ETI targets 7.5 per cent NPL ratio in 2016

Ade Ayeyemi ETI GMD

Ecobank Transnational Incorporated (ETI) has targeted a Non-Performing Loan (NPL) ratio of 7.5 per cent in the current financial year, against 8.2 per cent achieved in previous year. The pan-African bank, as part of its commitment to improve on quality of its loan book and refrain from riskier assets.

According to the Group Managing Director of the bank, Ade Ayeyemi, has also concluded plans to focus on return on equity rather than cost, after first three months profit after tax dropped by 35 per cent.

The Group Managing Director of the conglomerate. Ade Ayeyemi, who stated these while addressing market stakeholders during the Facts Behind the Figures of the bank on the Nigerian Stock Exchange (NSE), explained that the group recorded a decline of 35 per cent in profit after tax from $126 million in the first quarter of 2015 to $82 million in during the corresponding period of this year.

He attributed the decline to high rates and inflation in some Middle African countries, the devaluation of dollar risk; and Treasury Single Account (TSA) reforms in Nigeria, among others.

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