Proparco is supporting the medium and long-term lending activity of Guaranty Trust Bank in Nigeria. The bank finances Nigerian companies – in a context where long-term resources in foreign currencies remain scarce.
Guaranty Trust Bank (“GTBank” or the “Bank”) was incorporated in Nigeria in July 1990, and in the same year the CBN issued it a licence to operate as a commercial bank. In 2001, the CBN issued the Bank a universal banking licence and, following the repeal of the universal banking guidelines, the Bank was issued a commercial banking license with international scope in December 2012 under the scope of Banking Activities & Ancillary matters, No.3, 2010. It operates in Nigeria via a network of 219 branches. The bank is increasingly focusing on e-banking with 58 e-branches and 1,162 ATMs as of June 30, 2015. GTBank is developing its international network: it has subsidiaries in Gambia, Sierra Leone, Ghana, Liberia, the UK, Côte d’Ivoire, Rwanda, Uganda and Kenya.
Proparco’s credit line aims to finance GTBank’s medium and long-term corporate credit activities. This operation follows on from an initial Proparco loan in 2010.
This operation will strengthen local financing capacities in a country where long-term resources in foreign currency are not well developed. It will support the development of the local economic base in key sectors for the country’s development. It will also help improve access to financial services.