Afreximbank profit jumps 19% to $1.2 billion as it expands lending across emerging markets
The African Export-Import Bank posted a 19 per cent rise in net income to $1.2 billion for the year ended December 2025, driven by increased demand for trade finance and stronger support for industrial development across Africa and the Caribbean.
The performance highlights the bank’s growing role at a time when many developing economies are facing tighter global financial conditions, weaker currencies and elevated borrowing costs.
Total assets and contingencies rose 21 per cent to $48.5 billion from $40.1 billion in 2024, reflecting steady expansion in its financing activities.
Net loans and advances climbed 16 per cent to $33.5 billion, supported by increased lending to sectors including manufacturing, infrastructure, food security and climate adaptation.
Despite a volatile global environment, asset quality remained stable. The non-performing loan ratio stood at 2.43 per cent, slightly higher than 2.33 per cent a year earlier but still low by emerging market standards.
Liquidity strengthened, with cash and cash equivalents increasing to $6.0 billion from $4.6 billion.
Liquid assets accounted for 14 per cent of total assets, above the bank’s internal threshold, giving it capacity to sustain lending.
Shareholders’ funds rose 17 per cent to $8.4 billion, supported by retained earnings and fresh equity raised under its capital programme. Gross income increased modestly by just over 6 per cent to $3.5 billion.
Operating expenses rose to $459.2 million from $367.7 million, reflecting staff expansion and inflationary pressures.
However, efficiency remained strong, with a cost-to-income ratio of 21 per cent, below the bank’s target ceiling.
The bank also tapped international markets, raising more than $800 million through Samurai and Panda bond issuances in Japan and China, signalling continued investor confidence despite concerns from some rating agencies.
Denys Denya, senior executive vice president, said the results reflected the bank’s resilience.
“Despite continuing global geopolitical challenges and disruptions caused by some rating actions, the Group delivered excellent financial performance in 2025,” he said. “The balance sheet is at its strongest level ever, with liquidity levels and capitalisation well above target and good asset quality.”
He added that newer subsidiaries, including its development and insurance arms, have become profitable, supporting earnings growth.
The results come as African countries push to expand intra-regional trade under the African Continental Free Trade Area, which is expected to increase demand for trade finance.
With a stronger balance sheet and rising investor interest, Afreximbank said it is entering 2026 positioned to scale financing and deepen trade integration across Africa and the wider Global Africa region.
