Birhan International Bank (BIB) made a 26 million birr pre-tax profit. Considering that it lost six million birr last year it is a 529 percent gain. BIB’s aggregate deposit reached 694.3 million birr with saving deposits of 214.2 million.
In the reported period the number of account holders at the Bank reached 12,125. A year before, BIB had only 4,516 account holders. Now 7,609 accounts have been opened which is a 168 percent increase.
The bank reported 331.8 million birr in outstanding loans.
The import and export sector, transportation and construction were the major recipients of loans in that order. Export and Import business were loaned 72.3 million birr, transportation 64 million and construction 60 million birr. Together this forms around sixty percent of the bank’s loans.
Personal loans made up 1.1 million birr, which is the least amount.
Last fiscal year, BIB registered 24.85 million birr in income from international banking; the year before it was 1.75 million birr. The international banking income of the bank represents 37 percent of its total income which came about after the bank was able to mobilize 414.8 million birr (24.4 million USD) from various foreign currency sources. Birhan has connections with banks like Commerzbank of Germany, Standard Chartered Bank and Doutsche Bank Americas of USA, Bank Natixis’ of France, UniCredito of Italy and Banque Indosuez of Djibouti. Moreover the bank is a member of SWIFT and has a Bilateral SWIFT arrangement with a number of banks.
Last year (2009/10 fiscal year) 6,575 people owned shares of BIB. This year 178 more purchased shares in the company.
The total assets of the bank are now 913.7 million birr. Previously it was only around 380 million. The total capital of the bank including undistributed profits reached 149.9 million birr. The bank has 134.67 million birr in paid up capital and 176.3 million birr in subscribed capital.
BIB had expenses of 41.3 million birr and an income of 67.2 million. Interest made up around half of their income.
The Bank has nine branches. Six are in Addis and three are in Bahir Dar, Adama, and Hawassa. It is working on other branches at Hossana, Gondar and Megenagna. BIB has 115 professional and semi-professional staff members and 73 service workers. The Bank is planning to increase its capital as the requirement of the National Bank of Ethiopia (NBE) by increasing the level of deposits.
The bank is utilizing core banking solutions from the outset to enable SMS messages on each account transaction, operating any account at any BIB’s branch, opening accounts without bringing a photo and opening and transacting saving accounts without a pass book. The bank has plans to provide SMS Banking, Internet Banking and Card Banking Services.