Access Bank accelerates operations in Botswana

Acceess Bank Botswana has announced that its profit before tax for the year ended 31 December 2021 will decrease by about 75 percent to 85 percent compared to the corresponding period. This translates to an expected Profit before Tax between P18 million and P30 million, compared to the restated P119 million for the corresponding prior period. The decrease is attributed to the acquisition of BancABC Botswana by Access Bank PLC. The Company had embarked on an accelerated programme to fulfil the conditions precedent and achieve legal ownership transfer which was completed by the beginning of October 2021. “As a result, the Company performance has been impacted by certain non- recurring write- offs as well as integration costs consistent with transitions of this nature,” states the company.

In its half year ended June 2021 Banc ABC profits reduced by two percent to P51.4 million compared to P52.3 million in the previous year. BancABC Managing Director Kgotso Bannalotlhe said with the acquisition by Access Bank Group, they are expecting to have a meaningful partnership for customers and stakeholders in Botswana. “Access Bank brings strong financial backing for BancABC Botswana and is expected to significantly fast track the strategic execution for the Bank. We expect that as the economy continues to open up, growth opportunities will also become available.”

According to the board of Directors, Access Bank Botswana’s focus is to rapidly expand and diversify the business. The Company has already begun a P200 million investment programme, enhancing its distribution footprint, leveraging Group digital assets to move beyond a lending dominated book into a full- service digital banking ecosystem with diversified revenue lines. “In this regard, it is pleasing to report that strategic implementation began immediately upon achievement of ownership transfer including bolstering execution capacity.”