Global Bank Ethiopia has achieved the National Bank's minimum capital requirement of five billion birr through new share sales and subscriptions. Total revenue increased to 5.56 billion birr from 4.05 billion birr the previous year, reflecting robust financial performance. The growth was primarily fueled by interest income from loans.
Global Bank Ethiopia has reached the National Bank's required minimum capital of five billion birr, an increase from 2.4 billion birr last year, achieved by selling new shares and settling prior subscriptions. The bank now has more than 22,000 shareholders. This milestone supports its expansion in the competitive Ethiopian banking sector.
Total revenue climbed to 5.56 billion birr, up from 4.05 billion birr in the previous year. The rise was mainly due to interest income from loans and advances, which made up over 75 percent of revenues. Operating expenses rose to 4.39 billion birr from 1.21 billion birr, with interest expenses comprising 60 percent, salaries and benefits 24 percent, and the rest for general administrative costs.
Gross profit before provisions, depreciation, and taxes stood at 1.17 billion birr, a 33 percent year-on-year increase. "Earnings per share have slightly declined because our priority was on paid-up capital," stated Biniyam Fikadu, the bank's Marketing and Communication Director. During the recent general meeting, the bank reported earnings per share at 16.66 percent.
Outstanding loans totaled 20.38 billion birr, while foreign exchange mobilization for the fiscal year reached 112 million dollars, an increase of 13.3 million dollars. Having fully sold its authorized shares, the bank intends to seek approval at the Annual General Meeting to issue an additional 25 billion birr in new shares, further boosting its capital base. Total assets grew to 34.4 billion birr, expanding by 10.22 billion birr over the past year.