- Reports 11% year –on-year growth to 31 December 2022
- Growth driven by 19% surge in fees and commissions
- But reports operating expenses going up by 9%
- Says Access Botswana now integrated into Group’s platforms
With robust revenue growth and a strategic focus on diversifying its income streams, Access Bank Botswana has emerged as a resilient player in the banking industry, The Botswana Gazette has established.
This is the bank whose total revenue witnessed an impressive 11 percent increase in the year that ended 31 December 2022 as compared to the previous year, driven primarily by a remarkable 19 percent surge in fees and commissions.
Despite operating expenses growing by 9 percent, the bank’s expansion strategy remained on track, aligning with the country’s high inflationary environment that consistently exceeded the upper target set by the Bank of Botswana throughout the financial year.
Significant jump in PBT
Notably, Access Bank Botswana reported a significant jump in profit before tax, closing the year at an impressive P70.2 million, compared to P20.8 million in the previous year.
However, the bank faced some challenges as increased interest rates slowed down the growth of its loan book, which stood at P6.9 billion in terms of gross loans.
Nonetheless, the bank managed to achieve a 2 percent increase in total assets compared to the previous year, demonstrating its commitment to balance sheet optimisation.
With a clear focus on long-term growth, Access Bank Botswana prioritised development of the necessary infrastructure to support its strategic expansion plans.
Moreover, the bank successfully maintained healthy capital adequacy levels, which stood at an impressive 21 percent. This strong capital position enables Access Bank Botswana to pursue its planned growth trajectory and effectively implement its 5-year strategy.
Says Chairperson, Lorato Mosetlhanyane, in Access’s released recently 2022 annual report: “Post the completion of the acquisition transaction, Access Bank Botswana has been resolute in completing its brand transition, leveraging Group support and capabilities to accelerate integration and assimilation into the Access Bank Group and investing in building a compelling and competitive customer value proposition.
Market leading capabilities
“In the first half of 2022, the bank successfully integrated into the main Access Group’s technological platforms, including upgrading its core banking and card platforms. We further enhanced our digital platforms to become award winning platforms with market leading capabilities.”
Mosetlhanyane says Access Botswana expanded its distribution footprint through the opening of 40 new ATM sites and replacing the old ATMs, bringing the total number of ATMs to 58.
“Additionally, the bank added six new Sales and Service Centres,” she notes. “The bank launched several innovative products and services, including with its market partners.
“These include, expanding payment capabilities, instant financing options commonly known as ‘Ntsakolle’ and service point expansions ‘Access Closa Agent.’
“This has accelerated the transitioning of the bank’s capabilities beyond those of a niche lending dominated bank into a full-service digital banking ecosystem capable institution that can begin to grow its market presence and transform into a resilient business with diversified revenue lines.”