DOCSLIB.ORG

BK Group Plc Investor Presentation Q1 2020

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
BK Group Plc Investor Presentation Q1 2020 BK Group Plc Investor Presentation Q1 2020 Page 1 Agenda 1. Key Investment Highlights 2. Country Overview Information 3. Banking Sector Overview 4. Bank Overview 5. Corporate Governance 6. Business Overview 7. Review of Financial Performance 8. Strategic Outlook 9. Contact Information Page2 2 Key Investment Highlights Best Bank in Rwanda 2019 Politically stable country with sound governance; Very attractive demographic profile: population of 12.4 Million; Sound Macro Robust economic growth averaging 8% pa in the last 5 years, expecting double digit GDP growth into 2020; Fundamentals Moderate inflation with rate of 13.1% as at March 2020; The 2019 World Bank Doing Business Report ranked Rwanda as the 38th out of 190 economies in terms of ease of doing business and 2nd in Africa Euromoney Award for Excellence 2019 Well regulated banking sector: fairly conservative regulator relative to other regulators in the EAC; Significant Significant headroom for growth given under-banked and excluded population; Banking Sector Potential Number of financially excluded population reduced from 11% in 2016 to only 7% in 2020; Total assets/GDP of 38.2% as at 31st December 2019. Strong Market positioning & sustainable leadership; Total assets FRw 1,1 billion, 29.9% market share as at March 31st, 2020; Market Net Loans FRw 678.6 billion, 33.3% market share as at March 31st, 2020; AA+/A1+ Credit Rating Leadership Customer Deposits FRw 685.1 billion, 30.2% market share as at March 31st, 2020; Shareholders’ Equity FRw 224.9 billion, 34.3% market share as at March 31st, 2020. Relatively high capital adequacy ratios since 2010 averaging > 20%; The rating reflects the Bank’s established domestic franchise value, Conservative Manageable level of non-performing 5.7% of gross loans as at March 31st, 2020; strong capital position, its systemic Business Liquid assets holding of 48.1% (minimum requirement 20%) at March 31st, 2020; importance, strong asset quality and Model financial performance. Liquidity Coverage Ratio stood at 147.1 (minimum requirement 100%) as at March 31st, 2020. Best Financial Reporting Company - Experienced Management team with significant banking sector experience; Rwanda 2019 Management Complemented by an experienced and diversified Board of Directors; Team Track record of producing stellar results. Profitable Robust asset growth at a CAGR of 17.7% (2014 - 1Q 2020); FRw 1,1 billion as at March 31st, 2020; Growth ROAA ranging from 2.4% - 4.4% between 2014 and 1Q 2020. Page3 3 COUNTRY OVERVIEW INFORMATION Page4 4 Rwanda - Country Profile National Facts Business Environment Area 26,338 sq km Ranked Second after Mauritius as the best destination to do business in Population 12.4 Million Africa in the World Bank 2019 Doing Business Report. Official Languages Kinyarwanda, French, English Rwanda has implemented over 22 business regulation reforms in the Capital Kigali areas measured by the World Bank Doing Business Index. Today, Rwandan Franc (FRw) 930.7FRw = 1 US$ as entrepreneurs can register a new business online in 6 hours. Currency at March 31st, 2019 Rwanda maintains its position as East Africa’s most competitive economy Credit Rating B+ S&P Global Ratings February 2020 and second in Africa by Global Competitiveness Index Report 2017/18. Nominal GDP 2019 US $10 Bn Nominal GDP Per Capita 2019 US $800 Rwanda has championed the establishment of the Single Africa Nominal GDP 2020P US $11 Bn Air Transport. To this effect, the construction Nominal GDP Per Capita 2020P US $900 of Bugesera International Airport has been prioritized. Qatar Airways has agreed to take 60% stake in airport.​ Macro Economic Indicators International Congress and Convention Association (ICCA) - a global Real GDP Growth rate - 2019 9.4% meeting industry network - ranked Rwanda as the 2nd most popular destination for international conferences and events on the continent. Real GDP Growth rate - 2020P 2.3% Inflation Rate - March 2020 13.1% Private Sector Growth - 2019 27.0% Private Sector Credit % GDP - 2019 21.5% Net Debt / GDP - 2019 47.9% Currency Depreciation against USD - March 2020 0.9% Foreign Reserves 2019 4-4.5 Months of Imports Source: BNR, S&P Report, EIU Page5 5 Sound Macro Fundamentals GDP per Capita continues to grow Population Pyramid for Rwanda Healthy GDP growth with moderating inflation 60% of the population is under 24 years. 93% of the population is under 54 years. 2.4% of the population over 65 years. Source: Finscope Rwanda Report Source: Ministry of Finance and Economic Planning, NISR, S&P Rating Page6 6 Macroeconomic Indicators GDP Breakdown By Economic Activity 2019 Trade Structure Rwanda’s exports are dominated by coffee, tea and minerals (tin, coltan and wolfram). The country remains a net importer. Major imports include fuel and oils, intermediary goods especially construction materials, consumer goods, and capital goods driven by ongoing infrastructure projects. Other services include Real estate activities 8%, public administration 15%, financial services 9% to mention but a few. “Made in Rwanda” has sought to improve the perceptions of Rwandan products within Rwanda, promote nascent industries, and boost the productivity of exporting sectors. Source: BNR Monetary Policy Statement, NISR, International Growth Centre/MINEACOM Trade Deficit as a % of GDP Current Account Deficit as a % of GDP Source: BNR, IMF, EIU Page7 7 Review of the Macro Economic Environment Macro Economic Review 2019 Inflationary Environment In the fourth quarter of 2019, GDP at current market prices was estimated to be Frw 2,290 billion, up from Frw 2,130 billion in Q4 2018. In this quarter, services sector contributed 49 percent of GDP, agriculture sector contributed 25 percent of the GDP, Industry sector contributed 17 percent of the GDP and 9 percent was attributed to adjustment for taxes and subsidies on products. Industry growth was 14% and contributed 2.5 percentage points to GDP growth. The main contributors in the industry sector were Construction activities which grew by 33% and Manufacturing activities which grew by 9%. Mining and Quarrying activities however decreased by 12%. Within Manufacturing, Metal products, machinery & equipment increased by 23%, and Chemicals and plastic products increased by 19% boosted mainly by the production of paints, plastic construction materials and Soaps. Exchange Rate Developments Agriculture growth was 5% and contributed 1.1 percentage points to overall GDP growth. Within agriculture, food crops production was 4% and did not change compared to the same quarter of 2018. Export crops decreased by 4% mainly due to the decrease of 11% in the production of Coffee. However other cash crops (incl. flowers, pyrethrum & sugar cane) also increased by 9%. The service sector grew by 8 percent and contributed 3.7 percentage points to overall GDP growth. The growth in Services sector is due to an increase of 14% in wholesale & retails trade activities of locally made and imported products, 12% in transport services, 25% in Information and telecommunication, 13% in financial services, 12% in Hotel & restaurant services, 9% in Professional, scientific & technical activities, 8% in Administrative & support service activities, while Human health & social work activities decreased by 1%. Source: BNR, NISR Page8 8 BANKING SECTOR OVERVIEW Page9 9 Significant Banking Sector Potential Banking Assets/GDP Banking Assets Per Capita Large Unbanked Population (US$) Economy is moving away from being cash-based through the various financial inclusion initiatives being undertaken by financial institutions including the launch of agency banking and mobile money transfer services. Approximately 70% of the population have or use financial products or mechanisms including those offered by non- bank formal financial institutions such as SACCOs Source: Finscope Rwanda Interest Rate Analysis (1) Source: Exotic Frontier Equities (2) Source: National Bank of Rwanda Monetary Policy Statement (3) Source: Population stats by World Bank 10Page 10 Financial Sector Overview Rwanda Banking System Total Assets Rwanda Insurance Sector Total Assets Source: BNR Sectors Review The Financial sector is expected to remain sound and stable. The annual Inflation rate stood at 13.1%, while the FRw depreciation against the USD stood at 0.9%. Banking assets registered annual growth rate of 4.8% to FRw 3,643 trillion in March 2020 from FRw3,476 trillion in December 2019. Profitability indicators in March 2020 stood at 2.0% and 12.0% for Return on assets (ROA) and return on equity (ROE) from 2.1% and 12.0% respectively, in the same period in 2019. The asset quality of the industry is generally improving; non-performing loan ratio (NPL ratio) stood at 5% as at March 2020 compared to 6.8% in March 2019. Source : BNR 11Page 11 Timeline of Foreign Investment In The Rwandan Banking Sector 80% stake in BCR I &M Bank acquires 40% stake in Cogebanque 80% stake in BCR 2004 2007 2008 2009 2010 2011 2012 2014 2015 2016 2017 30% 70% stake in stake in 90% stake in CBA Acquires 100% Agaseke Bank C Crane Bank Rwanda BPR FINA Bank 2015 2016 2017 2018 2019 1Q 2020 Bank of Kigali Market Share by Total Assets 26.3% 26.8% 27.1% 28.4% 29.3% 29.9% * Market share among banking sector 12Page 12 Market Share Dynamics Market Share for Banking Sector Bank of Kigali vs. Banking Sector’ Growth, CAGR 2014 - 1Q 2020 Selected Indicators 1Q 2020 Market Share for Commercial Banks 1Q 2020 Source: BNR, Published results for commercial banks 13Page 13 Strong Market Leadership - 1Q 2020 1 36.5% 41.6% 36.1% 45.6% 2 12.0% 12.3% 10.9% 9.2% 3 11.7% 10.3% 10.9% 9.0% 4 10.0% 9.8% 10.7% 8.9% 5 8.0% 9.0% 8.1% 6.2% 6 6.6% 8.4% 6.3% 5.9% 7 5.1% 2.5% 6.3% 4.6% 8 3.6% 2.2% 4.3% 4.0% 9 3.1% 1.5% 3.8% 3.1% 10 1.8% 1.2% 1.5% 1.8% 11 1.5% 1.2% 1.1% 1.6% Source: 1Q 2020 Published Results 14Page 14 BANK OVERVIEW 15Page 15 Background and History 16Page 16 A Snapshot of Bank of Kigali Key Facts BK Group Plc is a holding company with 4 subsidiaries: Bank of Kigali Plc, BK General Insurance, BK TecHouse and BK Capital Ltd.
Load more

Recommended publications
  • Equipment Leasing in Africa Handbook of Regional Statistics 2017 Including an Overview of 10 Years of IFC Leasing Intervention in the Region
    AFRICA LEASING FACILITY II Equipment Leasing in Africa Handbook of Regional Statistics 2017 Including an overview of 10 years of IFC leasing intervention in the region © 2017 INTERNATIONAL FINANCE CORPORATION 2121 Pennsylvania Avenue, N.W., Washington, DC 20433 All rights reserved. First printing, March 2018. This document may not be reproduced in whole or in part without the written consent of the International Finance Corporation. This information, while based on sources that IFC considers to be reliable, is not guaranteed as to accuracy and does not purport to be complete. The conclusions and judgments contained in this handbook should not be attributed to, and do not necessarily represent the views of IFC, its partners, or the World Bank Group. IFC and the World Bank do not guarantee the accuracy of the data in this publication and accept no responsibility for any consequence of its use. Rights and Permissions Reference Section III. What is Leasing? and parts of Section IV. Value of Leasing in Emerging Economies are taken from IFC’s “Leasing in Development: Guidelines for Emerging Economies.” 2005, which draws upon: Halladay, Shawn D., and Sudhir P. Amembal. 1998. The Handbook of Equipment Leasing, Vol. I-II, P.R.E.P. Institute of America, Inc., New York, N.Y.: Available from Amembal, Deane & Associates. EQUIPMENT LEASING IN AFRICA: ACKNOWLEDGEMENT Acknowledgement This first edition of Equipment Leasing in Africa: A handbook of regional statistics, including an overview of 10 years of IFC leasing intervention in the region, is a collaborative efort between IFC’s Africa Leasing Facility team and the regional association of leasing practitioners, known as Africalease.
    [Show full text]
  • Determinants of Procurement Performance in Commercial Banks Within East Africa?
    DETERMINANTS OF PROCUREMENT PERFORMANCE IN COMMERCIAL BANKS WITHIN EAST AFRICA BY EVANS JUMA LUKETERO A RESEARCH PROJECT SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS OF THE MASTER OF BUSINESS ADMINISTRATION, THE UNIVERSITY OF NAIROBI OCTOBER, 2016 DECLARATION This Research Project is my original work and has not been presented for a degree in any other University …………………………………….. ………………………… Signature Date EVANS JUMA LUKETERO Reg. No: D61/69206/2011 This Research Project has been submitted for examination with my approval as the University Supervisor MR. MICHAEL K. CHIRCHIR …………………………………….. ………………………… Signature Date ii DEDICATION I dedicate this research proposal to all the Banks in East Africa, to family especially my wife Rineldah Asiko, My daughter Adalia Juma and friends for their support and prayers during my studies. iii ACKNOWLEDGEMENT I would like to thank the Almighty Lord for the gifts of Grace and Perseverance accorded to me. I would also like to acknowledge all my course lecturers and colleagues for their sincere support. Most important, I sincerely wish to acknowledge the support from my supervisor without whom I could not have gone this far with my project work. I owe you my gratitude. iv ABSTRACT Procurement efficiency is the association that exists between planned and actual required resources needed to realize formulated goals and objectives as well as their related activities. The improvement of procurement performance would ensure that sourced firm materials are indeed procured during the right time at suitable cost. This would in turn enable improvements in organization procurement process leading to improvements on quality of offered products and services at minimum cost.
    [Show full text]
  • MTN Rwandacell Plc ANNUAL REPORT 2020
    MTN Rwandacell Plc ANNUAL REPORT 2020 1 MTN Rwandacell Plc ANNUAL REPORT 2020 2 MTN Rwandacell Plc ANNUAL REPORT 2020 TABLE OF CONTENTS Section 1: 2020 Overview 1.1 Chairperson's Statement 7 1.2 Chief Executive Officer's Statement 8 Section 2: Financial Highlights i) Summary Income Statement 11 ii) Summary Balance Sheet 11 iii) Summary Cashflow Statement 12 Section 3: Non-Finanical Highlights i) Customer Market Share 15 ii) Commercial Performance Indicators 15 Section 4: Strategy Update 19 Section 5: Corporate Social Investment - MTN Foundation 24 Section 6: Corporate Governance 6.1 Board of Directors 28 6.2 Board Committees 28 6.3 Director Fees and Allowances Paid in the year 2020 29 6.4 Current Board Director Profiles and Directorship Disclosure 31 6.5 Executive Management Organizational Structure 35 6.6 Employees 38 Y’ello3 MTN Rwandacell Plc ANNUAL REPORT 2020 Section 7: Audited Financial Statements for Year Ending 2020 7.1 Reports Directors’ Report 41 Statement of Directors’ Responsibilities 43 Report of the Independent Auditor 44 7.2 Financial Statements Statement of Comprehensive Income 48 Statement of Financial Position 49 Statement of Changes in Equity 50 Statement of Cash Flows 51 Notes 52 Section 8: Attachments 8.1 Profiles of New Directors 106 8.2 Annual General Meeting Notice 109 8.3 Proxy Forms 112 4 MTN Rwandacell Plc ANNUAL REPORT 2020 2020 Overview SECTION 1 of MTN Rwanda 5 MTN Rwandacell Plc ANNUAL REPORT 2020 Belief Statement Everbody deserves the benefits of a modern connected life Vision Leading digital solutions for Rwanda's progress 6 MTN Rwandacell Plc ANNUAL REPORT 2020 Chairperson’s statement It is my pleasurepleasure toto presentpresent toto youyou thethe firstfirst AnnualAnnual ReportReport of MTN Rwandacell PLC since it was listedlisted inin MayMay thisthis year.year.
    [Show full text]
  • Annual Report 2019 East African Development Bank
    Your partner in development ANNUAL REPORT 2019 EAST AFRICAN DEVELOPMENT BANK 2 2019 ANNUAL REPORT EAST AFRICAN DEVELOPMENT BANK EAST AFRICAN DEVELOPMENT BANK EAST AFRICAN DEVELOPMENT BANK ANNUAL REPORT 2019 3 2019 ANNUAL REPORT EAST AFRICAN DEVELOPMENT BANK CORPORATE PROFILE OF EADB Uganda (Headquarters) Plot 4 Nile Avenue EADB Building P. O. Box 7128 Kampala, Uganda Kenya Country office, Kenya 7th Floor, The Oval Office, Ring Road, Rwanda REGISTERED Parklands Westland Ground Floor, OFFICE AND P.O. Box 47685, Glory House Kacyiru PRINCIPAL PLACE Nairobi P.O. Box 6225, OF BUSINESS Kigali Rwanda Tanzania 349 Lugalo/ Urambo Street Upanga P.O. Box 9401 Dar es Salaam, Tanzania BANKERS Uganda (Headquarters) Standard Chartered –London Standard Chartered – New York Standard Chartered - Frankfurt Citibank – London Citibank – New York AUDITOR Standard Chartered – Kampala PricewaterhouseCoopers Stanbic – Kampala Certified Public Accountants, Citibank – Kampala 10th Floor Communications House, 1 Colville Street, Kenya P.O. Box 882 Standard Chartered Kampala, Uganda Rwanda Bank of Kigali Tanzania Standard Chartered 4 2019 ANNUAL REPORT EAST AFRICAN DEVELOPMENT BANK EAST AFRICAN DEVELOPMENT BANK ESTABLISHMENT The East African Development Bank (EADB) was established in 1967 SHAREHOLDING The shareholders of the EADB are Kenya, Uganda, Tanzania and Rwanda. Other shareholders include the African Development Bank (AfDB), the Netherlands Development Finance Company (FMO), German Investment and Development Company (DEG), SBIC-Africa Holdings, NCBA Bank Kenya, Nordea Bank of Sweden, Standard Chartered Bank, London, Barclays Bank Plc., London and Consortium of former Yugoslav Institutions. MISSION VISION OUR CORE To promote sustain- To be the partner of VALUES able socio-economic choice in promoting development in East sustainable socio-eco- Africa by providing nomic development.
    [Show full text]
  • BK Group Plc Investor Presentation
    BK Group Plc Investor Presentation Page 1 Agenda 1. Key Investment Highlights 2. Country Overview Information 3. Banking Sector Overview 4. Bank Overview 5. Corporate Governance 6. Business Overview 7. Review of Financial Performance 8. Strategic Outlook 9. Contact Information Page2 2 Key Investment Highlights 1. Best Bank in Rwanda 2013, Politically stable country with sound governance 2015 & 2016 Very attractive demographic profile: population of 12 Million Sound Macro Robust economic growth averaging 8% pa in the last 5 years, expecting a sustainable high GDP growth into 2020 Fundamentals th 2. Best East African Bank 2012 Moderate inflation with rate of 0.8% as at 30 June 2019 & 2015,2016 The 2018 World Bank Doing Business Report ranked Rwanda as the 29th out of 190 economies in terms of ease of doing business and 2nd in Africa Well regulated banking sector: fairly conservative regulator relative to other regulators in the EAC Significant 3. Bank of the Year 2009- Significant headroom for growth given under-banked and excluded population 2012,2014,2015,2016 Banking Sector Potential Number of financially excluded population reduced from 28% in 2012 to only 11% in 2016 Total assets/GDP of 47.6% as at 31st, March 2019. Strong Market positioning & sustainable leadership 4. Best Bank in Rwanda 2009- Total assets FRw 893.2 billion, 27.5% market share as at June 30th, 2019; 2014,2016 Market th Leadership Net Loans FRw 650.2 billion, 29.2% market share as at June 30 , 2019; Customer Deposits FRw 551.7 billion, 26.8% market share as at June 30th, 2019; Shareholders’ Equity FRw 204.0 billion, 36.2% market share as at June 30th, 2019.
    [Show full text]
  • Bank Supervision Annual Report 2019 1 Table of Contents
    CENTRAL BANK OF KENYA BANK SUPERVISION ANNUAL REPORT 2019 1 TABLE OF CONTENTS VISION STATEMENT VII THE BANK’S MISSION VII MISSION OF BANK SUPERVISION DEPARTMENT VII THE BANK’S CORE VALUES VII GOVERNOR’S MESSAGE IX FOREWORD BY DIRECTOR, BANK SUPERVISION X EXECUTIVE SUMMARY XII CHAPTER ONE STRUCTURE OF THE BANKING SECTOR 1.1 The Banking Sector 2 1.2 Ownership and Asset Base of Commercial Banks 4 1.3 Distribution of Commercial Banks Branches 5 1.4 Commercial Banks Market Share Analysis 5 1.5 Automated Teller Machines (ATMs) 7 1.6 Asset Base of Microfinance Banks 7 1.7 Microfinance Banks Market Share Analysis 9 1.8 Distribution of Foreign Exchange Bureaus 11 CHAPTER TWO DEVELOPMENTS IN THE BANKING SECTOR 2.1 Introduction 13 2.2 Banking Sector Charter 13 2.3 Demonetization 13 2.4 Legal and Regulatory Framework 13 2.5 Consolidations, Mergers and Acquisitions, New Entrants 13 2.6 Medium, Small and Micro-Enterprises (MSME) Support 14 2.7 Developments in Information and Communication Technology 14 2.8 Mobile Phone Financial Services 22 2.9 New Products 23 2.10 Operations of Representative Offices of Authorized Foreign Financial Institutions 23 2.11 Surveys 2019 24 2.12 Innovative MSME Products by Banks 27 2.13 Employment Trend in the Banking Sector 27 2.14 Future Outlook 28 CENTRAL BANK OF KENYA 2 BANK SUPERVISION ANNUAL REPORT 2019 TABLE OF CONTENTS CHAPTER THREE MACROECONOMIC CONDITIONS AND BANKING SECTOR PERFORMANCE 3.1 Global Economic Conditions 30 3.2 Regional Economy 31 3.3 Domestic Economy 31 3.4 Inflation 33 3.5 Exchange Rates 33 3.6 Interest
    [Show full text]
  • GCR Affirms Bank of Kigali Plc's and BK Group Plc's National Scale Issuer Ratings of AA+<Sub>(RW)</Sub> and AA&L
    GCR affirms Bank of Kigali Plc’s and BK Group Plc’s national scale issuer ratings of AA+(RW) and AA(RW), respectively; Outlooks Stable Rating Action Johannesburg, 23 September 2020, GCR Ratings (‘GCR’) has affirmed the Rwandan long and short- term issuer ratings on Bank of Kigali Plc (‘Bank of Kigali’, ‘the bank’) of AA+(RW) and A1+(RW), respectively, with outlook accorded as Stable. At the same time, GCR has affirmed BK Group Plc’s (‘BK Group’, ’the group’) national scale long and short-term issuer ratings of AA(RW) and A1+(RW), respectively, with a Stable Outlook. Rated Entity / Issue Rating class Rating scale Rating Outlook / Watch Bank of Kigali Plc Long Term issuer National AA+(RW) Stable Outlook Short Term issuer National A1+(RW) Rated Entity / Issue Rating class Rating scale Rating Outlook / Watch BK Group Plc Long Term issuer National AA(RW) Stable Outlook Short Term issuer National A1+(RW) Rating Rationale Bank of Kigali is the largest subsidiary of BK Group, a holding company with three other subsidiaries, namely BK General Insurance, BK TecHouse and BK Capital Ltd. The smaller subsidiaries are growing revenue contributions and represented approximately 10% of PAT of the group at HY20. We think that Bank of Kigali will continue to be the most significant subsidiary of the group for the foreseeable future and will therefore continue to drive the rating accorded to the group. The ratings on the bank balance its position as a market leader in Rwanda, strong capitalisation, sound funding structure, good liquidity with its modest risk position.
    [Show full text]
  • 2015 BROOKINGS FINANCIAL and DIGITAL INCLUSION PROJECT REPORT Measuring Progress on Financial Access and Usage
    WASHINGTON, DC | AUGUST 26, 2015 THE 2015 BROOKINGS FINANCIAL AND DIGITAL INCLUSION PROJECT REPORT Measuring Progress on Financial Access and Usage BY JOHN D. VILLASENOR, DARRELL M. WEST, AND ROBIN J. LEWIS About the Center for Technology Innovation at Brookings The Center for Technology Innovation (CTI) at Brookings focuses on delivering research that impacts public debate and policymaking in the arena of U.S. and global technology innovation. CTI’s goals include: Identifying and analyzing key developments to increase innovation; developing and publicizing best practices to relevant stakeholders; briefing policymakers about actions needed to improve innovation; and enhancing the public and media’s understanding of technology innovation. About the Brookings Institution The Brookings Institution is a nonprofit organization devoted to independent research and policy solutions. Its mission is to conduct high-quality, independent research and, based on that research, to provide innovative, practical recommendations for policymakers and the public. The conclusions and recommendations of any Brookings publication are solely those of its author(s), and do not reflect the views of the Institution, its management, or its other scholars. WASHINGTON, DC | AUGUST 26, 2015 THE 2015 BROOKINGS FINANCIAL AND DIGITAL INCLUSION PROJECT REPORT Measuring Progress on Financial Access and Usage BY JOHN D. VILLASENOR, DARRELL M. WEST, AND ROBIN J. LEWIS Comments and feedback regarding the Financial and Digital Inclusion Project can be submitted to [email protected]. THE 2015 BROOKINGS FINANCIAL AND DIGITAL INCLUSION PROJECT REPORT 1 TABLE OF CONTENTS EXECUTIVE SUMMARY ............................................................ 2 THE IMPORTANCE OF FINANCIAL INCLUSION ............................... 7 MEASURING FINANCIAL INCLUSION .......................................... 10 DIMENSIONS OF EVALUATION ................................................... 12 Overall ranking on financial inclusion ..................................
    [Show full text]
  • Evaluation of Microfinance Services and Potential to Finance Forest Land Restoration (FLR) Investments
    Evaluation of Microfinance Services and Potential to Finance Forest Land Restoration (FLR) Investments Final Report Prepared by Azimut Inclusive Finance SPRL November 2016 Azimut Inclusive Finance SPRL TVA : BE 0555.784.066 www.azimut-if.com – [email protected] Evaluation of Microfinance Services and Potential to Finance Forest Land Restoration (FLR) Investments Table of Content EXECUTIVE SUMMARY 3 1 CONTEXT 4 1.1 BACKGROUND 4 1.2 RATIONALE OF THE STUDY 4 1.3 SPECIFIC OBJECTIVES 4 2 FINANCIAL SECTOR AND REGULATORY ENVIRONMENT 5 2.1 BRIEF OVERVIEW OF THE FINANCIAL SECTOR IN RWANDA 5 2.1.1 FINANCIAL SERVICES PROVIDERS 5 2.2 THE MICROFINANCE SERVICE SECTOR 7 2.2.1 THE CONCEPT OF MICROFINANCE 7 2.2.2 THE MICROFINANCE SERVICE PROVIDERS 7 2.2.3 THE INFORMAL SECTOR 8 2.3 FINANCIAL INCLUSION 10 2.4 RELATED POLICIES AND LAWS 12 2.4.1 POLICY ENVIRONMENT 12 2.4.2 MICROFINANCE POLICY, LEGAL FRAMEWORK AND SUPERVISION 13 3 MICROFINANCE PRODUCTS AND SERVICES AND FLR EFFORTS 15 3.1 EXISTING PRODUCTS AND SERVICES 15 3.1.1 COMMERCIAL BANKS 15 3.1.2 MICROFINANCE INSTITUTIONS (MFIS) 19 3.2 ADAPTABILITY OF THE MICROFINANCE PRODUCT AND SERVICES TO SUPPORT FLR INITIATIVES (IN GATSIBO AND GICUMBI) 25 3.2.1 OPPORTUNITIES TO SUPPORT FLR INITIATIVES THROUGH MICROFINANCE INSTITUTIONS 25 3.2.2 CHALLENGES TO SUPPORT FLR INITIATIVES THROUGH MICROFINANCE INSTITUTIONS 28 3.2.2.1 Challenges related to the microfinance sector 28 3.2.2.2 Other challenges relating to the funding of FLR activities 29 4 RECOMMENDATIONS 30 FINANCIAL TERMS AND DEFINITIONS 35 ANNEXES 36 2 Evaluation of Microfinance Services and Potential to Finance Forest Land Restoration (FLR) Investments Executive Summary Rwanda has made international challenges, notably in terms of credit commitments via the Bonn Challenge to management policies, product restore 2 million hectares of degraded development, weak staff capacities and land.
    [Show full text]
  • Rwanda Green Well Potential for Investment In
    Rwanda’s Green Well Opportunities to engage private sector investors in Rwanda’s forest landscape restoration Global Forest and Climate Change Programme Rwanda’s Green Well Opportunities to engage private sector investors in Rwanda’s forest landscape restoration i The designation of geographical entities in this book, and the presentation of the material, do not imply the expression of any opinion whatsoever on the part of IUCN or other participating organisations concerning the legal status of any country, territory, or area, or of its authorities, or concerning the delimitation of its frontiers or boundaries. The views expressed in this publication do not necessarily reflect those of IUCN or other participating organisations. This report has been produced by IUCN’s Global Forest and Climate Change Programme, funded by UKaid from the UK government. Published by: IUCN, Gland, Switzerland Copyright: © International Union for Conservation of Nature and Natural Resources Reproduction of this publication for educational or other non-commercial purposes is authorized without prior written permission from the copyright holder provided the source is fully acknowledged. Reproduction of this publication for resale or other commercial purposes is prohibited without prior written permission of the copyright holder. Citation: IUCN (2015). Rwanda’s Green Well: Opportunities to engage private sector investors in Rwanda’s forest landscape restoration. Gland, Switzerland: IUCN. xii+85pp. Cover Photo: Craig Beatty/IUCN 2016 Layout by: Chadi Abi Available From: IUCN (International Union for Conservation of Nature) Global Forest and Climate Change Programme Rue Mauverney 28 1196 Gland, Switzerland [email protected] www.iucn.org/FLR ii Executive summary Rwanda has pledged to plant two million Rwanda has a complex policy environment as hectares of trees by 2020.
    [Show full text]
  • GCR Upgrades Bank of Kigali Plc's Long Term Rwandan National Scale Rating to AA+(RW); Outlook Stable. Rating Action Rating Ra
    Credit Rating Announcement GCR upgrades Bank of Kigali Plc’s long term Rwandan national scale rating to AA+(RW); Outlook Stable. Rating Action Johannesburg, 15th November 2019 - GCR Ratings (‘GCR’) has reviewed the ratings of Bank of Kigali Plc (‘BK’, ‘the bank’) under the recently released Criteria for Rating Financial Institutions, May 2019. BK’s long term Rwanda national scale rating has been upgraded to AA+(RW) from AA-(RW) while the short term Rwandan national scale issuer rating has been affirmed at A1+(RW). GCR has also assigned long and short term Rwandan national scale issuer ratings for BK Group Plc (‘BK Group’, ’the group’) of AA(RW) and A1+(RW), respectively. The outlooks are stable. Rated Entity / Issue Rating class Rating scale Rating Outlook / Watch Issuer Long Term National AA+(RW) Stable Outlook Bank of Kigali Plc Issuer Short Term National A1+(RW) n.a Rated Entity / Issue Rating class Rating scale Rating Outlook / Watch Issuer Long Term National AA(RW) Stable Outlook BK Group Plc Issuer Short Term National A1+(RW) n.a On May 22, 2019 GCR announced that it had released new criteria for all banks and bank-like entities. This methodology is titled Criteria for Rating Financial Institutions. As a result, the ratings were placed “Under Criteria Observation”. Subsequently, GCR has finalised the review under the new methodology. As a result, the ratings have been removed from ‘Under Criteria Observation’ and the rating revised in line with the new methodology. Rating Rationale The below ratings factor in the following core elements of Rwandan Country and Financial Institutions Sector risk into the assessment.
    [Show full text]
  • AGRF DELEGATE LOGISTIC GUIDILINE V2.Indd
    GENERAL DELEGATE INFORMATION GUIDE 2018 5-8 SEPTEMBER KIGALI, RWANDA www.agrf.org 5-8 SEPTEMBER KIGALI, RWANDA AGRF2018 Dear Delegate, We are delighted to have you join us at this year’s AGRF. We have put together these guidelines and resources to ensure you have a world-class experience as you prepare for and during the Forum. Please have a look and let us know if you still have any questions. Both the AGRF Secretariat and the Government of Rwanda; our host, are on standby to ensure that your participation in the Forum is convenient. The 2018 AGRF will take place in Rwanda at Kigali Convention Center (KCC) from 5th to 8th September 2018. 2 2018 5-8 SEPTEMBER KIGALI, RWANDA About AGRF www.agrf.org The AGRF is considered the world’s most important and impactful forum for African agriculture, pulling together stakeholders in the agricultural landscape to take practical actions and share lessons that will move African agriculture forward. First established in 2010, following a three-year series of African Green Revolution Conferences (AGRC) held in Oslo, Norway from 2006-2008, the AGRF has emerged as Africa’s leading “platform of agriculture platforms” that brings together a range of critical stakeholders in the African agriculture landscape to discuss and commit to programs, investments, and policies that can counter the major challenges a ecting the agriculture sector on the continent. Since the fi rst AGRF was held in Ghana in 2010 under the leadership of H.E. President Mills, the Forum has annually brought together Heads of State, Ministers, business leaders, development partner leadership, researchers, thought leaders, farmer organization representatives, youth entrepreneurs, and other critical stakeholders to focus on the actions and policies needed to move the continental agenda forward.
    [Show full text]