Paid-up capital up to 1.03 billion birr
The shareholders of Ahadu Bank breathe a sigh of relief as it records its first ever profits before taxes and other deductibles of over 175 million birr two years after it kicked off operations.
The Bank’s operating income surged to 1.15 million birr, reflecting sustained growth in banking activities while diversified revenue streams contributed significantly to its performance.
“The Bank’s commitment to financial inclusion, strong partnerships, and collaborations with stakeholders as well as deployment of digital technology has been instrumental in its success helping it mobilize 4.6 billion Birr in deposits, reflecting the trust and confidence of its valued customers,” said Sefialem Liben, president of Ahadu Bank.
Ahadu managed to increase its paid-up capital to 1.03 billion birr, far short of the five billion birr minimum threshold that regulators at the National Bank of Ethiopia (NBE) expect all banks to meet before the deadline in June 2026.
Ahadu’s assets have grown to the value of 6.3 billion birr as the Bank expands its reach with 104 branches across the country, providing service to more than 700,000 customers.
“Our performance is astonishing given the challenging business environment, in a particularly difficult fiscal year, during which we remained committed to delivering exceptional financial products with excellent customer service, which paid off remarkably,” said Sefialem.
Among the difficulties mentioned by the President is the 14 percent growth cap enforced by the NBE.
“It had a detrimental impact on new banks like Ahadu with a small outstanding loan portfolio,” said Sefialem.
Ahadu Bank looks forward to continuing its growth trajectory guided by a five year-strategic plan and a business model focusing on business growth, human capital, agile operational platforms, customer-centric operating model, and ESG commitment contributing to the national economy.
Ahadu Bank was established in 2022 and currently employs more than 865 people.
