The Moroccan subsidiary of the French group BNP Paribas reported a strong resilience marked by the stability of its income, the control of its management costs as well as a certain financial solidity.
The BMCI Group has shown resilience during the year 2020, despite the impact of the health crisis. The bank thus closes the year with stable revenues at 3.051 billion dirhams, showing a withdrawal of 0.9% of consolidated deposits to 44.6 billion dirhams. This drop of MAD 400 million would, according to top management, be due to the combined effect of the decline of MAD 2.1 billion in remunerated resources and the significant increase of MAD 1.7 billion in on-sight resources. “This decrease is voluntary so as not to overbid on the financing of our resources in the context in which we operate. There is a substantial improvement in the structure of resources in favor of sight deposits, since we have reached a ratio of around 77%, which is one of the best ratios in the market ”, comments Idriss Bensmail, member of the management board and managing director. deputy of the BMCI. With regard to loans, the latter posted a decrease of 7.3%, mainly attributable to the drop in offshore refinancing needs combined with the decline in repurchase agreements from customers as well as the weak demand for investment loans at the end of 2020. Over the year as a whole, these outstandings grew by 1%, thus contributing to the stability of NBI, ”Bensmail specifies. In terms of commitments by signature, BMCI’s off-balance sheet increased by 3% linked to the increase in documentary credits (import) and financing commitments given.
“Bonds and other guarantees, on the other hand, fell by 13.6%, in line with the business activity of the market and the decline in the contracts granted”, explains Bensmail, who also underlines the state of the demand for credit during this period. first trimester.
According to him, demand at the corporate level is proving a little timid at the start of the year, compared to the very positive demand from individuals. The good performance of consolidated NBI was also supported by the strong momentum of market activities and the resilience of the interest margin (+ 1.4%), offsetting the decline in the margin on commissions (-8.4% ). “The increase in the interest margin was the result of controlling our refinancing costs as well as the strong growth in our market activities, in a context of fairly significant exchange rate fluctuations during fiscal year 2020. The dirham experienced a certain depreciation during the first period of the year before appreciating during the second half of the year ”, underlines Bensmail.
The margin on commissions linked to commercial activity suffered from the drop in international transactions and transfers. The group also reported good financial health with ratios well above the minimum required. Thus, the solvency ratio stands at 14.6% (against a regulatory minimum of 11.5%). The liquidity ratio stands at 114% (against a regulatory minimum of 100%).
At the operational level, BMCI claims to have controlled its management costs despite an increase of 4.7% to 1.72 billion dirhams. An increase which was mainly driven by the group’s participation in the Covid-19 solidarity fund to the tune of MAD 85 million. “Without this donation, the management costs would have fallen by 0.5%”, underlines Karim Belhassan, Chief Operating Officer in charge of the functions within the BMCI Group. The impact of Covid-19 was also felt in the cost of risk, which almost doubled at the end of 2020. It has indeed increased by 104.8% to reach MAD 901.3 million. According to top management, the 461.1 MDH increase in the cost of risk was characterized by an increase in the cost of risk for internships 1 and 2 of 412.5 MDH, thus reflecting the anticipatory approach of the provisioning policy. “The stable income as well as the quality of the portfolios do not prevent us from remaining cautious in this particular context, by building up a safety cushion”, remarks Philippe Dumel. In the end, a consolidated net result emerges which stood at MAD 145 million at the end of December 2020, i.e. a decrease of 75.9% compared to December 2019. Regarding the distribution of dividends, without specifying the amount, the bank says it is still waiting for a response from Bank Al-Maghrib. “We have submitted a request for the 2020 financial year, hoping to catch up with the previous year”, explains the chairman of the management board. As a reminder, the Central Bank canceled the distribution of dividends for the 2019 financial year to conserve the bank’s equity and facilitate access to loans, given the particular context marking the financial year.
Aida Lo / Eco Inspirations
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