Africa’s Top Corporate Bank: First Bank of Nigeria Takes the Crown
First Bank of Nigeria has achieved the remarkable distinction of being named the top corporate bank in the country, earning the coveted title of winner in the Africa Country category for the year 2023. As the third-largest bank in Nigeria, the institution commands an impressive 10.4% share of the country’s banking system assets as of the conclusion of 2022.
Despite contending with a substantial legacy book of impaired lending, First Bank of Nigeria has effectively established a robust corporate banking business. By the close of 2022, the annual turnover for the bank’s corporate banking sector exceeded N5 billion ($6.4 million).
The bank’s lending activities are primarily centred on the energy and mining sectors, with oil and gas exposure comprising 31% of its net loans as of the end of 2022. Recent notable transactions include a $120 million funding for the development of offshore hydrocarbon reserves by a sovereign nation in Western Africa, as well as funding for a group of prominent steel and aluminium manufacturers through $100 million and $107 million loan facilities for factory expansion. First Bank of Nigeria also spearheaded the $116 million financing for the development of a deep-sea port by an infrastructure sector player in Nigeria.
However, the bank has encountered significant challenges due to the heavily US dollar-denominated nature of its lending to the oil and gas sectors, resulting in a substantial impact from the devaluation of the naira.
In an endeavour to enhance its services, First Bank of Nigeria has made strategic investments in its cash, trade, and supply-chain systems. The platform has now recorded two million transactions, demonstrating the bank’s commitment to efficient and secure financial operations. Additionally, the institution has established an export desk to provide corporate clients with guidance on documentation and risk mitigation tools.
These accomplishments have led to First Bank of Nigeria being conferred the esteemed title of Best Corporate Bank in Nigeria for 2023. The bank’s resilience, financial expertise, and dedication to serving corporate clients have distinguished it as a leader in the country’s banking industry.
As First Bank of Nigeria continues to make significant progress in the corporate banking sector, its commitment to excellence and innovation positions it as a formidable force in Nigeria’s financial landscape. With a strong foundation and a clear vision for the future, the bank is poised to maintain its position as a top contender in the corporate banking arena.
