• BOA Niger warns net profit to drop 92% in 2025

• Decline driven by high provisions amid rising non-performing loans

• Sanctions and weak lending weigh on banking sector performance

Bank of Africa Niger’s board issued a profit warning on Friday, March 13, saying it expects net profit to fall 92% for the 2025 fiscal year. The announcement follows an earlier warning in December, when the bank had projected a 50% decline, pointing to a sharper deterioration in operating conditions.

The Bank of Africa group subsidiary is operating in a challenging economic environment in Niger following sanctions imposed by ECOWAS after the July 2023 coup. The country also has the highest non-performing loan ratio in the West African Economic and Monetary Union (WAEMU), at 26.8% in 2024, according to the WAEMU Banking Commission.

The sharp drop in net profit is mainly driven by higher credit costs. The bank said it set aside provisions to cover high-risk exposures, which weighed heavily on earnings.

This comes as asset quality deteriorates across Niger’s banking sector. Data show the country’s non-performing loan ratio rose from 24.4% to 28.6% between November 2024 and November 2025, reflecting repayment difficulties among borrowers and prompting banks to increase provisions.

The profit decline also coincides with weaker lending activity. BOA Niger’s loan portfolio fell 21%, while customer deposits grew 4%.

The trend is mirrored across the banking sector. Loan portfolios declined 4.1%, while deposits edged up 1% at end-December 2025. In 2024, Niger recorded the sharpest contraction in bank lending among WAEMU member states. According to the Banking Commission, loans extended by banks in the country fell 18.2%, affecting both corporate and retail segments.

Despite the downturn, the bank said it remains compliant with regulatory solvency and liquidity requirements, allowing it to meet its financial obligations.

BOA West Africa holds a 59.1% stake in BOA Niger, which remains the only Nigerien company listed on the Regional Securities Exchange (BRVM). The stock was down 7.46% as of 1:30 p.m. on Tuesday, March 17, reflecting investors’ reassessment of the bank’s outlook.

Chamberline Moko