The International Finance Corporation (IFC) – in an effort to support its expansion programme across all sectors of the bank’s operation – has lent $175 million to Guaranty Trust Bank (GTB) to expand its lending portfolio in Africa’s biggest economy, Nigeria. The IFC said the financing comprises $100 million from IFC’s own account and $75 million through an IFC managed co-lending portfolio.
Guaranty Trust Bank is a top tier commercial lender with 233 branches in Nigeria. In its 2014 full year results, the bank grew its gross earnings by 14.8 per cent to N278.5 billion, from N242.7 billion recorded in 2013. Interest income rose by 8.2 per cent from N185.4 billion to N201 billion, while interest expenses rose by 20 per cent from N48.4 billion to N58.2 billion. However, credit impairment charges soared by 146 per cent from N2.9 billion to N7.1 billion. Similarly, operating expenses increased by 14.9 per cent to N95.7 billion, from N82.4 billion in 2013.
Commenting on the results which were released two weeks ago, the Managing Director/CEO of Guaranty Trust Bank, Mr. Segun Agbaje said “the financial performance attests to the inherent soundness of the bank’s strategy and the resilience of its earnings. Guaranty Trust Bank Plc. is strengthening its position as a market leader, by deepening access to growth capital and boosting lending to critical sectors that are generators of growth.”