Bank of Kigali 2010 Q4 2010 Results Update

8/3/2019 Bank of Kigali 2010 Q4 2010 Results Update

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BANQUE DE KIGALI S.A.R.C. A 019 Ki gali T IN n 10.000.345 Capital : RWF 5 005 000 000

B.P. 175 - KIGALI Parcelle 6112, Avenue de la Paix Kigali (Rwanda)

Your trusted partner in wealth creation

Bank Of Kigali Q4 2010 Results Review

April 2011


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About Bank of Kigali

Bank of Kigali Q4 2010 Results Overview 2

Growing Faster Than The Banking Sector The Leading Bank In Rwanda

Market Share Evolution

April 2011

Decline in market share evolution in 2008 was due to entry into the market of new competitors.

Bank of Kigali Contributed 15.9% of the growth in Net Income of the banking sector lower than our

absolute market share of 48.6%, due to expansion strategy.

International & Local Recognition & Awards

A+ credit rating by GCR (Global Credit Rating) in December 2010

2009 & 2010 Bank Of The yearThe Banker

2009 & 2010 Best Bank in Rwanda - EMEA Finance Magazine

2009 Diamond Quality Service Summit Award

2002 through 2009 Best Tax Payer Award

Number 1 bank by total assets with 27.2% market share as at 31 December 2010

US$ mln, unless otherwise noted YE 2009 YE 2010 Growth, Y-o-Y

Total Assets 265.0 332.5 25.5%

Net Loans 134.5 170.6 26.8%Client Deposits 190.6 228.2 19.7%

Shareholders' Equity 32.3 53.5 65.5%

Y-o-Y Growth, %

Total Assets Growth 2010Share In Rwandan Banking

Sector Growth

Bank of Kigali 30.1% 30.6%

Rwandan Banking Sector 25.9%

Net Loans Growth



Total Deposits Growth



Shareholders Equity Growth



Net Income Growth



YE 2006 YE 2007 YE 2008 YE 2009 YE 2010

Total Assets 24.7% 29.0% 23.4% 26.3% 27.2%

Net Loans 23.0% 25.3% 24.4% 26.8% 31.1%Client Deposits 25.2% 30.6% 24.6% 25.8% 25.0%

Shareholders' Equity 26.5% 28.3% 22.3% 26.8% 31.6%

Net Income 47.1% 49.1% 54.1% 72.4% 50.1%


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Investment Highlights

April 2011 Bank of Kigali Q4 2010 Results Overview 3

Sound Operating Environment Politically stable country with the government widely admired for fostering socioeconomic progress, rooting out corruption and effective

absorption of foreign aidYoung population base of around 10 million, PPP-adjusted GDP per capita of US$1,150

Robust economic growth of 9%-6%% in 2005-2009, GDP growth of 7% in 2010

Diversifying export base, CAD contained at 7% of GDP

Sensible monetary policies, manageable inflation (2010 CPI of 3.9%), managed currency float

Named Top Reformer globally in the 2010 World Bank Doing Business ReportAccess to a large regional market through the East African Community integration initiatives

Well-regulated banking sector

Banking Sector P otential Early stage of development, with Banking Assets/GDP of 19.6% as at YE 2009

Sector asset growth of 12% in 2009, 26% in 2010

Over 90% of the population unbanked

High Barriers To Entry Highly concentrated banking sector, with Top3 banks accounting for a 59% market share (79% for Top 5)Significant execution risks involved in capturing significant market share for a new entrant, due to large capital outlays required for building a retail

footprint, limited pool of managerial talent, and a narrow base of large corporates

Market-Leading Franchise The larges t bank in Rwanda by assets (27% market share) , loans (31%), deposits (25%) and equity (32%)

Growing faster than the banking sector, achieving further market share gains

The most profitable bank in Rwanda, accounting for 72% of aggregate sector profit in 2009 and 50% in 2010Well-known, trusted and prestigious brand

Universal Banking Strategy Driving Profitable

Growth

Aggressive expansion strategy aiming at achieving retail banking ubiquity and further market share capture is underway

Banker of choice for large corporates for decades, complementing this traditional strength with focus on SME banking

Private banking launch imminent

Diversification of revenue streams sought by focusing on unfunded income sources and product innovation

Transparency And Good Governance Governed by an effective board comprising accomplished local leaders and seasoned international banking executives

Unqualified IFRS quarterly and annual audits since 1999 when National Bank of Rwanda started requiring quarterly and annual audit of thefinancial statements

Investor Relations outreach started in 2010

Establishing itself as an international borrower, with EIB a lender and discussions with several other IFIs

Sound and Balanced Business Model Experienced and knowledgeable management team

Entrenched and long-standing corporate client relationships allow for sound credit risk management

Operating efficiency, with Cost-Income Ratio below 50% despite the ongoing footprint expansion

Modern IT platform with all branches online and developing electronic banking channels

Self-funding business model, with Loans/Deposits of 75% allowing for further substantial loan book expansion

CAR of 21.9%, significantly above the current regulatory requirement of 10%

Disciplined approach to business diversification, with Top 10 Borrowers and Depositors accounting for 27.8% and 26.9% of Tota l Loans and TotalDeposits, respectively

Very little uncollateralised lending

NPLs comprise less than 10% of the loan book and are aggressively managed

Has been rated at A+/A1 by Global Credit Rating Co.

Sound AML/KYC policies and strict OR controls in effect


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Bank of Kigali Development Milestones


2006 2007 2008 2009 2010 2010 Growth

US$167.5 mln

US$72.0 mln

US$131.3 mlnUS$16.2 mln

US$17.6 mln

US$5.6 mln

9

US$228.4 mln

US$91.2 mln


US$20.9 mln

US$8.0 mln

9

US$219.4 mln

US$131.0 mln


US$25.9 mln

US$10.3 mln

12

US$265.0 mln

US$134.5 mln


US$27.9 mln

US$9.2 mln

17

US$332.5 mln

US$170.6 mln

US$ 228.2 mlnUS$53.5 mln

US$35.5 mln

US$10.3 mln

31

+30.1%

+31.5%

+24.2%+71.7%

+32.1%

+16.9%

Total Assets (e-o-p)

Loan Book (e-o-p)

Client Deposits (e-o-p)Equity (e-o-p)

Revenue

Net Income

Number of branches

2 2 2 5 6 Number of Western-Trained Professionals

Retail Banking

Corporate Banking

Trade FinanceForeign Exchange

Internet Banking

Retail Banking

Corporate Banking


Internet Banking

Retail Banking

Corporate Banking


Internet Banking

Retail Banking

Corporate Banking


Internet Banking

Retail Banking

Corporate Banking


Internet Banking

SMS Banking

Private Banking

Key Business Lines

GCR: A+/A1 Credit Rating

EIB Euro 5 million loan

facility

EIB Euro 5 million

loan facility

Discussions with

several IFIs underway

Key Lenders

RwF/US$ exchange rate (e-o-p)

2006 2007 2008 2009 2010

525.670 533.413 550.439 573.231 594.475

Note: growth rates based on RwF values


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Q4 2010 & Full-Year 2010 P&L Highlights


Q4 2010 Q3 2010 Q2 2010 Q1 2010 Q4 2010

RwF/US$ exchange rate (e-o-p) 594.48 589.98 587.80 574.39 573.23

Note: growth calculations are based on RwF values

YTD 2010 YTD 2009 Y-O-Y

Millions, unless otherwise noted US$ RwF US $ RwF GrowthNet Interest Income 21.4 12,751 18.4 10,538 21.0%

Net Non-Interest Income 14.1 8,382 9.5 5,463 53.4%

Total Operating Income 35.5 21,133 27.9 16,000 32.1%

Total Recurring Operating Costs 17.1 10,193 11.4 6,530 56.1%

Profit Before Provisions 18.4 10,940 16.5 9,470 15.5%

Net Income 10.4 6,179 9.2 5,287 16.9%

Q4 2010 Q3 2010 Q2 2010 Q1 2010 Q4 2009 Q-o-Q Y-o-YMillions, unless otherwise noted Change Change

US$ RwF US$ RwF US$ RwF US$ RwF US$ RwF

Net Interest Income 6.36 3,783 5.0 2,963 5.3 3,110 5.0 2,895 4.4 2,544 27.7% 48.7%

Net Non-Interest Income 4.02 2,391 3.8 2,248 3.5 2,043 3.0 1,700 2.8 1,632 6 .4% 46.5%

Total Operating Income 10.39 6,175 8.8 5,210 8.8 5,153 8.0 4,595 7.3 4,176 18.5% 47.9%

Total Recurring Operating Costs 5.02 2,981 4.4 2,620 4.3 2,553 3.5 2,038 3.8 2,165 13.8% 37.7%

Profit Before Provisions 5.37 3,193 4.3 2,557 4.4 2,600 4.5 2,557 3.5 2,011 23.3% 58.8%

Net Income 3.54 2,107 3.2 1,861 2.3 1,361 1.5 850 1.3 731 13.2% 188.0%


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Q4 2010 Balance Sheet Highlights


Q4 2010 Q3 2010 Q2 2010 Q1 2010 Q4 2009

Millions, unless otherwise noted

US$ RwF US$ RwF US$ RwF US$ RwF US$ RwFTotal Assets 332.5 197,677 294.1 173,520 297.6 174,901 272.5 156,527 265.0 151,896

Gross Loans 177.5 105,527 164.9 97,282 159.1 93,524 155.7 89,410 141.2 80,914Provisions 6.9 4,124 7.3 4,309 7.4 4,373 8.5 4,893 6.7 3,818

Net Loans 170.6 101,403 157.6 92,973 151.7 89,151 147.1 84,517 134.5 77,096

Client Deposits 228.2 135,677 214.0 126,283 214.1 125,838 198.0 113,727 217.0 109,282Total Liabilities 279.0 165,846 255.8 150,907 262.3 154,151 238.7 137,136 232.6 133,355

Shareholders' Equity 53.5 31,870 38.3 22,613 35.3 20,750 33.8 19,391 32.3 18,541

Number of branches 33 31 25 19 18

Number of ATMs 26 26 6 6 6Number of debit cards in issue 4,831 4,220 3,694 1,946 3,527

FTEs 467 467 417 370 303

RwF/US$ exchange rate (e-o-p) 594.48 589.98 587.80 574.39 573.23


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Key Ratios2010


2010 2009Profitability

Return on Average Assets 3.5% 3.9%

Return on Average Equity 24.4% 30.7%

Net Interest Margin, % 8.3% 8.2%

Loan Yield,% 14.4% 16.0%Interest Expense/Interest Income, % 23.5% 24.3%

Cost of Deposits, % 3.2% 2.9%Liquidity

Net Loans/Total Assets,% 51.3% 50.8%

Liquid Assets / Total Deposits 42.9% 48.4%Interbank Borrowings / Total Deposits 12.3% 12.1%

Short term Liquidity Gap 11.9% 29.6%

Gross Loans / Total Deposits 68.4% 65.1%Asset Quality

NPLs /Gross Loans, % 8.4% 7.1%

Provisions / NPLs 45.2% 58.3%

Large Exposures / Gross Loans 5.8% 12.3%Cost of Risk, Annualised 1.3% 7.7%

Leverage (Total Liabilities/Equity), Times 5.2 7.2Capital Adequacy

Core Capital / Risk Weighted Assets 16.5% 16.9%

Total Qualifying Capital/Risk Weighted Assets 22.0% 16.9%Off Balance Sheet Items/Total Qualifying Capital 402.8% 425.8%

Large Exposures*/Core Capital 27.9% 55.8%

NPLsProvisions/Core Capital 15.3% 17.7%Market Sensitivity

Forex Exposure/Core Capital 8.9% -5.4%

Forex Loans/Forex Deposits 1.1% 0.9%

Forex Assets/Forex Liabilities 106.7% 107.0%Selected Operating Data

Full Time Employees 453 303Contractors 0 0

Total Employees 453 303

Assets per FTE (RwF '000s) 436,372 501,307Number of Active Branches 31 19

Number of ATMS 26 6

Number of POS Terminals 97 54

* Loans that in aggregate comprise 15% of core capital


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Q4 2010 Financial Highlights


Total Assets Net Loans

Client Balances & Deposits Shareholders Equity

April 2011

109,282 113,727125,838 126,283 135,677

-

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

RwF million

151,896 156,527174,901 173,520

197,677

-

50,000

100,000

150,000

200,000

250,000

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

RwF Millions

77,09684,517

89,151 92,973101,403

-

20,000

40,000

60,000

80,000

100,000

120,000

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

RwF Millions

18,541 19,39120,750

22,613

31,870

-

5,000

10,000

15,000

20,000

25,000

30,000

35,000

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

RwF million


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Q4 2010 Financial Highlights Contd


Composition of Total Assets, RwF mln Composition of Total Liabilities, RwF mln

Composition of Total Assets, % Composition of Total Liabilities, %

April 2011

64,790 59,832 70,184 67,780 73,121

77,096 84,51789,151 92,973

101,403

6,392 6,4316,919 7,501

18,4943,618 5,747

8,647 5,266

4,659

0

50,000

100,000

150,000

200,000

250,000

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

RwF Millions

Other Assets Fixed Assets Net Loans Cash & Equivalents

42.7%38.2% 40.1% 39.1% 37.0%

50.8%54.0% 51.0% 53.6% 51.3%

4.2%4.1% 4.0% 4.3% 9.4%

2.4% 3.7% 4.9% 3.0% 2.4%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

Other Assets Fixed Assets Net Loa ns Ca sh & Equiva lents

109,282 113,727125,838 126,283 135,677

15,104 11,81215,341 16,294

18,9216,326 8,95410,329 8,331

11,248

-

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

180,000

YE 2009 31-Ma r-10 30-Jun-10 30-Sep-10 YE 2010

RwF Millions

Other Lia bilties B orrowed Fu nds Client Deposits

83.6% 84.6% 83.1% 83.7% 81.8%

11.6% 8.8% 10.1% 10.8% 11.4%

4.8% 6.7% 6.8% 5.5% 6.8%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

YE 2009 31-Mar-10 30-Jun-10 30-Sep-10 YE 2010

Oth er Lia bilties Bo rrowed Fun ds Client Deposits


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2010 Financial Highlights


Revenue Total Recurring Operating Costs

Profit Before Provisions Net Income

April 2011

16,000

21,133

-

5,000

10,000

15,000

20,000

25,000

2009 2010

RwF Milions

+32%

6,530

10,193

0

2,000

4,000

6,000

8,000

10,000

12,000

2009 2010

RwF Millions

+56%

9,470

10,940

0

2,000

4,000

6,000

8,000

10,000

12,000

2009 2010

RwF Millions

+16%

5,287

6,179

4,800

5,000

5,200

5,400

5,600

5,800

6,000

6,200

6,400

2009 2010

RwF Millions


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2010 Financial Highlights Contd


Revenue Composition Net Fee & Commission Income

FX Trading Income Net Other Non-Interest Income

April 2011

10,538

12,751

5,463

8,382

0

5,000

10,000

15,000

20,000

25,000

2009 2010

RwF Millions

Non-Interest Income Net Interest Income

16,000

21,133+32%

60%

40%

34%

66%

1,338

2,275

-

500

1,000

1,500

2,000

2,500

2009 2010

RwF Millions

+70%

3,335

5,248

-

1,000

2,000

3,000

4,000

5,000

6,000

2009 2010

RwF Million

+57%

599

681

0

200

400

600

800

2009 2010

RwF Million

+14%


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Personnel Cost,

47.3%

Depreciation,

16.1%

Other Operating

Expenses, 36.7%

2010 Financial Highlights Contd


Recurring Operating Costs Structure, 2010 Recurring Operating Costs, 2009-2010

Cost/Income Ratio Total Employees

April 2011

2,530

4,525903

1,5383,097

4,073

-

2,000

4,000

6,000

8,000

10,000

YE 2009 YE 2010

RwF Million

Personnel Cost Depreciation Other Operating Expenses

2009 2010

303

370

417

467 467

0

50

100

150200

250

300

350

400

450

500

Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010

54.6%

46.8%

51.8% 52.5%50.1%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010


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YE 2010 Financial Highlights


Gross Loans Net Loans

Client Balances & Deposits Term Deposits

April 2011

22,070 22,097 16,816 17,478 21,538

58,84467,313 76,708 79,804

83,989

0

20,000

40,000

60,000

80,000

100,000

120,000

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

RwF Million

Gross Corporate Banking Loans Gross Retail Banking Loans

80,91489,410

93,524 97,282

105,527

20,925 20,62915,520 16,631

20,749

56,171

63,88873,631 76,342

80,654

0

20,000

40,000

60,000

80,000

100,000

120,000

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

RwF Millions

Net Corporate Banking Loans Net Retail Banking Loans

77,09684,517

89,151 92,973101,403

3,958

9,517

3,740 3,905 4,212

25,95817,753

25,40628,593 28,968

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

RwF Millions

C orp ora te Ba nk in g T erm de po sit s R et a il B a nk in g T er m de po sit s

29,916

27,27029,146

32,498 33,180

51,299 44,99127,364 31,143 36,359

57,983 68,735 98,474 95,140

118,239

0

30,000

60,000

90,000

120,000

150,000

180,000

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

RwF Million

CB banking Clients Balances & Deposits RB banking Clients Balnces &Deposits

109,282113,727

125,838 126,283

154,598

CB Client Balances & Deposits RB Client Balances & Deposits


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Capital Adequacy & Liquidity


Total Capital Adequacy Ratio Net Loans/Total Assets

Net Loans/Client Balances & Deposits Cumulative Liquidity Gap, YE 2010

(25,334) (27,820)(35,087)

(37,773)

(2,622) (0)

(35,978)

(34,652)

(52,351)

(59,341)

(21,605)

(0)

(120,000)

(100,000)

(80,000)

(60,000)

(40,000)

(20,000)

-

20,000

0-1 month 1-3 months 3-6 months 6-12 months 0-1 Years Over 5 years

RwF Million

December 2009 December 2010

14.1%16.0% 16.9%

21.9%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

2007 2008 2009 2010

39.9%

59.7%50.8% 51.3%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

2007 2008 2009 2010

47.8%

76.8%70.5%

75%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

2007 2008 2009 2010


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Loan Book Analysis


Loans By Currency, YE 2010 Gross Loan Book Breakdown By Maturity

18,678

2,250 3,2436,662

50,081

17,8189,765 6,342

4,079

67,521

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

Less than 1

month

1 to 3 months 3 to 6 months 6 to 12 months Over 1 year

RwF Million

YE 2009 YE 2010

79.5%92.7%

20.5%7.3%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Corporate Banking Retail Banking

Foreign currency Local currency

22.5%20.2%

21.7%

26.0%24.0%

31.6%

49.1%

32.3% 33.3% 32.0%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

2006 2007 2008 2009 2010

Top 10 Borrowers As % Of Gross Loans Top 20 Borrowers As % Of Gross Loans

Top 10 & Top 20 Borrower Concentration


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Loan Book Analysis Contd


Write-offsLoan Loss Reserves As % of Gross loans

-

814

2,669

-

695

-

500

1,000

1,500

2,000

2,500

3,000

Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010

RwF Million

Nil Nil

4.7%

5.5%

4.7% 4.4%3.9%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010

Loan Loss Reserve

3,818

4,893

4,373

4,309 4,124

56%

54%

50%

54%

57%

46%

48%

50%

52%

54%

56%

58%

-

1,000

2,000

3,000

4,000

5,000

6,000

Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010

RwF Million

Loan loss Reserve (LHS) Coverage Rat io (RHS)

NPLs

6,685

8,8629,207 9,649

9,003

67%

68%

66%

69%

75%

60%

62%

64%

66%

68%

70%

72%

74%

76%

-

2,000

4,000

6,000

8,000

10,000

12,000

Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010

RwF Million

NPLS (LHS) LLR/(NPLs-Appraisal Value Of Collateral) (RHS)


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Client Balances &Deposits


Client Balances & Deposits Breakdown, YE 2010 Client Balances & Deposits By Currency, YE 2010

Client Balances & Deposits By Maturity, YE 2010

CorporateCurrent

Accounts,51.9%Corporate

TermDeposits,

21.4%

RetailCurrent

Accounts,23.4%

Retail TermDeposits,

3.4%

72.9%

3.0% 2.7%10.3% 11.1%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

On Demand Less than 1month

1 to 3 months 3 to 6 months 6 to 12 months

28.7% 26.0%

71.3% 74.0%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Foreign Currency Local Currency

Corporate Client Balances & Deposits Retail Client Balances & Deposits

Client Balances & Deposits Concentration

24.3%

31.5%

23.9%26.0% 26.0%

30.9%

40.8%

34.3%36.8%

34.3%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

2006 2007 2008 2009 2010

Top 10 Deposits As % Of Client Balances & Deposits

Top 20 Deposits As % Of Client Balances & Deposits


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Corporate Banking Overview


Highlights Gross Corporate Loan Portfolio By Products

Corporate Client Deposits Gross Corporate Loans

Serving over 4,000 legal entities

Top clients include:

Inyange Industries , leading food processing company in RwandaBralirwa

Kobil Petroleum

Engen Rwanda

Brussels Airlines

SULFO Rwanda Industries

MTN, the leading communications provider in Rwanda

Rwanda Mountain Tea, the major tea producing company in Rwanda

China GEO Engineering, the leading infrastructure development company

Tolirwa, the major metal materials manufacturer in Rwanda

Akagera Motors, the major importer of Toyota vehicles in Rwanda

Ameki Color, the leading paint manufacturer in RwandaGerman Agro Action, a non-governmental organisation

Onatracom, the leading public transportation companyGorillas Hotels, deluxe hotel chain operator

DemandDeposits32,026

Term

Deposit25,412

YE 2009

RwF mln

Overdraft,8,938

WorkingCapital Loans,

14,892

CapEx Loans,

23,858

CommercialMortgage

loans, 18,227

DemandDeposits,

70,351

Term

Deposits,28,968

YE 2010

RwF mln

56,17163,888

73,631 76,34280,654

2,673

3,425

3,0773,462

3,335

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

RwF Million

Net Corporate loans Provisions

58,844

67,313

76,708 79,80483,989

Our Top Clients

Merez Petroleum

Tolirwa


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Retail Banking Overview


Highlights Retail Loans Disbursed

Retail Loans By Products Retail Client Balances & Deposits, YE 2010

Serving over 48,000 individuals, up from 30,000 as at YE

200931 branches as at 31 December 2010, further branch

expansion underwayOver 60,000 retail accounts as at 31 December 2010

A major enhancement of electronic banking underway

The retail product lineup redesign underway includingthe Private Banking

Q4 '09' Q1 '10' Q2 '10' Q3 '10' Q4 '10'

RwF million ,unless otherwise noted

Consumer Loans 6,103 6,610 5,891 6,883 7,809

Overdraft Loans 1,661 1,763 1,772 1,437 2,042

Micro Loans 116 104 29 19 10

Mortgage Loans 11,563 10,655 8,387 7,962 8,717

Micro Loans Overdrafts 2,627 2,965 736 1,178 2,961

Gross RB Loans 22,070 22,097 16,815 17,478 21,538

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

Consumer Loans 27.7% 29.9% 35.0% 39.4% 36.3%

Overdraft Loans 7.5% 8.0% 10.5% 8.2% 9.5%

Micro Loans 0.5% 0.5% 0.2% 0.1% 0.0%

Mortgage Loans 52.4% 48.2% 49.9% 45.6% 40.5%

Micro Loans Overdrafts 11.9% 13.4% 4.4% 6.7% 13.7%

Total 100.0% 100.0% 100.0% 100.0% 100.0%

CurrentAccounts,

87.2%

Term deposits,12.8%

1,868

1,050 917

1,579

1,220

379

76 188

469 477

0

100

200

300

400

500

600

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

Q4 '09 Q1 '10 Q2 '10 Q3 '10 Q4 '10

RwF Million

Volume of Retail loans disbursed (LHS)

Number Of Retail Loa ns Disbursed (RHS)


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Bank of Kigali Branch Network

20

33 branches as at 31December 2010, of

which

14 in Kigali

19 in regions

15 new branches

opened in 2010

April 2011 Bank of Kigali Q4 2010 Results Overview


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Experienced & Dynamic Management


Individual Title Background/Experience

James Gatera Managing Director James has led the bank for the last five years, during which he has grown thebanks PBT from Rwf 3.797 billion to

RwF 7.442 billion (96%) as at YE 2009, total assets from Rwf 70.472 billion to RwF 173.520 billion and Depositsfrom Rwf 56.692billion to RwF 126.283 billion(123%)

Lawson Naibo

Louis Rugerinyange

Flora Nsinga

Frances Ihogoza

Martin Mulisa

Adolphe Ngunga

John Bugunya

Innocent Musominari

Alex Ngabonziza

Gerald Nyangezi

Yves Gatsimbanyi

Chief Operating Officer

Chief Shared Services Officer

Head of HR & Administration

Head of Corporate Affairs

Head of Corporate Banking

Head of Retail Banking

Head of Finance & Budget

Head of Credit

Head of ICT

Head of Internal Audit

Head of Risk & Compliance

Lawson has been with the bank since 2009 and is a qualified accountant & chartered banker.

Louis has been with the bank for over 30 years and holds abachelors in Economics

Flora has been with the Bank since 2008. Prior to joining the Bank, she worked in the telecommunications industry.

Flora holds a Bachelors Degree in Business administration with specialisation in Human Resources from KigaliInstitute of Science, Technology & Management

Frances has worked with the bank for over one year. She has over ten years experience in management positions inPublicService with a Masters degree in Public Administration

Martin has been with the bank for since 2009 and has wide experience in credit analysis, relationship management &

corporate banking

Adolphe has been with the bank for over 10 years. He held various responsibilities in Retail and Commercial Banking

John has been with the bank since 2009 and has vast experience in financial services as an audit manager with Deloittein the UK. John is also a member of the Certified Chartered Accountants-UK (ACCA) and the Institute of Certified

Public Accountants-Rwanda

Innocent has worked with the bank since 2004 and vast experience in credit analysis and management gained from

working in the Rwandan banking for over seven years

Alex has been with the bank since 2009. Prior to joining the bank, Alex was head of applications division G7 charged

with management of all software and application in Rwanda Revenue Authority. He holds a Bachelors Degree in

Technical Electromechanical Engineering with Information Technology option from National University of Rwanda

Gerald Heads has been with the bank since 2009 and has vast experience in audit & finance especially in the

telecommunication industry. Gerald is a member of the Certified Chartered Accountants-UK (ACCA) and theInstitute of Certified Public Accountants-Rwanda

Yves has been with the bank since early 2010. He has vast experience in the Rwanda financial sector, including 10years as a bank examiner at the National Bank of Rwanda. Yves holds a Bachelors in Economics from National

University of Rwanda


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Board Of Directors


Individual Title Background/Experience

LadoGur genidze Cha ir ma n LadoGur ge nidz e i s a c ar ee r banker whoa f ter a de ca de s pent a t s ever al i nve stme nt banks in Eas ter nEurope a ndLondonr e turned tohis na ti ve Ge or gi a in2004 a nd s pe ar he aded, a s Exec ut ive Cha ir ma na ndCEO, a turnar ound of Bank of Georgia (LSE: BGEO).During Lados three-year tenure, thebanks total assets andnet incomegrew 854% and1,775%, respectively. As its market share grew from18% to 34%,Bank of Georgia becamethe leading

universalbank in Georgia and theregion withmarket capitalisation exceedingUS$900 millionat thetime ofLados departure(up from US$30 million atthe time of his arrival).Prior totaking thehelmat Bank ofGeorgia, Ladoserved asHeadof Europeat PutnamLovell(nowpartof Jefferies)and asHeadof Technology CorporateFinanceandHeadof M&A, EmergingEuropeat ABNAmroadvising such clientsas SWIFT,Reuters,MoneylineTelerate,Wirtualna Polska, Marconi, Andrew Corporation, Merloni Elettrodomestici, News Corp,GlobalOne, Golden Telecom, UPCand Philips.

In 2007-2008, Ladoserved as PrimeMinister of Georgia, leading the Georgian economy throughthe finalstage of free-market reforms, including tax cuts,financial servicessector reformas wellas aggressiveprivatisationand

liberalisation policies.In theaftermathof the August 2008 conflictwith Russia, Ladowas instrumentalin stabilising theGeorgian economy and itsfinancial sector, as well as securinga US$750millionIMF stand-by arrangementanda $4.5 billion multi-donor aidpackage.Lado putGeorgia on theglobal institutional investormap, leading thefirst-everinternationalequity and debt capital marketsissues by Bank of Georgia andthe Georgian government as well as the countrys first-ever domesticIPOs. He is responsible for bringing in approximately US$1 billion of portfolio investments and close to US$500 million of FDI. Lado is the only person to have been awarded St Georges Victory Order (in 2008) and the

Presidential Order of Excellence (in2010)thetwo highest civilian honours in Georgia.

Sincehe stepped down as PrimeMinister, Lado hasbeena frequent publicspeaker on issues of economiclibertyand free-market reforms in developingcountries andco-chairs theEmoryCenterfor Alternative Investments. InOctober2009,he wasinvited tojoin, asChairman, thesupervisory boardof Bank ofKigali,the largestbank inRwanda.

In September2009, Ladoestablished,togetherwith DinuPatriciu, Liberty Investments, an investmentcompanyfocusingon financialservices institutions in frontiermarketswith low corruption,low taxesand openeconomies. Inthesame month, Liberty Investments announced theacquisition of a controlling equity interestin Liberty Bank,which hasthe largest client basein Georgia, serving some1.5 million clientsthrough 192 branches.By YE 2010,thefirst phaseof theturnaroundhas beencompleted, withthe rebrandedbank returning to profitability and growing muchfasterthan theGeorgian banking sector.

Lado ismarriedwithfour sons. Heis a Georgian andBritishcitizenand received hisMBAfromGoizuetaBusiness Schoolof Emory Universityin 1993(andis therecipient ofthe 2010 ShethDistinguishedInternationalAlumniAward), following undergraduatestudies at Middlebury College and Tbilisi State University. In 2006 Lado hosted thelicensed Georgian version of The Apprentice TV show. In 2010 Lado servedas judge on theInvestment

Banking Awards panel of The Banker magazine.

ApolloM. Nkunda Dir ec tor Apolloi s a pra ct is ingl a wyer , a nda Par tner withTr ust Law Cha mber s. Apollohas ove r t en yea rs e xper ie nc e inl e ga lpr ac ti ce f romboththe publi c a nd priva te s e ctor .He s pe ci al is es inba nkinga ndf inance l aw, l abour l a wa nd

government procurement.

Apollo holds a Masters degree inBusiness and Tradelaw fromErasmusUniversity Rotterdam, theNetherlands, anda Bachelors of Law fromthe NationalUniversity of Rwanda.

Heis a memberof theRwanda BarAssociation,theEast African LawSociety,an associatemember ofthe CharteredInstitute ofPurchasingand Supply,a founding memberof theCentre forArbitrationand honorary counsel to

theKigaliGolf Club.

Perrine Mukankusi Director Perrine is Economic Researcher in Prime Ministers Office withwide experiencein planning,monitoringand evaluation. Perrine hasheld various responsibilities in Public servicefor overten years, andwas Director for Planning

intheMinistryof Justicefor over fineyears.

Perrine holds a Masters degree in BusinessAdministration fromthe School of Finance and Banking,and a Bachelor of Commercedegree fromKigaliInstitute of Technologyand Management.

Alphosine Niyigena Director Alphonsineis chairperson oftheUnion Investments Corporat ion(UIC), vicechairpersonof the Liberal ProfessionalsChamber,oneof thenine chambersof the RwandaPrivateSectorFederation.

Sheservesas BoardMember of MotorGuarantee Fundand Rwanda Instituteof Administration and Management (RIAM).

Alphonsineis theManagingDirectorof WorldWide Initiatives sarl,a regionalconsultingfirm registered in Rwandaand hasconductednationaland internationalconsultancies as an independentconsultant in the areas of Finance,

economicplanning and audit. Priorto joining theprivatesector,Alphonsine served in theOfficeof Auditor General for5 years assenior auditor and teamleader.

Alphonsine holds a Masters Degree in Business Administration majoredin Finance fromMaastrichtUniversity,Netherlands.

Dat iva Mukes hima na Dir ec tor Dat iva i s the Exe cutive Sec ret ar y f or Duter imber e Asbl, which i s a Women Ent re pr eneuri al Ass oc ia ti on in Rwa nda. Dat iva has vas t expe ri ence with progr amme management a nd f inancing of NGOs, a nd gende r r el at edprogrammes.

Dativa holds a Bachelors degree in Economics, majored in money and banking fromKigaliIndependent University.

SudadiS. Kayit ana Dir ec tor Sudadi i s a qua li fi ed a nd pra ct ic ingpr of es sional a cc ountantwi th t ec hnic al e xper ie nc e in I ns ur ance indus tr y. He ha s wide f inance a nd a udit expe ri ence e spec ia ll yin the I ns ur ance I ndus tr y, a nd the int er na ti onal c ommuni ty

organisations including UNDP.

He is an affiliate of the Association of Certified Chartered Accountants (ACCA), qualified professionalof supply chain management specialising in Internal Purchasing and is a member of Instituteof Purchasing and supply

(MCIPS).He alsoholds an Associate degree in Economics fromthe NationalUniversity of Rwanda.

Mar c Holzma n Dir ec tor Mar c i s Vic e Cha ir ma nof Ba rc la ys Ca pi ta l.He ha s c onside ra bl e int er na ti onal e xper ie nc e ina rea s of f inance a ndinves tment, s oc io e conomic developme nt a ndi s widelyr ec ogni se da s a l ea dinga uthor it yone conomic a ndpoli ti ca ldevelopments in emerging markets. Marcalso serves as Presidentof The Universityof Denver withapproximately10,000 studentsand as Colorados first Secretaryof Technology.Marc drawson almost threedecadesof politicalandpublicservice inThe United States.He holds a Bachelorof Arts Degree inEconomics from Lehigh University.

Caleb Rwamuganza Director Caleb is Deputy Accountant General-Treasury Management in MINECOFIN. He has extensive experience in the area of Accounting and Finance and has served in the Ministry of Finance and Economic Planning since 2005 invarious capacities. Prior to that, Caleb was Chief Accountant in the Office of the President.

He holds a Master of Arts Degree in Management and F inance from Southampton Solent, Southampton University (UK) and Bachelor of Business Administration in Accounting from Nkumba University, Uganda.


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Rwandan Economy & Banking Sector


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Country Profile

April 2011 24Bank of Kigali Q4 2010 Results Overview

Area 26,338 sq km

Population 10,746,311

Official Language Kinyarwanda (official), French (official), English (official)

Capital Kigali

Currency (code) Rwandan Franc (RfW)

Nominal GDP (2009E) US$5.2 billion

Nominal GDP Per Capita (2009E) US$536

GDP (2009E) PPP (2009E) US$11.3 billion

GDP Per Capita (2009E) PPP US$1,150

Real GDP Growth Rate 2009E 4.1%

Inflation Rate (e-o-p) 2009E 5.7%

Inflation Rate (average) 2009E 10.4%

Source: International Monetary Fund, CIA World Factbook

Rwanda has been recognised as the second best reformer worldwide in the ease of doing business in 2009/2010.

Since 2005, Rwanda has implemented 22 business regulation reforms in the areas measured by Doing Business.

Today, entrepreneurs can register a new business in 3 days.


25/66

Rwandan Economy Highlights


Source: International Monetary Fund

Gross Domestic Product

3.13.7

4.75.2

8.6%

5.5%

11.2%

4.1%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

-

1.0

2.0

3.0

4.0

5.0

6.0

2006 2007 2008 2009E

US$ billion

Nom inal GDP (LHS) Real GDP Growth Rat e (RHS)

GDP Per Capita

338399

489536

942

1,002 1,114 1,150

-

200

400

600

800

1,000

1,200

1,400

2006 2007 2008 2009E

US$

Nominal GDP Per Capita GDP Per Cap ita (PPP)

GDP Composition

38.4% 35.6%32.4% 33.8%

6.8%6.1%

6.2%6.4%

6.1%6.4%

7.5%

7.3%

11.2%11.7% 13.9% 13.0%

6.8%7.1% 7.6% 7.5%

2.9%2.9% 2.5% 2.1%

5.0%4.8% 4.3% 4.3%

4.4%4.6% 4.2% 4.7%

18.3% 20.8% 21.5% 21.0%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2006 2007 2008 2009

Agriculture Manufacturing Construction

Wholsesale & Retail Trade Transport & Communication Finance, Insurance

P ubl ic A dministration Education Other

Inflation

12.1%

6.6%

22.3%

5.7%

8.8%

9.1%

15.4%

10.4%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

2006 2007 2008 2009E

US$

In fla t ion (e-o-p) Infla t ion (period average)


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Rwandan Banking Sector


2004 2005 2006 2007 2008 2009 2010

Timeline Of Foreign Investment


27/66

Rwandan Banking Sector Highlights

8 licensed commercial banks


Rank Total Assets Loans Deposits Equity

1 Bank of Kigali 27.2% Bank of Kigali 31.1% Bank of Kigali 25.0% Bank of Kigali 31.9%

2 BPR 19.0% BPR 24.2% BPR 19.3% BPR 19.8%

3 Ecobank 12.7% FINA 10.8% FINA 13.6% BCR 11.4%

4 BCR 11.7% BCR 8.7% BCR 11.9% FINA 9.7 %

5 FINA 7.9% COGEBANK 7.8% KCB 8.2 % ECOBANK 8.6%

6 COGEBANK 7.4% ECOBANK 7.8% ACCESS 7.6 % COGEBANQUE 6.9%

7 KCB 7.4% ACCESS 5.4% ECOBANK 7.3 % KCB 5.9%

8 ACCESS 6.6% KCB 4.2% COGEBANK 7.1 % ACCESS 5.8%

Source: National Bank of Rwanda


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Rwandan Banking Sector Highlights Contd



Market Share By Total Assets, YE 2010

26.6%

19.0%

15.3%

10.7%

9.3%

8.0% 8.3%

2.8%

27.2%

19.0%

11.7%12.7%

6.6%7.4%

8.0%7.4%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

Bank of Kigali UBPR BCR Ecobank Access Cogbank FINA KCB

YE 2009

YE 2010

+30% +26% -3% +49% 10% +17% +20% +235%Growth, 2010

Market Share By Loans, YE 2010

26.8%

23.8%

11.7%10.1%

9.0%8.5% 8.8%

1.3%

31.1%

8.7%

24.4%

7.7%

5.3%

7.8%

10.7%

4.1%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%


YE 2009

YE 2010

+32% +15% -15% -13% -32% +5% +39% +255%Growth, 20 10


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24.3%

19.4%

11.7%12.2%

6.7%

10.3%

8.5%

6.9%

31.9%

19.8%

11.4%

8.6%

5.8%6.9%

9.7%

5.9%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%


YE 2009

YE 2010

+74% +36% +29% -6% +14% -11% +51% +13% Growth, 20 10

25.7%

20.3%

15.3%

10.6% 10.3%

7.5%8.4%

1.8%

25.0%

19.3%

11.9%

7.3%7.6%

7.1%

13.6%

8.2%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%


YE 2009

YE 2010

+24% +21% -1% -13% -7% +21% +106% +481% Growth, 201 0

Rwandan Banking Sector Highlights Contd



Market Share By Client Balances & Deposits, YE 2010

Market Share By Shareholders Equity, YE 2010


30/66

Contact Details


James GateraManaging Director

+250 (252) 593 121

[email protected]

Lawson Naibo

Chief Operating Officer+250 (78) 830 2076

[email protected]

Frances IhogozaHead of Corporate Affairs/Company Secretary

+250 252 593 [email protected]

Lado GurgenidzeChairman of the Board

+995 99 477 272

[email protected]


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Bank Of Kigali Announces Q4 2010 & Full-Year 2010 Audited Results



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Bank Of Kigali Announces Q4 2010 & Full-Year 2010 Audited Results Contd



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B k Of Ki li A Q3 2010 & 9M 2010 A di d R l


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Bank Of Kigali Announces Q3 2010 & 9M 2010 Audited Results


B k Of Ki li A Q3 2010 & 9M 2010 A di d R l C d


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Bank Of Kigali Announces Q3 2010 & 9M 2010 Audited Results Contd


B k Of Ki li A Q3 2010 & 9M 2010 A di d R l C d


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B k Of Ki li A Q3 2010 & 9M 2010 A dit d R lt C td


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Bank Of Kigali Receives The Bank of The Year 2010 Award By The Banker


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And The Best Bank Award By emeafinance magazine


Bank Of Kigali Announces That It Has Been Rated A+ By Global Credit Rating Co


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Bank Of Kigali Announces That It Has Been Rated A+ By Global Credit Rating Co.


Bank of Kigali Announces Q2 2010 Results


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Bank of Kigali Announces Q2 2010 Results Contd


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Bank of Kigali Announces Q2 2010 Results Cont d




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a of igali ou ces Q 0 0 esults Co t d




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Documents

Bank of Kigali 2010 Q4 2010 Results Update