FY 2021 Bank Of Kigali delivers financial results

Financial Highlights 

Total interest income rose by 20.8% y-o-y to FRw 136.3 billion while our net loan book grew by 16.2% to FRw 990.3 billion y-o-y. Total interest expenses Increased by 23.3% y-o-y to FRw 40.3 billion in line with the growth in Customer deposits to FRw 974.5 billion. Overall, Net Interest margin increased to 10.9% from 10.7% in 2020. Non-interest income totalled FRw 37.9 billion; an increase of 41.4% y-o-y driven by the increase in trade volume and economic activities. Total operating income rose by 24.8% to FRw 174.2 billion, while total operating expenses rose by 39.2% to FRw 63.2 billion. Loan loss provision rose to FRw 37.7 billion.

Asset quality continues to improve with NPLs ratio and cost of risk at 5.3% and 3.4% compared to 6.7% and 4.5% respectively in 2020. The percentage of COVID-19 related loans on moratorium reduced to 1.7% of the gross loans from 43% restructured facilities. Cost to income ratio stood at 36.3% from 32.5% in 2020 due to increased Opex for project consultancies and network connectivity. Profit after tax (Net Income) increased by 35.0% y-o-y to FRw 51.9 billion.

As at December 31st, 2021, BK Group Plc is adequately capitalized with Total Capital to Risk Weighted Assets at 21.1%. The Group’s Total Assets stood at FRw 1.6 trillion; up 22.0% y-o-y, supported by strong liquidity from customer deposits growth. Net Loans/Total Assets ratio stood 62.3% down from 65.3.5% in the same period last year. Dividend payable balance were FRw 26.9 billion; as per approved pay-out ratio of 50%. Shareholders’ Equity increased to FRw 285.3 billion, up 10.0% y-o-y. Liquid Assets divided by Total Deposits increased to 44.5% as at December 31st, 2021, from 41.8% in December 2020.

The Group’s key profitability ratios- ROAA and ROAE improved to 3.6% and 19.1% respectively, from 3.3% and 16% in 2020.

Source: https://bk.rw/investor-relation