First Bank of Nigeria Limited is set to expand into Ethiopia, Angola, and Cameroon, capitalizing on opening financial markets in these countries. With the recent liberalization in Ethiopia allowing foreign banks to operate, First Bank aims to tap into these growing economies and build on its legacy in sub-Saharan Africa.
First Bank of Nigeria Limited is poised for significant expansion in Africa, focusing on Ethiopia, Angola, and Cameroon as key markets for growth. With over a decade of experience in sub-Saharan Africa, the bank sees a resurgence of opportunities shaped by the liberalization of financial systems across the continent. Deputy Managing Director Ini Ebong emphasized the strategic importance of entering these markets to tap into their expansive banking pools.
Following the recent legislative changes in Ethiopia, where foreign banks are permitted to establish subsidiaries, First Bank is particularly interested in this market. The Ethiopian parliament’s approval of a new banking law permits foreign ownership of up to 49% in local banks, a significant shift aimed at fostering competition and investment. Illinois, Ethiopia’s central bank governor, indicated that the country is now “open for business” in its financial sector, highlighting its readiness to welcome international banks.
First Bank began its journey of expansion beyond Nigeria in 2011 with key acquisitions, including Banque International de Credit in the Democratic Republic of Congo and multiple subsidiaries in West Africa. Recently, it has also established a presence in the UK and maintains a representative office in China. First Bank’s financial health is robust, as evidenced by FBNHoldings reporting a surge in pretax profit for the first three quarters of 2024, signalling a strong position in the banking environment.
First Bank of Nigeria Limited, with a rich history of 130 years, has solidified its presence as a leading financial institution in Nigeria and beyond. As part of its strategic growth trajectory, the bank has actively expanded its footprint across sub-Saharan Africa since its initial acquisitions over a decade ago. This article highlights its intent to enter new markets, particularly Ethiopia, where legislative changes are paving the way for foreign banks, and other significant nations like Angola and Cameroon, which offer promising financial landscapes.
In conclusion, First Bank of Nigeria is strategically positioning itself to capitalize on emerging opportunities within the African banking sector. With its focus on Ethiopia, Angola, and Cameroon, coupled with its longstanding experience and successful track record in various markets, the bank is well-placed to navigate the evolving financial landscape and enhance its operational footprint across the continent.
Original Source: nairametrics.com
