| The
fiscal year ending on December 31st 2002, the
tenth accounting period for the Bank was performed
in an economic environment still difficult, characterised
by the scarcity of import payment means and mitigated
resumption of the national production.
It
however ended on a note of optimism inspired by
the resumption of the international financial
co-operation with the signing of two credit agreements
with the World Bank and the International Monetary
Fund.
In
this difficult context for the whole financial
sector, due to the rise of credit risks that are
consecutive to the companies’hardships,
the Bank has carried on its activities in the
strict framework of strategies adopted early in
the beginning of the year, by sticking on the
maximum profitability of its activity's portfolios.
In
the commercial sector, the Bank carried on the
extension of its distribution network with the
installation of a new branch at Jabe, the second
highly populated area to get an INTERBANK BURUNDI
branch, in January 2002 and opened three building
sites : one for the Bujumbura Port branch cash
desks fully operating at Bujumbura international
Airport and Hotel Novotel.
On
the same commercial registry, the Bank has launched
a campaign for the promotion of its corporate
image by fitting posters with the motto “The
Bank wich provides with the wings” on the
main streets of the capital and by opening a web
site www. interbankbdi.com.
Concerning
more particularly the communication field, the
Bank has completed its computer interconnection
programme by combining the non stop and real time
link of its branches of Kirundo and Muyinga, in
spite of numerous technical telecommunications
constraints in the rural area.
Members
of the Board of Directors
| |
- Georges
COUCOULIS, President (middle)
- Callixte MUTABAZI, Managing Director
(third from left)
- Marguerite RUMBETE, Director (second
from right)
- Father Gabriel BAZIRUWISABIYE, Director
(first from right)
- Arturo COSTA, Director (first from
left)
- Bonaventure NICIMPAYE, Director (third
from right)
- Jean-Michel VIDAL REBATTU, Director
(second from right) |
It
becomes therefore the first Bank of the country
to offer decentralised services perfectly instantaneous,
providing for an incomparable comfort in the transaction
with its customers.
At
the managerial level, INTERBANK BURUNDI has mainly
focused its actions on the strict control of the
credit activity, with regard to the scarcity of
risks and the mastery of the operational and computer
organisation.
The
achieved results, slightly under those of 2001,
remain rather satisfactory given the context in
which they were released.
RESOURCES
POLICY
The
resources market in 2002 has been characterised
by the Central Bank refinancing, the individual
bank ceilings have been regularly reduced.
In
face of this shortage situation the Bank has developed
a new specific approach to the foreign currency
customers with some success, which combined with
the strengthened customer supervision and the
widened distribution network through the installation
of a new branch at Jabe enabled it to maintain
a satisfactory balance between the employment's
and the resources.
Thus,
the fiscal year is ending with an outstanding
deposit of 41,282.4 M. i.e. a 67 % increase.
CREDIT
RISK MANAGEMENT
Risks
control
For
the 2002 fiscal year, a particular stress has
been put on the credit risks management within
the network, which have become important due to
the extension of the latter.
A
deep analysis of the credit portfolio of the branches
has been therefore conducted and has resulted
notably in a categorisation of customers from
certain segments of our relations like the markets
and the fixing of intervention thresholds per
segment of the clientele.
Credit
administration
Like
all the management structures, the concept of
centralisation and decentralisation has been extended
to the credit administration, especially for the
branches portfolio where the responsible for the
Operations Review Service, the administration
and the management of the branches has initiated
a follow up of files and the site which implies
many displacements in the country side.
Credits
outstanding
The
restriction of the resort to the Central Bank
refinancing has not been enough move to stop the
expansion of credits to the economy of which the
demand was sustained, influenced by the high money
depreciation, the good food and coffee produce
and the needs in foreign currency at the petrol
and raw materials import, sectors mainly supported
by the Central Bank.
Thus,
the credits outstanding at the end of December
2002, amounted to 35,908.6 M as compared to 24,970.6
M at December 31st, 2001, i.e. a 43.8 % increase.
SERVICES
International
Banking
In
spite of the shortage of the foreign currency
resources at the Central Bank the activity of
the International Banking has remained sustainable
all along the year, due notably to the customers
resources generated thanks to our new approach
of the Foreign currency relation.
As
in the past, the Bank's concern has remained the
judicious utilisation and fair allocation of these
precious resources, the priorities being always
given to the petrol stock restocking the raw materials
and building materials.
Counter
operations
Collecting
operations in 2002 were carried out by eleven
counters instead of ten in 2001. The continuous
extension of counters and their subsequent timetables
have generated more important treasury flows year
after year.
Thus,
for the fiscal year 2002, disbursements and transfers
carried out at the Central Bank, feeding our current
account, amounted to 29,646. 4 M as compared to
28,453 .4 M in 2001 whereas the daily disbursements
reached the peak of 2,555. 0 M as compared to
1,600. 0 M the previous year.
Branch
network
With
the setting up of the Jabe branch in January 2002,
the Bank has pursued its new approach to the installation
of agencies, initiated at Buyenzi in August 2001,
i.e. heading beyond availing banking services,
by decollating them and investing in the “corner
Bank” and the promotion of the development
of collectivities and local communities.
In
so doing, it contributes to the increase of trade
exchanges between the monetary actors and the
sectors up to the informal ones in Bujumbura or
up country. Thus, the total cash flows generated
by our computer interconnected branches between
Bujumbura and the country side amounted to 56,959.8
M as compared to 32,984.0 M in 2001, i.e. 24,951.3
M, for Ngozi, 9,474.6 M for Kirundo, 17,676.3
M for Gitega and 4,857.7 M for Muyinga.
OPERATIONS
PROFITABILITY
The
adverse politico-economic environment coupled
with the shortage of foreign currency and decrease
of local money resources have negatively affected
the Bank profitability.
However,
thanks to the good operations of the International
Banking, the fiscal year 2002 is ending on consolidated
benefits, i.e. 1,085.3 M in decrease of 3.2 %
as compared to the previous year with 1,121.0
M. |
Director's Report
