Zenith bank has posted a Profit Before Tax (PBT) loss of Le 4.4billion (Le4, 411,396,000) in its just published financials for 2013.
The bank moved from a 2012 PBT of Le227.8 million to a loss of Le4.4billion in 2013.
The deposits from customers increased by Le40.2billion from Le102.1billion in 2012 to Le142.3billion in 2013.
The fees and commission income also dropped by Le112.7million from Le3.95billion in 2012 to Le3.84billion in 2013.
Also the loans and advances to customers dropped by Le2billion from Le12.3billion in 2012 to Le10.2billion in 2013.
Apparently to counter this the Bank increased its investment in securities by Le28.2billion from Le57.8billion in 2012 to Le86.1billion in 2013.
However Zenith has been the first bank to have “not complied with the relevant provisions of the banking act of Sierra Leone.”
The auditors KPMG said in their notes to the financials that the banks “unimpaired equity of Le19.4billion fell below the minimum capital requirement of Le27billion.”
This suggests that the bank may have to bring in nearly two million dollars (Le7.4billion) to be able to meet the statutory minimum capital.
The PBT loss of Zenith Bank (SL) for 2013 is about one million dollars.
Friday June 27, 2014