According to the document, the bank presented net results of 57.9 million escudos (523 thousand euros) at the end of the 2022 financial year, which compares with the 108.5 million escudos (981 thousand euros) of profits in 2021, a drop of 46.6 percent in the space of one year and which comes after an increase of 384 percent from 2020 to 2021.
"In the overall calculation of the seven commercial banks operating in the market in Cape Verde, BAICV showed growth in 2022 in terms of share in assets, from 8.43 percent to 9.02 percent, and in deposits, 6.15 percent percent to 6.82 percent, and in the share of credits, i.e. from 13.91 percent to 14.17 percent (considering public debt securities)", reads the report and accounts.
BAICV is majority owned (81.63 percent) by Banco Angolano de Investimentos (BAI), with a 9.20 percent stake held by Angolan oil company Sonangol.
"In the financial year ended on December 31, 2022, in the process of recovering third-party debts, the bank acquired 20,000 own shares at the price of 1,000 Cape Verde Escudos, which corresponds to its nominal value. On December 31, 2022, the amount of own shares corresponds to 0.96 percent of the share capital", the institution further explains in the document.
BAICV's net assets grew by 13.5 percent in 2022, to 28,203 million escudos (255 million euros), net loans to customers increased by 8.9 percent, to 11,417 million escudos (103.2 million euros), while the volume of overdue loans and interest grew by 13.3 percent, to 879.1 million escudos (7.9 million euros).
BAICV ended 2022 with 137 employees, ten branches and 45,851 customers.
Bank management has proposed putting 10 percent of last year's earnings into the legal reserve, 8 percent into dividend stabilization reserves, 30 percent into dividend distributions, 17.5 percent into free reserves and 34.5 percent in reserves for own shares.
The bank also highlights that "despite the unfavorable economic context, caused by the covid-19 pandemic, there was a 7.4 percent growth in resources in the banking system throughout 2022", equivalent to over 17,482 million euros. escudos (158.1 million euros), "benefiting in part from the savings accumulated during the pandemic and from a more accommodative monetary environment".
As at 31 December 2022, BAICV's customer funds, "which constitute the institution's main source of funding", amounted to 16,980 million escudos (153.5 million euros), a growth of 17.6 percent compared to to 2021, in this case "much higher than the growth of the market portfolio [which rose 7.4 percent to 252,462 million escudos - 2,283 million euros], with an impact on the bank's market share, which went from around 6.1 percent to 6.7 percent".
It also refers that banking activity in Cape Verde continued in 2022 to be "conditioned by the economic and social context that the world is going through, which impacted important economic sectors such as tourism, transport and related services, restaurants and commerce, introducing risks both by the reduction in the level of business activities and by the imbalances in the labor market and unemployment".
