Amhara Bank declared a remarkable financial turnaround for the year ending June 30, 2025, posting a gross profit before tax of Birr 655 million—a notable 85% jump from Birr 354 million the previous year. This achievement is particularly striking considering the bank began the year with a substantial first-quarter loss of Birr 924 million, which it successfully reversed through strategic discipline and operational resilience.
Gashaw Debebe, Board Chairperson of Amhara Bank, attributed this success to the bank’s steadfast commitment amid a challenging global and domestic economic landscape. “This achievement reflects our ability to maintain strategic direction in an ever-changing environment,” he said.
CEO Yohannes Ayalew explained the bank’s early-year crisis involved several factors, including an $18 million foreign debt, halted loan projects, sluggish export trade, and eroded customer confidence. The Birr 924 million Q1 loss was a significant risk. However, aggressive debt collection and recovery efforts reduced the bank’s non-performing loan ratio dramatically from 15% to below 4% by fiscal year-end.
The bank’s total assets grew 23% to Birr 43.4 billion, while total revenue rose 29% to Birr 5.6 billion. Interest income, including loans and down payments, formed 80% of total earnings at Birr 4.5 billion. Deposits increased by 26% to Birr 31.5 billion, raising total capital by 21% to Birr 8.6 billion. Paid-up capital grew 14% to Birr 7.4 billion, exceeding regulatory minimums, in part supported by the release of Birr 890 million in capital held by the National Bank of Ethiopia.
Amhara Bank expanded its customer base by over 612,000, ending the year with 2.4 million customers—a 34% increase. Mobile banking saw explosive growth, with 897,000 active users, while the physical branch network expanded to 315 locations.
The bank disbursed Birr 1.8 billion in loans to 95,796 customers, with 90% of funds directed to female borrowers, underscoring its commitment to women’s financial inclusion through technology.
Fiscal 2024/25 also marked approval of a new five-year strategic plan aimed at propelling Amhara Bank to rank among Ethiopia’s top four commercial banks by 2030 and Africa’s top 40 by 2040.
To support growth ambitions, Amhara secured 10,500 square meters of land from the Addis Ababa City Administration for its upcoming headquarters.
Gashaw reiterated the bank’s dedication to realizing its full potential through “bold and forward-looking strategies” designed to ensure sustained success and amplify its contribution to the national economy.
