The report was launched under the European Investment Bank’s (EIB) eighth annual Investment in Africa report covering the continent’s banking system. The report highlights that banking in Africa continues to show resilience and a desire to support Private Sector Development despite operating in a tough environment. Key banking indicators, such as capital ratios, profitability and non-performing loans, have not deteriorated despite the challenges the region is facing.
The aforementioned resilience is rightly be attributed initially to pandemic support measures to bolster the continent’s banking system. Further, the continent is increasingly connected to global financial systems and bond markets and private capital markets are vibrant and growing, with the Fintech Sector also playing its part in supporting this change.