfer service for its retail and wholesale customers and non-customers alike. The uniqueness of this product is its swiftness in delivery and accessibility as transactions are consummated instantly at the receiving end. “No matter the bank you have your account, you can receive money through Rapid Transfer” she reiterated.

  • Ecobank may issue 6.7b shares for $400m convertible bond

    Ecobank Transnational Incorporated (ETI) Plc, the pan-African financial services holding company for the Ecobank group, may issue about 6.7 billion ordinary shares under a $400 million convertible bond issue being planned by the company.

    Shareholders of ETI earlier this month authorised the board of the financial services group to raise up to $400 million through a convertible bond issue. At the annual general meeting and extraordinary general meeting in Lomé, Togo, shareholders voted in support of the convertible bond issue, which will be undertaken by way of rights issue.

    As rights issue, the units will be pre-allotted to shareholders on the basis of their existing shareholdings. As a convertible bond, it means shareholders can exchange the bond unit for other instrument or cash.

    Ecobank has now confirmed to The Nation that the convertible bond issue will include equities option that allows unit holders to convert their bonds to equities in a middle-of-the-road debt-to-equity financial structure that has become a regular feature of the pan-African group.

    Although the final details of the $400 million convertible bond issue are still being structured, Ecobank has already indicated that the convertible bond issue will have a maturity of five years and a coupon of 6.46 per cent above three-month LIBOR, with an option to convert at an exercise price of 6 US cents during the conversion period. The bonds will be on offer to all Ecobank shareholders on identical terms shortly.

    ETI’s share price opens today at 4 cents or N13.27 per share at the Nigerian Stock Exchange (NSE). The conversion price for the convertible bond is expected to be about N20 per share. If fully converted, the bond issue is expected to add about N133 billion to the market capitalisation of ETI at the NSE.

    ETI had adopted similar debt-to-equities conversion in its acquisition of Nigerian bank, Oceanic Bank International Plc. Under the deal, preference shares were converted to ordinary shares. Qatar National Bank (QNB), one of ETI’s major shareholders, had used the window to increase its stake in the group.

    ETI, which is also listed on the Ghana Stock Exchange in Accra and the West Africa Stock Exchange (BRVM) in Abidjan, will use the net proceeds of the $400 million bond issue to repay the bridging finance required to create a resolution vehicle to manage Ecobank’s legacy loan portfolio and optimise the maturities of the group’s debt portfolio.

    The bank had recorded a net loss of N52.6 billion in 2016, following a voluntary decision of the financial group to adopt full impairment charge for its legacy loan portfolio. ETI made a provision of N221.7 billion in the 2016 audited accounts, an increase of 110.7 per cent on N105.2 billion recorded in 2015.

    Key extracts of the audited report and accounts of the ETI Group showed 29 per cent increase in operating profit before impairment losses to N188.65 billion in 2016 as against N146.04 billion in 2015. However, with the decision for the full impairment of the legacy loan, the group recorded loss before tax of N33.71 billion in 2016 as against pre-tax profit of N40.59 billion in 2015. After taxes, net loss stood at N52.6 billion in 2016  compared with net profit of N21.25 billion in 2015. Earnings per share thus reversed from 56 kobo in 2015 to a loss of N2.58 in 2016.

    The report showed that gross earnings rose by 23 per cent to N665 billion in 2016 as against N542.7 billion in 2015. Net interest income similarly rose by 25.3 per cent to N284 billion compared with N226.6 billion in 2015.

    Meanwhile, the group’s balance sheet emerged stronger as total assets rose by 33 per cent from N4.69 trillion in 2015 to N6.26 trillion in 2016. Loans and advances also grew by 27 per cent from N2.23 trillion to N2.82 trillion. Customers’ deposit increased by 26 per cent to N4.12 trillion in 2016 as against N3.27 trillion in 2015. Total equity improved by seven per cent from N502.88 billion in 2015 to N538.04 billion in 2016.

    ETI Group Chief Executive Officer, Ade Ayeyemi said the funds from the $400 million convertible bond issue will be used sensibly and profitably.  $200 million of the issue will be used to repay the short-term financing used in setting up the resolution vehicle while the remaining $200 million will be used for a conscious debt restructure of the maturity profile of the ETI Holdco balance sheet.

    He noted that ETI had blazed the trail with the setting up of the resolution vehicle, pointing out that the vehicle is the first private sector-funded resolution vehicle of its kind in Nigeria, with the sole objective of ring-fencing the legacy loans from Nigeria’s core bank.

    The resolution of the legacy loan portfolio, he said, would allow management to focus on delivering results, adding that this business philosophy was founded on international best practice in terms of accounting and asset quality.

    He pointed out that there is an ongoing focus on cost discipline, stringent credit control and the increasing digitisation of services to enhance the customer experience.

    “We are proactively resolving our legacy loan issues, achieving $2 million of recoveries from the resolution vehicle in the first quarter of 2017. I am confident that these positive developments will be reflected in an improving performance from Ecobank going forward,” Ayeyemi said.

  • Shareholders approve Ecobank’s $400m convertible bond

    Shareholders of Ecobank Transnational Incorporated (ETI) Plc last weekend authorised the board of the financial services group to raise up to $400 million through a convertible bond issue.

    At the annual general meeting and extraordinary general meeting held in Lomé, Togo, shareholders voted in support of the convertible bond issue, which will be undertaken by way of rights issue. As a rights issue, the units will be pre-allotted to shareholders on the basis of their existing shareholdings. As a convertible bond, it means shareholders can exchange the bond unit for other instrument or cash.

    The convertible bond issue will have a maturity of five years and a coupon of 6.46 per cent above three-month LIBOR, with an option to convert at an exercise price of 6 US cents during the conversion period. The bonds will be on offer to all Ecobank shareholders on identical terms shortly.

    The net proceeds of the $400 million bond issue have been earmarked to repay the bridging finance required to create a resolution vehicle to manage Ecobank’s legacy loan portfolio and to optimise the maturities of the group’s debt portfolio.

    Chairman, ETI Plc, Mr. Emmanuel Ikazoboh, said the support for the bond issue showed shareholders’ confidence in the future of Ecobank.

    “We are delighted with the strength of the support shown for the issue by our existing shareholders, as it vindicates the vigorous action taken to address our challenged legacy assets, as well as indicating their confidence in Ecobank’s future,” Ikazoboh said.

  • Ecobank unveils Advantage Banking lounges

    Ecobank unveils Advantage Banking lounges

    Ecobank Nigeria has commissioned three additional banking lounges for its Advantage customers in Uyo, Port Harcourt and Abuja.

    The Advantage segment offers its customers dedicated banking servicesm, targets the upwardly mobile and generally, professionals in various fields.

    The services include a bouquet of lifestyle enriching products, to address their day-to-day banking needs with dedicated relationship managers, whose main function is to give specialized services and on board the customers to all our service points.

    Speaking at the opening of the Lounge in Abuja, Group Head, Personal Banking, Mrs. Olukorede Demola -Adeniyi, said that the decision to establish lounges in various parts of the country was conceived to promote excellent banking services to its customers, noting that customers in the Advantage Banking segment would have opportunity for personalized services in the various lounges.

    She said the lounge, which is fully kitted with state of the art digital touch screen computers, will further create a conducive and comfortable ambience for Advantage customers to do their transactions with ease.  She said, “It is our effort to raise the bar in service delivery for our customers. As a Bank, we cherish and hold our customers in high esteem and would want to hear them speak to us while we listen and make deliberate efforts to provide the best service delivery channels and outlets available to them. Our plan is to open more of such outlets in most parts of the country.”

    These customers have access to a dedicated relationship manager to attend to their day-to-day banking needs; 24/7 access to reliable and accessible self-service channels and remittance products; asset protection and trust products.

    In addition, the Gold debit and credit mastercard is available to these customers in local and foreign currencies. These cards also enable customer’s access loyalty benefits/discounts from our partners which include hotels, boutiques, and fragrance shops amongst others. The customers also benefits from concierge and financial planning services.

    Commissioning the Abuja Lounge, Managing Director, Tom Hawksworth Ltd,  Adekola Isaiah Ogundayo commended Ecobank for promoting the interest of its customers. He was optimistic that the lounges would attract more customers to the bank.

  • Areximbank named African Banker of the Year

    Areximbank named African Banker of the Year

     Dr Benedict Oramah, the President of African Export-Import Bank (Afreximbank), has been named African Banker of the Year at the African Banker Awards 2017 ceremony in India.

    A statement by Afreximbank in Lagos on Wednesday said that the award was presented on Tuesday at a ceremony on the sidelines of the Annual Meetings of African Development Bank.

    The bank said that the award was given to a banker who, through leadership and vision, had overseen strong financial performance within his or her organisation.

    “Such a banker would also have successfully guided that institution to new heights in the industry”.

    In his acceptance speech, Oramah, a Nigerian, said that he was able to win the award as a result of the dedicated work of the staff of Afreximbank.

    He said the staff had put in sustained efforts and made sacrifices to enable the bank continue performing in order to meet the challenges confronting Africa in the area of trade.

    Other nominees for the award included Segun Agbaje of GTB in Nigeria, Jeremy Awori of Barclays Bank in Kenya, Dr Charles Kimei of CRDB Bank in Tanzania, James Mwangi of Equity Bank in Kenya and Joshua Nyamweya Olgara of KCB in Kenya.

    Also at the ceremony, Guaranty Trust Bank of Nigeria was named African Bank of the Year, Rameswurlall Basant Roi, Governor of Central Bank of Mauritius, was named Central Bank Governor of the Year, while Rand Merchant Bank in South Africa was named Investment Bank of the Year.

    Other winners included Equity Bank of Kenya as the Best Retail Bank, MasterCard and Ecobank were named for Innovation in Banking.

    Waheed Olagunju of Bank of Industry in Nigeria was named African Banker Icon, while Amadou Ba, Minister of Finance of Senegal was named the Finance Minister of the Year.

    According to Afreximbank, the African Banker Awards were introduced to recognise reforms, rapid modernisation and expansion of banking and finance in Africa.

    “The awards reward the outstanding achievements of companies and individuals that have changed the perception of Africa’s potentials in domestic and international markets”.