Latest news with #Ecobank
Zawya
5 days ago
- Business
- Zawya
Nigerian banks face uncertainty over looming Eurobond maturities: IFR
A cliff-edge fall is approaching for bonds maturing in the next 18 months issued by Nigeria's banks, which have been heavily affected by a rapid depreciation of the naira and a subsequent weakening of their capital ratios. Banks' balance sheets have been materially affected, raising concerns over how and whether they can repay and refinance their upcoming bonds. From October 2025 through to November 2026, five Nigerian banks face a combined US$2.2bn in Eurobond payments for maturing or callable bonds. The securities in question are First Bank of Nigeria's US$350m 8.625% October 2025s, Ecobank's US$150m 7.125% February 2026s, Access Bank's US$500m 6.125% September 2026s, Access Bank's US$500m 9.125% Additional Tier 1 note callable in October 2026, Fidelity Bank's US$400m 7.625% October 2026s and United Bank of Africa's US$300m 6.75% November 2026s. According to LSEG data, since June 2023, the naira has depreciated around 70% against the US dollar, due to the country's reforms which included a liberalisation of the currency. 'The devaluation of the currency inflated foreign currency assets and risk-weighted assets in local currency terms, which put downward pressures on capital ratios,' said Tim Slater, director, banks, at Fitch Ratings. The macroeconomic backdrop has not helped the country's lenders either, with the Central Bank of Nigeria having tightened monetary conditions significantly through rate hikes and tools such as open market operations. Meanwhile, inflation is set to remain stubbornly high and falling oil prices have not been helpful either. 'The banking sector's exposure to the oil sector is significant at around 29% of gross loans as of December last year,' said Slater. 'This oil exposure has historically been a source of bad asset quality and solvency pressures during episodes of low oil prices and low oil production.' All of these issues have raised some concerns about how easily Nigeria's banks will meet their upcoming Eurobond payments, although these worries have become less acute over the past few months. 'Since the second half of last year, the currency has stabilised and we are starting to see the benefits of the currency liberalisation coming through for the banking sector, particularly in terms of foreign currency liquidity,' said Slater. 'This is timely considering the upcoming Eurobond maturities.' 'Over the past 12 months, the foreign-currency liquidity of Nigerian banks has improved significantly, with the banking sector returning to a net foreign asset position,' he added. Ecobank Nigeria's CAR woes Of the five Nigerian banks with upcoming maturities, the biggest concern lies with Ecobank Nigeria, which has been in breach of its capital adequacy ratio since last year. The breach of its CAR requirement led S&P and Fitch to downgrade Ecobank Nigeria to CCC from B– and CCC+, respectively, deep into junk status. Ecobank Nigeria is more sensitive to the devaluation of the naira against the US dollar due to its balance sheet being more dollarised. The bank also has a significantly higher exposure to oil and gas compared to other banks in Nigeria. The bank recently completed a tender offer to buy back half of its previously outstanding US$300m 7.125% February 2026 bond while removing a covenant on the bond relating to the bank's CAR. This has mitigated concerns for the bank meeting its maturity payment. 'Ecobank Nigeria was the one that made me worried when it came to refinancing,' said Damilola Olupona, an Africa fixed income analyst at StoneX, based in Nigeria. ' We thought it could even default on its 2026 bond. Outside of this, we have no worries. On the macro front, the landscape has improved significantly in terms of FX liquidity in Nigeria. This improved liquidity feeds into the banks making them able to meet their debt obligations.' Union Bank of Nigeria is also in breach of its 10% minimum CAR requirement. However, the bank does not have any outstanding Eurobonds. To refi or not? While concerns have eased on Nigerian banks in meeting their upcoming maturities, the attention has turned to whether they will be able to access the market to refinance these bonds. 'The big question is how many of the bank will come back to the market,' said Olupona. Slater said: 'The vast majority of Nigerian banks have enough cash on their balance sheets to repay those bonds without relying on refinancing them'. Nevertheless, he said banks might still look to refinance depending on market conditions closer to the time of maturity. One of the banks most likely to refinance is Access Bank, which has the senior US$500m September 2026s and US$500m of AT1 callable October 2026. Given the combined US$1bn due in such a short space of time, the bank might look to lean on refinancing one of these bonds to reduce the impact on its balance sheet, according to market participants. The rest of the banks will likely adopt a wait and see approach to see if levels for refinancing reach sustainable levels. 'At today's rates, the banks would have to refinance at around 9.25%–9.5% but Nigeria's sovereign yield curve is contracting at the five-year point so these banks could potentially price much lower in the near future,' said Samuel Sule, chief executive officer at Renaissance Capital Africa, based in Nigeria. Having a number of banks reenter the market over a similar timeframe might be difficult. 'There has to be synchronised market access to enable a clear, sustainable path for refinancing,' said Sule. 'This has been the case historically'.
The South African
06-07-2025
- The South African
Zim brothers caught in SA over infamous Bulawayo robbery
South African police have arrested two Zimbabwean fugitives in connection with one of the biggest bank heists in Zimbabwe's recent history, the US$4 million (approximately R70.3 million) robbery in Bulawayo. The South African authorities arrested the Zimbabwean brothers Abraham and Elijah Temayi Vumbunu on Saturday, Zimbabwean police have confirmed. Zimbabwe Republic Police (ZRP) spokesperson Commissioner Paul Nyathi said the arrest came as police intensified efforts to track down the culprits. 'The Zimbabwe Republic Police confirms the arrest of Abraham Temayi Vumbunu and Elijah Temayi Vumbunu in connection with the US$4 million Ecobank robbery which occurred on 3 October 2024. The suspects were arrested on 5 July 2025 in the Republic of South Africa. The due processes of the law are now taking effect for their extradition to Zimbabwe,' said Comm Nyathi. Authorities reportedly linked the brothers to several other robberies, and they ranked among Zimbabwe's most wanted suspects. They are now awaiting extradition back home to face charges. The October 2024 heist, one of Zimbabwe's most audacious cash thefts, saw robbers break into an Ecobank branch in Bulawayo. Inside sources say the gang had insider knowledge and operated with military-style precision, escaping with duffel bags filled with foreign currency. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 . Subscribe to The South African website's newsletters and follow us on WhatsApp , Facebook , X, and Bluesky for the latest news.
Yahoo
03-07-2025
- Business
- Yahoo
Ecobank partners with Google Cloud to enhance digital banking in Africa
Ecobank has entered into a partnership with Google Cloud to accelerate financial inclusion and innovation across Africa. The collaboration is set to leverage Google Cloud's advanced analytics and AI to enhance Ecobank's digital offerings and accelerate the bank's digital transformation. The partnership is poised to deliver significant benefits, including improved financial accessibility through streamlined money transfers, support for SME growth, and the development of more intuitive digital banking platforms. Google Cloud's scalable infrastructure and Apigee API solutions will play a crucial role in making financial transactions faster, more affordable, and more accessible. A core objective of the collaboration is to empower African businesses by leveraging Google Cloud's data analytics and AI-driven insights. Ecobank plans to develop solutions that improve access to finance for SMEs, simplify payment acceptance, and provide valuable insights to help businesses scale in over 33 African countries. The collaboration will also focus on creating seamless digital banking experiences, with Google Cloud's secure infrastructure and AI technologies enabling Ecobank's developers and customers to integrate innovative financial solutions. This includes fintech partners providing core banking services such as accounts, payments, and lending. Ecobank aims to use Google's data analytics, AI, and machine learning to better understand and anticipate customer needs, leading to more relevant and personalised financial products. Google Cloud's Professional Services team will provide ongoing support to ensure the successful implementation of technology and the realization of the collaboration's goals. Ecobank Group CEO Jeremy Awori said: "Our collaboration with Google Cloud is a leap forward in Ecobank's digital transformation journey. We look forward to leveraging Google Cloud's world-class technology to unlock new possibilities for individuals and businesses to grow and scale across Africa." This agreement marks a commitment to exploring how technology can unlock opportunities for Africans and contribute to a digitally empowered and economically vibrant future for the continent. Ecobank and Google Cloud will also look into expanding their collaboration by tapping into other Google solutions and services. Google Cloud CEO Thomas Kurian said: "Google Cloud and Ecobank have a shared vision for using technology to help deliver financial empowerment to more people and businesses in Africa. We look forward to exploring the ways our cutting-edge AI, powerful data analytics, and scalable infrastructure can support Ecobank efforts to fuel the continent's economic development and digital future.' "Ecobank partners with Google Cloud to enhance digital banking in Africa" was originally created and published by Retail Banker International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
FF News
03-07-2025
- Business
- FF News
Ecobank Group and Google Cloud Announce Partnership to Accelerate Financial Inclusion and Innovation Across Africa
Ecobank Group and Google Cloud have announced a strategic collaboration to improve financial inclusion and digital innovation across Africa. The Ecobank Google Cloud partnership brings scalable technology to the forefront of financial services on the continent. Through this collaboration, Ecobank plans to leverage Google Cloud's cutting-edge technology to deliver innovative payment and remittance solutions that are frictionless, secure, and universally accessible, empowering individuals and businesses across the continent and beyond. This collaboration will focus on leveraging Google Cloud's advanced technologies and AI to enhance Ecobank's digital offerings to accelerate the digital transformation of the Bank. The partnership agreement is designed to empower individuals, support the growth of small and medium-sized enterprises (SMEs) in the region, and contribute to the overall economic development of Africa. This partnership is intended to deliver substantial benefits: Enhancing financial accessibility: The collaboration will strive to simplify and streamline money transfers, both domestically and across borders. This will be supported by Google Cloud's scalable infrastructure and advanced API solutions, such as Apigee, aiming to make financial transactions faster, more affordable, and more accessible for more people, facilitating crucial support for families and enabling smoother commercial activities for businesses. The collaboration will strive to simplify and streamline money transfers, both domestically and across borders. This will be supported by Google Cloud's scalable infrastructure and advanced API solutions, such as Apigee, aiming to make financial transactions faster, more affordable, and more accessible for more people, facilitating crucial support for families and enabling smoother commercial activities for businesses. Empowering African businesses: A core objective of the collaboration is to explore ways to bolster the continent's entrepreneurial ecosystem. By leveraging Google Cloud's capabilities, including its powerful data analytics platform, BigQuery, for AI-driven insights, Ecobank will aim to develop solutions that improve access to finance for SMEs, simplify payment acceptance, and provide valuable data-driven insights to help businesses scale across more than 33 countries in Africa. A core objective of the collaboration is to explore ways to bolster the continent's entrepreneurial ecosystem. By leveraging Google Cloud's capabilities, including its powerful data analytics platform, BigQuery, for AI-driven insights, Ecobank will aim to develop solutions that improve access to finance for SMEs, simplify payment acceptance, and provide valuable data-driven insights to help businesses scale across more than 33 countries in Africa. Envisioning seamless digital banking: The collaboration will explore the creation of more intuitive and user-friendly digital banking platforms, built on Google Cloud's secure and scalable global infrastructure and enhanced by Google Cloud's AI technologies. This will empower Ecobank's developers and customers to easily integrate into Ecobank's platforms connecting to a unified and advanced API, enabling them to offer innovative financial solutions. For example, fintech partners can readily provide core banking services such as accounts, payments, and lending for seamless transactions. The collaboration will explore the creation of more intuitive and user-friendly digital banking platforms, built on Google Cloud's secure and scalable global infrastructure and enhanced by Google Cloud's AI technologies. This will empower Ecobank's developers and customers to easily integrate into Ecobank's platforms connecting to a unified and advanced API, enabling them to offer innovative financial solutions. For example, fintech partners can readily provide core banking services such as accounts, payments, and lending for seamless transactions. Personalising financial solutions responsibly: Utilizing Google's advanced data analytics, AI, and machine learning, while upholding the highest standards of data privacy and security, Ecobank will aim to better understand and anticipate customer needs. This will enable the development of more relevant and personalized financial products and services, including tailored credit, savings, and insurance options. Utilizing Google's advanced data analytics, AI, and machine learning, while upholding the highest standards of data privacy and security, Ecobank will aim to better understand and anticipate customer needs. This will enable the development of more relevant and personalized financial products and services, including tailored credit, savings, and insurance options. Strategic expert collaboration: Google Cloud's Professional Services team will aim to provide ongoing expert support to Ecobank, ensuring the effective implementation of technology and the successful realization of the collaboration's transformative goals over the coming years. Jeremy Awori, Group CEO, Ecobank said: 'Our collaboration with Google Cloud is a leap forward in Ecobank's digital transformation journey. We look forward to leveraging Google Cloud's world-class technology to unlock new possibilities for individuals and businesses to grow and scale across Africa. This collaboration signifies our shared intent to explore building a more connected and financially inclusive future for the continent.' Thomas Kurian, CEO, Google Cloud said: 'Google Cloud and Ecobank have a shared vision for using technology to help deliver financial empowerment to more people and businesses in Africa. We look forward to exploring the ways our cutting-edge AI, powerful data analytics, and scalable infrastructure can support Ecobank efforts to fuel the continent's economic development and digital future.' This agreement signifies a shared commitment between Ecobank and Google Cloud to explore how the power of technology might unlock new opportunities for Africans and contribute to a digitally empowered and economically vibrant future for the continent. Ecobank and Google Cloud will actively explore opportunities to further expand their collaboration, tapping into the vast potential of other Google solutions and services. With this initiative, the Ecobank Google Cloud partnership marks a major step in Africa's journey toward financial empowerment through technology. Companies In This Post Ecobank Google Cloud
Finextra
02-07-2025
- Business
- Finextra
Ecobank commits to Google Cloud
Ecobank, a leading pan-African financial services group, and Google Cloud today announced a groundbreaking collaboration aimed at transforming financial services with advanced analytics and AI and driving digital empowerment across Africa. 0 Through this collaboration, Ecobank plans to leverage Google Cloud's cutting-edge technology to deliver innovative payment and remittance solutions that are frictionless, secure, and universally accessible, empowering individuals and businesses across the continent and beyond. This collaboration will focus on leveraging Google Cloud's advanced technologies and AI to enhance Ecobank's digital offerings to accelerate the digital transformation of the Bank. The partnership agreement is designed to empower individuals, support the growth of small and medium-sized enterprises (SMEs) in the region, and contribute to the overall economic development of Africa. This partnership is intended to deliver substantial benefits: • Enhancing financial accessibility: The collaboration will strive to simplify and streamline money transfers, both domestically and across borders. This will be supported by Google Cloud's scalable infrastructure and advanced API solutions, such as Apigee, aiming to make financial transactions faster, more affordable, and more accessible for more people, facilitating crucial support for families and enabling smoother commercial activities for businesses. • Empowering African businesses: A core objective of the collaboration is to explore ways to bolster the continent's entrepreneurial ecosystem. By leveraging Google Cloud's capabilities, including its powerful data analytics platform, BigQuery, for AI-driven insights, Ecobank will aim to develop solutions that improve access to finance for SMEs, simplify payment acceptance, and provide valuable data-driven insights to help businesses scale across more than 33 countries in Africa. • Envisioning seamless digital banking: The collaboration will explore the creation of more intuitive and user-friendly digital banking platforms, built on Google Cloud's secure and scalable global infrastructure and enhanced by Google Cloud's AI technologies. This will empower Ecobank's developers and customers to easily integrate into Ecobank's platforms connecting to a unified and advanced API, enabling them to offer innovative financial solutions. For example, fintech partners can readily provide core banking services such as accounts, payments, and lending for seamless transactions. • Personalising financial solutions responsibly: Utilizing Google's advanced data analytics, AI, and machine learning, while upholding the highest standards of data privacy and security, Ecobank will aim to better understand and anticipate customer needs. This will enable the development of more relevant and personalized financial products and services, including tailored credit, savings, and insurance options. • Strategic expert collaboration: Google Cloud's Professional Services team will aim to provide ongoing expert support to Ecobank, ensuring the effective implementation of technology and the successful realization of the collaboration's transformative goals over the coming years. Jeremy Awori, Group CEO, Ecobank said: "Our collaboration with Google Cloud is a leap forward in Ecobank's digital transformation journey. We look forward to leveraging Google Cloud's world-class technology to unlock new possibilities for individuals and businesses to grow and scale across Africa. This collaboration signifies our shared intent to explore building a more connected and financially inclusive future for the continent." Thomas Kurian, CEO, Google Cloud said: "Google Cloud and Ecobank have a shared vision for using technology to help deliver financial empowerment to more people and businesses in Africa. We look forward to exploring the ways our cutting-edge AI, powerful data analytics, and scalable infrastructure can support Ecobank efforts to fuel the continent's economic development and digital future." This agreement signifies a shared commitment between Ecobank and Google Cloud to explore how the power of technology might unlock new opportunities for Africans and contribute to a digitally empowered and economically vibrant future for the continent. Ecobank and Google Cloud will actively explore opportunities to further expand their collaboration, tapping into the vast potential of other Google solutions and services.
