Afreximbank’s Net Interest Income grew by 24.5% in H1’2024 to reach US$826.2 million, compared to US$663.6 million for the same period last year (H1’2023). The increase is driven by a 31.42% increase in interest income to US$1.5 billion, on the back of growth in the bank’s portfolio of loans and advances.
According to the bank’s half year financial result released in Cairo on August 19, 2024, theGroup’s performance for the period reflects that of the bank as subsidiary entities are still in their early stages of development, with the notable exception of the Funds for Export Development in Africa (FEDA) which contributed US$11 million to the Net Interest Income of the Group, compared to US$9.1 million at H1’2023.
The Group’s total fees and commission income for H1’2024 increased by 20.07 percent to US$71.2 million, compared to US$59.2 in H1’2023. During the period, the Group continued to make strategic progress in its mission to develop African trade, including deepening ties with Caribbean countries and the broader diaspora. Operating expenses increased by 30.38 percent, to US$152.8 million, compared to US$117.2 million at H1’2023 reflecting higher personnel and administrative costs to support the initiatives of the Bank and subsidiaries amid high inflationary external environment. The Cost to Income Ratio remained low at 16.98 percent, well within the strategic upper limit of 30 percent.
The winding down of the Ukraine Crisis Adjustment Trade Financing Programme for Africa (UKAFPA) facilities as African economies demonstrated resilience, and adapted to the crisis, resulted in a marginal decline in Loans and advances from US$ 26.7 billion to US$ 26 billion. Cash and cash equivalents closed the period at US$3.9 billion (FY 2023: US$5.6 billion), while the Liquid Assets to Total Assets ratio remained high, at 12.50 percent.
The Group’s Shareholders’ Funds rose by 1.64% to US$6.2 billion compared to US$6.1 billion at FY 2023, reflecting growth in internally generated Net Income of US$407.7 million. The Bank’s Capital Adequacy Ratio remained strong at 25%.
Highlights of the results for the Group and Bank are shown below:
| Financial Performance Metrics | HY-2024 | HY-2023 |
| Gross Income (US$ billion) | 1.47 | 1.12 |
| Operating Income (US$ million) | 899.86 | 732.17 |
| Net Income (US$ million) | 407.66 | 345.6 |
| Return on average equity (ROAE) | 12.95% | 12.19% |
| Return on average assets (ROAA) | 2.52% | 2.36% |
| Cost-to-income ratio | 16.98% | 16.01% |
| Financial Position Metrics | HY-2024 | FY2023 |
| Total Assets (US$ billion) | 31.1 | 33.47 |
| Total Liabilities (US$ billion) | 24.9 | 27.35 |
| Shareholders’ Funds (US$ billion) | 6.2 | 6.12 |
| Net asset value per share (Bank) | US$64,580 | US$63,858 |
| Non-performing loans ratio (NPL) | 2.52% | 2.47% |
| Cash/Total assets |
12.50% |
16.80% |
| Capital Adequacy ratio (Basel II) |
25.13% |
23.77% |