As a result of their significant contributions to the group’s profit margin, United Bank for Africa Plc has stated that all of its African subsidiaries are now on solid ground.
The bank’s activities in Africa have specifically contributed close to 50% of the group’s profits, leveraging digital solutions and products across the board to gain significant market shares throughout the various operational regions in Africa.
Abiola Bawuah, Executive Director/Chief Executive Officer of UBA Africa, made this disclosure on Thursday while speaking to press representatives and journalists from across Africa at a hybrid media parley. He noted that despite the impact of devaluations and double-digit inflation in Nigeria and a number of other African countries where the bank operates, the subsidiaries have been performing well, significantly boosting trade, investment, and other economic sectors.
No one of our African subsidiaries is experiencing a loss as of last month, she declared. They have all been making money, which proves that they have all effectively navigated and established themselves.
The hiring of Bawuah, a Ghanaian national, as the first female CEO of UBA Africa at the beginning of this year further exemplified the bank’s commitment to diversity. Eight female Directors are currently part of the group board.
Due to the difficulties the private sector is currently facing, Bawuah also stressed the need for government regulation in this area.
At the recent Africa Day/UBA Conversations event held in Lagos, Bawuah expressed her concerns about the current status of the private sector.
She remarked, “The private sector is floundering, so we need the government to control it. However, the private sector must be robust, and UBA fills that role. For clients in the corporate sector, such as the Small and Medium Enterprises and Micro, Small, and Medium Enterprises that we help, we have developed a variety of facility programmes.
“As far as I am aware, UBA is the only bank where you can be an MSME, and if you have been loyal to us and successfully managed your business, we are willing to help you even if you lack collateral.
“However, Africa must develop the private sector, and when you talk about the private sector, 60% of it is either SMEs or MSMEs, which would not be able to be developed by the foreign banks because what they classify as SMEs monetarily is high, and most SMEs in Africa are far below that range,” said the author.
The CEO also stated that the company planned to use technology to further advance the development of trade in Africa.
Alero Ladipo, Group Marketing Head at UBA, concurred, stating that technology is the main platform trades can be pushed.
