Rédaction Africa Links 24 with The Africa Links 24
Published on 2024-04-04 19:56:02
Standard Chartered Bank Botswana has achieved remarkable performance for the fiscal year 2023, with significant increases in income and profit before tax. The bank’s financial report for the year ending December 31, 2023, highlighted a 52 percent increase in profit after tax to P307 million. However, there was a 26 percent decline in Non-Funded Income (NFI) due to lower margins on Foreign Exchange (FX) and subdued transactional volumes.
Chairperson Doreen Khama and Managing Director Mpho Masupe attributed this success to the meticulous execution of Standard Chartered Bank’s ambitious three-year strategy, now in its second year. They emphasized the global economic landscape of 2023, acknowledging a slowdown in the first half of the year due to geopolitical tensions and tightening monetary policies worldwide. Despite these challenges, the bank remained resilient and committed to its employees, clients, and shareholders with its brand promise to be “Here for Good.”
Khama and Masupe acknowledged the efforts of monetary and fiscal authorities in stabilizing inflation and economic activity in the local market in the latter half of the year. They also anticipated measured adjustments in monetary policy and decelerated economic growth, particularly in the diamond sector, both domestically and internationally. In response, Standard Chartered Bank Botswana aims to diversify income streams by enhancing customer value propositions and fostering deeper client relationships across various segments.
The strategic focus on ecosystem collaboration across consumer and corporate sectors yielded significant wins in 2023, with the trend expected to continue into 2024. The bank plans to bolster its digital capabilities and capitalize on its position as a leading provider of mining and sustainable finance advisory services, aligning with national priorities.
Looking ahead to 2024, Khama and Masupe outlined key objectives, including optimizing distribution models, boosting brand visibility, enhancing employee experience, delivering client-centric services, and maintaining a high double-digit Return on Tangible Equity (RoTE). They expressed confidence in sustaining financial performance in 2024, crediting the dedication of their colleagues in serving clients and executing the bank’s strategy.
Operating expenses increased by 9 percent year-on-year, primarily due to staff costs, reflecting the bank’s strategic investment in quality and sustainable human capital. The Cost to Income ratio (CIR) improved from 67 percent to 64 percent, with a focus on cost containment to enable positive operating leverage and continued investment in strategic initiatives.
In conclusion, Standard Chartered Bank Botswana’s performance in 2023 showcases its resilience and commitment to achieving sustainable growth in a challenging economic environment. With a strong focus on client-centric services, strategic partnerships, and digital innovation, the bank is well-positioned to navigate future uncertainties and drive continued success in the years to come.
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