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Ecobank May Shut Down 70 Branches Nationwide


Ecobank Nigeria PLC, a local unit of Ecobank Transnational Incorporated might be shutting about 79 of its branches across Nigeria.

The bank has not confirmed nor denied the reports, however, there are serious challenges facing the pan-African lender.

In its recently released full year result for 2016, Ecobank said impairment losses on financial assets which rose by 111% to NGN221 billion compared to NGN105 billion.

The deterioration in its loan books shows that the bank is suffering from the same problem confronting many other banks in Nigeria.

The lingering impairment pile up has increased Ecobank’s total liabilities to NGN5,7 trillion compared to NGN4,1 trillion disclosed in 2015. Total asset at the end of the year also rose by 33% to NGN6,2 trillion compared to NGN4,6 trillion disclosed last year.

 

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Posted by on April 28, 2017.

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