Capital Bank Targets P100m In Profits
Pauline Dikuelo | Monday May 14, 2018 14:18
Presenting the bank’s financial results for the year ended December 31, 2017, the chief executive officer (CEO) Jaco Viljoen said that the bank is on track with its 2020 Strategy of realising double-digit growth for each financial year.
“To attain this, we would continue to retain our focus on the commercial banking markets and retain our current strategy, which has been working for us in the past five years,” he said.
The bank recorded a 13% profit increase with P27.3 million from the P23.8 million that was recorded in the corresponding period; a growth has been notable for the past five years.
“We have a strong history of growth and have impressively outgrown our industry in the past four years. Our core focus in Botswana remains the Corporate, Commercial and Business Banking segments. Our strength is built around relationship building and speed to market,” he said.
In addition he shared their plans of retaining their loan book and customer deposits, noting that they are opening a loan centre in Main Mall, Gaborone. According to the CEO, the bank would venture into asset-based finance and payroll retail loans. The bank’s loan book has ballooned from P500,000 in 2015 to P1.2 million recorded this financial year.
He further highlighted that the bank aims to attain a five percent market share in the local banking sector by 2020 in terms of its balance sheet. Currently, the bank has a market share of more than five percent in the corporate banking segments and an overall market share of just over 2.5 percent of total banking assets in Botswana.
The bank’s revised strategic approach saw the transactional side of the business grow around 40% every year for the past three years.
“Capital banks remains focused on providing customised service for the business market with a lesser focus on retail banking and building mass infrastructure,” he said.