Fidelity Bank wins Ghana Bank of the Year 2016
Fidelity Bank has emerged Ghana bank of the year 2016 at the Banker’s seventeenth (17th) annual Bank of the Year awards held in London. Commenting on Fidelity Bank’s accomplishment, the judges gave the following citation: “In a highly competitive banking sector Fidelity Bank has emerged as the standout entrant for the Ghana country award. Sound portfolio management, a commitment to innovation and an excellent financial performance all contributed to the judging panel’s decision.
In local currency terms, Fidelity Bank’s Tier 1 capital increased by 31 percent in 2015 while its total assets and net profits grew by 36 percent and 83 percent, respectively. Similarly, return on equity hit 33 percent in 2015, up from 31 percent in the previous year, while its cost-to-income ratio fell to 53 percent, from 56 percent in 2014. To better tackle non-performing loans (NPLs), Fidelity Bank established a dedicated recoveries unit, while its strategy of booking only the highest quality assets has led to the lender’s loan book dramatically outperforming the sector average. In 2015, the industry NPL ratio was 15 percent against Fidelity Bank’s 2.27 percent.
In 2015, Fidelity Bank completed the acquisition of ProCredit Savings and Loans. The deal has bolstered Fidelity Bank’s position in the small and medium-sized enterprise (SME) market, in which ProCredit was a focus, while growing the bank’s footprint by a further 75 branches, 109 ATMs and a further 693,000 customers.
Fidelity Bank also launched a partnership with IBM to manage the bank’s technology infrastructure, which improved standards of service delivery and consolidated its position in the market. The bank’s SME Business Academy also impressed the judges. Acting in a capacity-building function, the academy helps SMEs to develop a sound governance culture, unlock growth opportunities and make these entities more bankable over the long term. Experts specialised in different industries train the businesses listed in the academy.”