• BOA Niger will not pay dividends for 2025 after profits fell 91.8%
• Earnings dropped sharply amid weaker income, higher costs, and a tough environment
• The bank expects a rebound in 2026 driven by cost control and digital growth

Shareholders of Bank of Africa (BOA) Niger will not receive dividends for the 2025 financial year, marking a break after several years of regular payouts, according to a recent report from the bank.

The board will submit the proposal to shareholders for approval at the annual general meeting scheduled for April 3. “The 2025 results do not allow for a dividend distribution,” the bank said, pointing to a particularly difficult economic and financial year.

Net profit fell to CFA409.26 million (about $717,000) as of December 31, 2025, down from more than CFA5 billion in 2024, a drop of 91.8%. The decline reflects a slight contraction in net banking income (-1.2%) and a 3.9% increase in operating expenses, partly driven by exceptional tax charges. Return on equity dropped sharply from 11.39% in 2024 to 1.05% in 2025.

Beyond internal pressures, the Moroccan group’s Niger unit cited a still-fragile economic environment, shaped by the fallout from sanctions imposed after the July 2023 coup. In that context, banks have faced a rise in non-performing loans, while BOA Niger’s loan portfolio shrank 20.9% year over year.

Loss Carryforward Limits Payout

The board also decided to allocate the entire 2025 net profit to reduce accumulated losses carried forward, which initially stood at CFA1.4 billion. Even after this allocation, retained losses rose to CFA1.8 billion, making any dividend payment impossible, the bank said.

The decision marks a clear shift from recent years, when dividends had steadily increased—from CFA385.95 per share in 2018 to a peak of CFA613.80 in 2022. Payouts then eased to CFA609.15 in 2023 before dropping sharply to CFA209.25 in 2024.

Despite the setback, the bank said it remains financially sound, with solvency and liquidity ratios above regulatory requirements.

For 2026, BOA Niger expects a recovery, supported by digital expansion, stronger support for small and medium-sized businesses, and tighter cost control. The bank is targeting pre-tax profit of CFA7.2 billion, which would represent a 515.3% increase from 2025, driven by higher net banking income, lower operating costs, and a reduced cost of risk.

Sandrine Gaingne