The state-owned Commercial Bank of Ethiopia (CBE) surpassed the ETB 100 billion revenue threshold in the fiscal years 2021–22, setting the highest annual revenue in the bank’s history, according to a publication by Ethiopian Investment Holdings (EIH). In comparison to 2020–21, with revenue of ETB 80.86 billion, the bank showed an increase of 46% from last year. CBE’s account holders deposited a total of ETB 890 billion, of which ETB 179 billion (68%) more than last year, which was used for loan disbursement. The bank also collected a total loan amount of ETB 121 billion, a staggering 102% increase from the prior fiscal year.
CBE contributes 31.4 % of the banking system’s total capital. The majority of assets and capital in the banking sector are held by CBE, controlling close to 50% of net profits from the banking industry. Even though a thorough analysis of the performance of other banks is not available, not many other banking organizations showed CBE’s ETB27 billion profit (44% YOY growth) and ETB1.2 trillion total assets (17% YOY).
The bank, founded in 1942 with a capital of one million Maria Theresa thaler (MTT) and two branches in Addis Ababa, now has a network of over 1,800 branches and serves over 31.4 million customers across the country. With a total asset value of ETB 1.1 trillion, CBE is Ethiopia’s richest bank. The EIH recently released infographics describing this commendable advancement as the financial engine powering the Ethiopian economy. Along with advising CBE to boost digitization and improve the quality of its assets, the organization also suggested that CBE enhance its customer experience, cost management, forex generation,and asset management
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