Africa's Banking Map: Dominance and Opportunity

𝗞𝗲𝗻𝘆𝗮’𝘀 𝗘𝗾𝘂𝗶𝘁𝘆 𝗕𝗮𝗻𝗸 𝗘𝘆𝗲𝘀 𝗘𝘁𝗵𝗶𝗼𝗽𝗶𝗮𝗻 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 𝗦𝗲𝗰𝘁𝗼𝗿 𝗘𝘅𝗽𝗮𝗻𝘀𝗶𝗼𝗻 Equity Bank Limited is preparing to enter Ethiopia’s newly liberalised financial sector, aiming to leverage its extensive regional experience across East and Central Africa. In discussions with Ethiopian Investment Commission (EIC) Commission Commissioner Zeleke Temesgen Boru (Ph.D), the bank received assurances of full support from the EIC to facilitate its entry. Equity Bank intends to offer a comprehensive suite of retail, corporate, and digital banking services, aiming to set a standard for other foreign investors. 𝗥𝗘𝗔𝗗 𝗠𝗢𝗥𝗘: https://lnkd.in/e89pGa_3 #EthiopiaFinance #BankingExpansion #ForeignInvestment #AfricanMarkets #DigitalBanking #FinancialInclusion #InvestmentOpportunities #RegionalGrowth #BankingInnovation #InvestInEthiopia

Addis International Bank S.C., emerging with a youthful stride and an exit capital of 152,000,000 Million Birr and 106,000,000 Paid-up capital, held its first general assembly in February 2002 E.C. (Ethiopian Calendar). With a number of owning shareholders exceeding 8,500, currently, it is a collective formation and effort of Cooperatives, Micro Finance Institutions (MFIs), Iddirs, other business organizations, and individual citizens. The Credit Worthiness, and Credit History (NBE’s evaluation based on Capital Adequacy Ratio) of the company is 18.2% as of December 2024, indicating a strong capital position for the essential of absorbing potential losses and maintaining financial stability. With a low non-performing loan (NPL) ratio of 2.3% that pulses with the dynamism of the capital city itself, it has also maintained a high provision coverage ratio of 85.6%, which is a sufficient number. Overall, Addis International Bank (AIB), embracing a tech-forward approach and vibrant branding that signals clear focus on the next generation consumers, is one of the Ethiopian bank institutions with a good financial performance based on annual reports. As of 2023, its total asset was to be 73.3 billion birr, and that’s a 14.5% yearly increase. Though newer to the scene, it has quickly carved out a niche with fresh perspectives and accessible services. For more, visit: https://lnkd.in/dErf-eKs. #AddisInternationalBank #EthiopianBanking #AIBank #FinancialStability #EthiopiaFinance #CapitalAdequacy #Birr #NPLRatio #FinTechAfrica #NextGenBanking #EthiopianEconomy #InvestmentOpportunity #BankPerformance #AddisAbaba #BusinessEthiopia

New data reveals shifting dynamics in Africa’s $100B remittance market in 2024; Egypt leads while Ghana emerges as the continent’s fastest-growing recipient. Africa currently receives just under $100 billion in annual remittances, growing at a robust 10% long-term CAGR. This represents a massive and expanding revenue pool for fintechs and financial institutions active on the continent. Africa’s remittance landscape continues to evolve, with recent World Bank estimates revealing Egypt overtaking Nigeria to become Africa’s largest remittance recipient and Ghana experiencing a remarkable surge in remittance inflows. https://lnkd.in/g-6AuzBe

Ethiopia's Banking Revolution: The Next Big Disruption in East Africa After 50+ years of protection, Ethiopia's banking sector is about to face its biggest transformation yet. With lending rates hitting 23% and only 35% banking penetration, the stage is set for a dramatic shakeup. PM Abiy's vision is of consolidation of local banks: "5-6 strong banks will do well" The Players Ready to Enter: 🏦 KCB Group - Using NBK sale proceeds, targeting digital-first universal banking 🏦 Equity Bank - Part of their "Phase Two expansion" to 15 countries by 2030 🏦 Standard Bank - Signaling investment banking interest What This Means: ✅ Compressed interest rate spreads (goodbye 23% lending rates) ✅ Forced digital transformation ✅ Massive consolidation wave ✅ 128M+ people getting access to modern banking This isn't just about Ethiopia - it's reshaping East African finance. The next 24 months will determine which banks survive the revolution. What are your thoughts on foreign banks entering protected markets? Game-changer or threat to local institutions? #EthiopiaBanking #EastAfricaFinance #BankingTransformation #FinancialInclusion #KCBGroup #EquityBank #AfricanBanking #LesAfricanistes

Over 400 million adults in sub-Saharan Africa are still excluded from the formal economy, relying on cash or informal providers and leaving them vulnerable to economic instability. In his latest blog, GODFRED OTI-BOADI (DFI alum), examines whether Africa is ready for interoperable payments. Initiatives like PAPSS could save billions in transaction costs and expand financial inclusion, but challenges remain, from high remittance fees to reliance on foreign currencies. Countries such as Ghana, Nigeria, and Mauritius are making strides in data protection and regulatory reform, yet harmonisation across the continent is essential. To create a truly inclusive, instant, and interoperable payments environment, Africa must adopt relevant standards and coordinate across regulators, fintechs, and regional bodies. Read the full blog: 🔗 https://ow.ly/bgVk50X3KTK #DigitalFinance #FinancialInclusion #InteroperablePayments #FinTech #DFICommunity

Equity Bank Limited has taken a decisive step toward expanding its footprint into Ethiopia, a move that comes as the country officially opens its financial sector to foreign participation. Group CEO James Mwangi recently held talks with the Ethiopian Investment Commission (EIC), where Commissioner Zeleke Temesgen Boru (Ph.D) assured institutional support for the bank’s market entry. This signals an important milestone not only for Equity but also for the region’s financial integration. Ethiopia, with a population of over 120 million, presents a vast and largely untapped opportunity for banking services. The nation’s banking penetration rate is among the lowest on the continent, with private sector credit accounting for just 15% of GDP compared to over 30% in Kenya and Tanzania. This highlights significant room for growth in financial intermediation, deposit mobilization, and credit expansion. Equity aims to leverage this gap by introducing innovative banking solutions and accelerating access to financial services for millions currently underserved. The regulatory landscape has also evolved to accommodate this shift. Ethiopia passed new banking legislation in December 2024, allowing foreign banks to establish subsidiaries, open branches, or acquire up to 40% stakes in local institutions. In June 2025, the National Bank of Ethiopia issued directives inviting applications from international banks. Alongside these reforms, the country is adopting global prudential standards such as IFRS 9 and Basel guidelines to ensure strong governance and systemic resilience. This regulatory modernization is expected to encourage long-term investor confidence and create a more competitive banking sector. Equity Bank’s entry into Ethiopia reflects a broader trend of regional lenders, including Kenya’s KCB Bank Group, seeking to expand into Africa’s second most populous country. While opportunities are immense, the Ethiopian market remains concentrated, with the state-owned Commercial Bank of Ethiopia dominating over half of the sector’s assets. Success will therefore depend on regulatory oversight, market readiness, and the ability of new entrants like Equity to innovate in digital banking and financial inclusion. The move reaffirms Equity’s vision of transforming lives and livelihoods through inclusive financial services across the continent. #EquityBank #Ethiopia #BankingSector #FinancialInclusion #EastAfrica #DigitalBanking #EconomicGrowth #AfricaFinance #InvestmentOpportunities https://lnkd.in/d5Tq_XJg

#ICYMI FROM POSTBANK TO PEARL BANK: For over 27 years, PostBank Uganda Ltd, has been a trusted partner in building prosperity for Ugandans—introducing innovations like Wendi Mobile Wallet strengthening governance, and expanding its customer base. Now, in a defining moment, the Bank is rebranding to Pearl Bank Uganda Limited—a bold step rooted in its five-year strategic plan and its enduring purpose: Fostering Prosperity for Ugandans. In an exclusive Q&A with CEO East Africa Magazine, Doreen Asaasira Muhangazi FCIPD, Chief People and Strategy Officer, unpacks what this transition means for customers, stakeholders, and Uganda’s financial sector. https://lnkd.in/dNJVrvcu #PearlBank #PostBank #Banking #FinancialInclusion #CEOEastAfrica

FROM POSTBANK TO PEARL BANK: For over 27 years, PostBank Uganda Ltd, has been a trusted partner in building prosperity for Ugandans—introducing innovations like Wendi Mobile Wallet strengthening governance, and expanding its customer base. Now, in a defining moment, the Bank is rebranding to Pearl Bank Uganda Limited—a bold step rooted in its five-year strategic plan and its enduring purpose: Fostering Prosperity for Ugandans. In an exclusive Q&A with CEO East Africa Magazine, Doreen Asaasira Muhangazi FCIPD, Chief People and Strategy Officer, unpacks what this transition means for customers, stakeholders, and Uganda’s financial sector. https://lnkd.in/dNJVrvcu #PearlBank #PostBank #Banking #FinancialInclusion #CEOEastAfrica

United Bank For Africa PLC has announced strong financial results for H1 2025, with profit after tax rising to N335.53 billion and gross earnings growing 17.28% to N1.608 trillion. The pan-African banking group demonstrated robust performance across key metrics, with total assets increasing to N33.3 trillion and customer deposits reaching N27.6 trillion. The bank's successful N234.3 billion rights issue has strengthened its capital base to N4.22 trillion, positioning it well to meet regulatory requirements and support expansion across its 20 African markets and international offices. Despite macroeconomic challenges, UBA's interest income grew by 32.89%, reflecting its resilient business model and strategic focus on digital transformation. These results underscore UBA's capacity to deliver sustainable growth and value to shareholders while maintaining a strong liquidity and capital adequacy position in a dynamic operating environment. #UBA #Banking #AfricaFinance #FinancialResults #PanAfrican #FitchAdvisory

Equity bank holds talks to enter #Ethiopia’s banking sector Equity Bank Group has taken a major step toward expanding into Ethiopia after its Chief executive, James Mwangi (PhD), held talks with Zeleke Temesgen (PhD), Ethiopian Investment Commission (EIC) Commissioner, on Friday, according to Kenyan media. Temesgen said the commission is ready to provide the necessary cooperation and support to facilitate the bank’s entry into the country’s financial sector. Mwangi added that Equity Bank had long planned to enter Ethiopia and that the government’s decision to open the financial sector to foreign investors created a favorable opportunity. Headquartered in #Nairobi, Equity is among the largest banks in East and Central Africa by customer base and assets, with operations in Kenya, the Democratic Republic of Congo, Uganda, Rwanda, South Sudan, and Tanzania. #sourceAddisstandared #NBE #Equtiybank