BCR projects higher earnings

Rwanda Commercial Bank (BCR) is set to report a 35.2 per cent rise in profits after tax in the first six months of 2011. In the period between January and June this year, BCR’s net profits are expected to increase to Rwf1.3 billion from Rwf961.3 million the same period last year, according to its Managing Director, Sanjeev Anand
BCR's Managing Director, Sanjeev Anand.
BCR's Managing Director, Sanjeev Anand.

Rwanda Commercial Bank (BCR) is set to report a 35.2 per cent rise in profits after tax in the first six months of 2011.

In the period between January and June this year, BCR’s net profits are expected to increase to Rwf1.3 billion from Rwf961.3 million the same period last year, according to its Managing Director, Sanjeev Anand

“It’s great we have got our figures for the six months ready. However, they are not yet audited but we are upbeat the bank will be making Rwf1.3 billion from Rwf961.3 million realised during the same period last year,” Anand, said last during the launch of the bank’s new electronic banking services.

BCR is targeting to make Rwf2.6 billion in net profits in 2011.

Anand said the bank this year wants to penetrate the market further by leveraging retail which includes mortgage, loans; SME segment and new products to serve the bank’s corporate customers.   The electronic banking, which was launched on Friday, will allow the bank’s clients to carryout transactions using their mobile handsets.

“If a client had to do any transaction, he or she would have to visit a BCR branch, but electronic banking can carry out any transaction using a mobile phone which is a very significant milestone by the bank in reducing queues at bank branches,” he said.  

He added that the electronic banking system that was available in the market was only information based, meaning a client would only get information on their phones. 

But beginning next month, the bank intends to unveil new products and clients will be able to make transactions that include paying bills, buying cash power, and transfering money using their mobile phones.

According to Anand, two years ago, the bank’s non-performing loans portfolio stood at 20 per cent but today stands at 15 per cent, above the central bank’s requirement of seven percent.

“We have made significant progress and every bad debt the bank recognises they write it off,” he added.

Ends