I&M Bank Rwanda Reports 74% Increase in Net Profit for 2024

I&M Bank Plc achieved a 74% rise in net profit for 2024, reaching Rwf18.6 billion. Asset growth and strategic initiatives in MSME and retail banking drove significant increases in loans and deposits. The bank’s focus on digital solutions resulted in considerable non-interest income growth. Operational efficiency improved while sustainability efforts impacted over 620,000 lives, earning notable recognition in the banking sector.

I&M Bank Plc has reported a remarkable 74 percent increase in its net profit for 2024, reaching Rwf18.6 billion. This achievement is attributed to the strategic allocation of assets toward high-yielding opportunities. Additionally, the total assets of the bank rose by 20 percent to Rwf817.9 billion, achieving a Return on Assets of 2.54 percent due to improved operational efficiency.

The bank’s loan portfolio expanded by 14 percent to Rwf356 billion, primarily driven by new product launches in the MSME and retail banking sectors, including the Agiserera asset finance product and the “Karame” initiative which offers seamless banking solutions. Customer deposits also increased by 22 percent, totaling Rwf659 billion as of December 2024.

I&M Bank’s customer base exceeded 100,000 with the establishment of five new branches. Non-interest income grew by 40 percent, bolstered by investments in high-yielding assets, while Net Fees and Commissions surged by 86 percent due to digital innovations. Digital transactions constituted 88 percent of all transactions, with 83 percent of customers utilizing digital services actively.

Operational expenses rose by 14 percent, and a controlled increase in other operating costs, which amounted to 10 percent, resulted in a cost-to-income ratio of 51.2 percent. Shareholder funds improved, highlighted by a 30 percent rise in retained earnings, now totaling Rwf72 billion. Consequently, the board proposed a dividend of Rwf2.46 per share, signifying an 80 percent increase from the prior year, pending approval at the annual general meeting in May 2025.

CEO Benjamin Mutimura emphasized the bank’s commitment to sustainability, noting that various initiatives affected over 620,000 lives. He stated, “We will deepen client relationships, advance sustainable banking, and enhance our digital ecosystem.” I&M Bank was recognized as the Best Bank and Best SME Bank in Rwanda by CFI and Global Finance in 2024, reflecting its strong market position and future-oriented strategies.

In conclusion, I&M Bank Plc has demonstrated significant growth in financial performance for 2024, with a notable increase in net profit, loan portfolios, and customer deposits. The bank’s strategic initiatives in digital innovations and sustainability, alongside a robust customer base and operational efficiency, have positioned it favorably in the banking sector. Moving forward, I&M Bank aims to strengthen client relationships and advance its commitment to sustainable banking practices.

Original Source: www.newtimes.co.rw