Finance

BMCE Bank of Africa wants to reinforce footprint in Africa

BMCE Bank of Africa wants to reinforce footprint in Africa
Thursday, 29 August 2019 15:53

BMCE Bank of Africa, the second largest bank on the Casablanca Stock Exchange, is looking for organic growth within its subsidiaries, according to information provided by Moroccan media Challenge.

The bank wants to make new acquisitions in the region to increase its net income, which is still affected by the remuneration of minority interests. In a context characterized by fierce competition on the African banking market, the group still had to spend the equivalent of MAD945.4 million ($98.4 million) of its consolidated net income on minority interests. Similarly, an analysis of the group's shareholders' equity showed that the share of minority interests in consolidated reserves (MAD3.97 billion) is higher than that of the group (MAD1.58 billion).

The expansion strategy could be a tough process for BMCE Bank of Africa, even if the bank now has in its capital the reference shareholder CDC (Commonwealth Development Corporation), the British development finance fund. Just on its main subsidiary, BOA Bank group, BMCE Bank of Africa will have to deal with Proparco (France), BIO (Belgium) and FMO (Netherlands), which together account for 15% of the shareholding and are also present in the capital of the BOA country subsidiaries.

The implementation of such an initiative would allow BMCE Bank to strengthen the shareholder return base. The BCME Bank share gained 4.4% since the year started, compared with an impairment loss over the same period in 2018. But much more remains to be done on the Moroccan financial market. Latest financial publications show a net margin ratio of 19.2%, which lags below that of the whole sector.

Idriss Linge

On the same topic
Seven of Nigeria's top 11 listed banks missed the March 31 deadline for 2025 audited accounts, all citing pending Central Bank approval The bottleneck...
DRC secures $3.1 million UK funding for agricultural SMEs Program to support 5,000 farmers, including women-led businesses Initiative targets...
AfDB approved $755m across 18 projects between January and mid-April 2026, a 443% jump on the same period last year — its strongest start since...
BOAD exits BOA Bénin and Niger, sells stakes to Sonimex BOA Bénin posts growth; BOA Niger sees sharp profit decline Divestment reflects...
Most Read
01

Algeria launches bid for two NGSO satellite telecom licenses Move aims to expand broadband ac...

Algeria Opens Satellite Market to Competition, Inviting Global Operators
02

Four major operators—Mauritel, Mattel, Rimatel, and Chinguitel—submitted a combined bid of ...

Mauritanian Telecom Operators Submit $27 Million Combined Bid for 5G Licenses
03

(EBID) - EBID aims to allocate nearly 41% of its commitments to projects with environmental and...

EBID makes giant strides for a green transition in west africa
04

Nigeria, Nestlé sign MoU for dairy training center in Abuja Center to train farmers in breeding, ...

Nigeria, Nestlé partner to strengthen dairy sector skills
05

Operators review 2025 investments, outline 2026 expansion plans Consumer complaints persist...

Cameroon Presses Telecom Operators on Service Quality as Complaints Rise
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.