afb Ghana, a subsidiary of regional inclusive finance group, Letshego Group reported positive growth and strong results for 2018.
This was disclosed when the company took its turn at the Facts behind the Figures session with the Ghana Stock Exchange.
At the event, the company disclosed that its profit after tax increased by 17% year-on-year, with gross loan book increasing by 168%.
Net loan book also increased by 142% for the same period.
afb Ghana’s strong performance can be attributed to firm core deduction at source loan growth, a well-balanced cost of funding and the impressive growth of their Qwikloan- mobile loan offering, during the year.
afb Ghana’s Qwikloan solution showed impressive growth during 2018, reaching 1.8 million customers by the end of 2018. The company also witnessed a 349% growth in deposits from both individual and corporate customers.
Speaking at the Ghana Stock Exchange’s annual ‘Facts Behind the Figures session, afb Chief Executive Officer, Arnold Parker commented, “afb Ghana is pleased with the positive set of results, and the initial response we have experienced with Qwikloans.
In 2019 we will continue to review our mobile loan offering to build a sustainable commercial offering for the longer term, while maintaining focus on our deduction at source solutions provided to public sector employees. This year we will also conclude the transition of our brand to Letshego’s blue and yellow, a brand that represents 21 years of financial inclusion in Africa.”
In the first quarter of 2018, afb Ghana launched its Edusolution product that addresses the respective needs of private schools and provides credit facilities to both teaching and non-teaching staff, as well as suppliers who conduct business with the educational institutions. The financial solutions provided range from asset financing, project financing to personal loans.
Four years ago, afb Ghana listed Medium Term Bonds on the Ghana Stock Exchange (GSE).
In December 2018, the long-term credit ratings of the Company and its Investment Grade Medium Term Notes “bond” programme were reaffirmed as BB+ (GH) and BBB+(GH) respectively, with the outlook accorded by Global Credit Rating Company as positive.
In response to a question about the company’s outlook for 2019, Arnold Parker reiterated that, afb Ghana will be continuously committed to its great customer experience agenda, secured digital solutions and robust credit controls.