The Infrastructure Bank Plc has recorded a profit before tax (PBT) of N875 million in 2013 compared with N82 million achieved in 2012.
The bank’s Chairman, Alhaji Lamis Dikko, who stated this at its third Annual General Meeting (AGM) held recently in Lagos, noted that the figure showed an increase of N793 million.
Dikko said the bank’s total expenses in 2013 stood at N757 million as against the N586m recorded in 2012.
He attributed the growth to the bank’s strength of transaction advisory offering, ‘one-off capital cost’ and well managed operational cost.
According to him, the bank remained optimistic on the economic outlook, adding that all the indicators projected continuous growth trend of the past decade.
Dikko also said that Nigeria had continued to attract high level of Foreign Direct Investment (FDI) in spite of the nation’s security challenges.
He also said that the Federal Government’s reforms and investment in the energy, agriculture and manufacturing sector were expected to lead to significant job creation in the country.
Dikko added that the reforms and investment would further drive high growth rate in industrial and agricultural sector of the economy.
He also added that the key enabler for the growth was the provision of improved and increased infrastructure.
Dikko said the mandate to act as an advisor and fund arranger to the Federal Government showcased the bank’s potential in serving as a partner of choice for both the public and private sectors.
Also the Managing Director of the bank, Adekunle Oyinloye, said the bank’s profit impacted positively in its current earnings per share of 54 kobo in 2013 compared with 20 kobo recorded in 2012.
Oyinloye said a key highlight of the year under review was the increase momentum in the transaction advisory and fund arranging business that represented tangible evidence of the bank competitive advantages.
He also said the continued demand for infrastructure assets nationwide and the need for the delivery though alternative financing method through its project opportunities, supports the belief that the current trend is sustainable.
“The micro economic environment remains stable and promising.
Inflation at single digit and falling while real GDP is projected to continue to grow at a rate of seven per cent driven largely by agriculture, trade and services,” he added.
Meanwhile, Dikko says the bank has concluded arrangements to build a 27-storey multi-purpose ‘Infrastructure Tower’ estimated to cost $300 million (N49.5 billion) in Abuja.
Dikko said on the sideline of the AGM that the bank would invest $10 million (N1.65 billion) on the project.
Dikko said the ‘one-stop building’, to be situated in the bank’s headquarters, in the Central Business District of Abuja, would accommodate hotels, offices, shopping malls, residential flats and a parking bay.
He said the project to be financed through the bank’s special purpose vehicle would take two years to be executed.
Dikko said, “The idea is that you can live your life without going out of the premises. The project is expected to be concluded in two years once we do the financial closing.
“But, what we do not have control over is the on-going negotiation and discussion to close the deal for the financing. “Well, there will be investors because the project is going to be on by a special purpose vehicle while Infrastructure Bank will only be an investor.”
He added that the bank had entered into negotiations with a Chinese bank for funding, adding that the bank was willing to provide the $300m required for the project.
Dikko said that although the project was still at the negotiation stage, the bank had received a principle agreement with the Chinese bank.
