BH Bank shows strong resilience

The Ordinary General Meeting (AGM) of BH Bank, convened for the 2023 financial year, constitutes a crucial moment in the journey of this financial institution. Held in a context marked by a complex national and international situation, exacerbated by the fallout from the Covid-19 pandemic and global geopolitical tensions, this AGM was an opportunity for the management of BH Bank to draw up an exhaustive assessment of its activities and performance over the past year. Under the chairmanship of Taoufik MNASRI, President of the AGO, and in the presence of Wajdi KOUBAA, Managing Director of BH Bank, this meeting highlighted the resilience and determination with which the bank faced the multiple challenges that marked the year 2023. In a speech full of optimism and confidence in the future, the managers of BH Bank highlighted the successes achieved, the strategies implemented and the social commitments made, thus illustrating the preponderant place of BH Bank in the national financial landscape and its crucial role in the economic and social development of the country.

At the opening of the AGO, Taoufik MNASRI, President of the AGO, underlined that despite a difficult national and international situation aggravated by the impacts of the Covid pandemic, the war in Ukraine and the generalized tightening of monetary policies on a global scale, BH Bank continued with resolution, determination and serenity the development of its activity. In 2023, it focused mainly on streamlining its governance, strengthening its compliance systems and controlling the risks inherent in its activities, cleaning up its credit portfolio and accelerating the recovery process, and this with sole objectives of optimizing its profitability and improving its market share both in terms of resources and credits.

The Bank also wanted to successfully complete the portfolio of its 2023/2026 strategic projects covering the diversification of its sources of financing, the training and qualification of its employees, the implementation of its new Core-Banking, the digitalization of its business processes, the expansion of its product and service offering, the optimization of the network of its agency network, the strengthening of its control functions and the development of synergies with its subsidiaries. These efforts were crowned with positive results that exceeded objectives and allowed him to excel within the banking sector.

At the end of his speech, Taoufik MNASRI affirmed that he is confident, as for the determination of the general management and the support and dedication of all the Bank's staff as well as the support of the shareholders, to meet the challenges. new challenges and consolidate the performances achieved.
He took this opportunity to congratulate all staff on the occasion of this year's celebration of the Bank's 50th anniversary.

Resilience despite exceptional circumstances

Speaking, Wajdi KOUBAA, General Manager of BH Bank, specified that faced with exceptional circumstances in more than one respect, the Bank demonstrated resilience and great capacity to effectively readjust its operational system to manage the whole constraints to which she was exposed. It has thus succeeded in achieving results exceeding the set objectives, thanks to considerable efforts in cleaning up its credit portfolio and recovering outstanding debts, thus improving its financial performance and also strengthening its position within the banking sector in accordance with its 2023/2026 strategic plan. This plan focuses on:

-Proximity, customer care and assistance

-Innovation and improvement of the quality of services

He also specified that the 2023 financial year closed with an increase in customer resources of +2.4% (+201.8 MD) to reach a total outstanding amount of 8,751.5 MD and thus maintain its market share. of the order of 10%. This progression is mainly due to the evolution of demand deposits of 15.3 MD to reach an outstanding amount of 2,748.9 MD at the end of 2023 as well as savings deposits which increased by 12.8% (+406.2 MD). ) to reach 3,569 MD against 3,162.8 MD at the end of 2022. As for term deposits, and taking into account the policy of controlling the costs of customer resources, the outstanding amount fell by 263.3 MD (-11%) for stand at 2,179.2 MD as of 12/31/2023.

He added that the Bank, taking into account the tense situation for all economic agents, took care to arbitrate the choice between the quality of jobs and their yield, by focusing on clients with high solvency and active in the promoting sectors. Thus, for the year 2023 the gross outstanding financing of the economy reached 11,789.9 MD. BH Bank ranks 4th among banks and holds 12.4% of total net customer loans.

In terms of revenue, KOUBAA specified that all of the Bank's activities resulted in a net banking income of 665 MD, an increase of +6.8% (+42.1 MD) compared to the end of 2022. .

He also indicated that thanks to the evolution of the GNP, the RBE increased by (+34.6 MD) or 8.1% to reach 432.1 MD. As for general costs, they were controlled with a slight increase of (+3.8%), i.e. a rate significantly below inflation and in particular, thanks to good control of personnel costs (+5.1 %) which remain lower than the sectoral increase of 7% and maintaining the level of general operating expenses compared to the end of 2022 (+0.5%).

Concerning allocations to provisions, they decreased by 11% to stand at 159.9 MD against 177.9 MD at the end of 2022. The rate of classified debts stabilized at the end of 2023 to settle at 15.8%. Depreciation charges increased by 12.3% or 21 MD, following the adjustments made at the agency level. The Bank thus closed the year 2023 with a Net Profit of +140 MD, compared to 118.7 MD at the end of 2022, an increase of +17.9%.

KOUBAA underlined that alongside the development of the Bank's activity, the majority of subsidiaries of the BH Group recorded good results which made it possible to achieve a consolidated net result of 143 million dinars, an increase of (+14 .3%) compared to the year 2022.

Focus on the new strategy

He recalled the main axes of the Bank's new strategy which are strongly customer-oriented, namely more proximity, better quality of services, innovation, prospecting and better coverage of the universe of customer needs, both companies and individuals. He added that BH Bank reaffirmed during the year 2023 its commitment to serving the public cause and demonstrated the voluntary integration of social concerns into its vision for the promotion of the common good.

He also specified that after its distinction during the health crisis, BH Bank continued its support for the education sector through the coverage of development costs for educational establishments and their equipment with computer equipment as well as as the payment of transport costs for students from poor families. This action was materialized through the signing of a framework agreement with the Ministry of Education. Along the same lines, BH Bank continued its social actions, including those finalized with the governorate of Tunis, targeting poor families.

On the other hand, he added that BH Bank has consolidated its commitment to women in various areas during 2023 by investing in their financial inclusion so that they can contribute more effectively to the growth of the country's economy. . BH Bank marked its presence in the events aimed at rewarding women entrepreneurs who have distinguished themselves through the reservation of incentive prizes. Also, BH Bank participates in sporting and cultural development at the local and international level. It supports sports associations, particularly women's and those with limited resources, through donations and sponsorship actions. For the year 2023, the BH Bank senior women's football team won the League Cup. The cadets and the juniors were crowned champions of Tunisia.

In terms of sustainable development, he indicated that the Bank has intensified its participation in actions relating to green financing. Furthermore, and in collaboration with AFD, it is committed to promoting Sustainable Development as part of all of its investment and financing activities. Also, BH Bank is part of a committed responsible purchasing approach, by inserting specific requirements relating to CSR values.

The best of humans with the most efficient of technology

Closing his speech, the General Director committed to raising BH Bank to a benchmark rank “combining the best of humans with the most efficient of technology”. It will ensure that it is a local bank with its customers offering the best quality of service with innovative products allowing accessibility to remote banking services at any time.

He reaffirmed that despite all the challenges, the Bank will continue to fully play its role to meet the needs of its clients, support the State's efforts to implement its economic policy and support the strategic investments of public establishments. He reiterated the Bank's commitment to supporting the corporate citizenship program, through financing, support and technical assistance.

He thanked the members of the Board of Directors, the shareholders and customers for their trust and support as well as all the staff for their dedication and commitment and he presented his congratulations on the occasion of the celebration of the 50th anniversary of BH BANK while recalling the historical and strategic role it played in financing the economy and implementing the country's economic policy.

Closing the work, the president of the AGO Taoufik MNASRI, assured that despite the difficult national and international circumstances, the Bank, with the strong support of its shareholders, will work to develop its activities, while finalizing its strategic projects. It is committed to improving its results and strengthening its position in the market.

With press release