Globus Bank Total Assets Hit $1.1 billion on Surging Customer Growth

Globus Bank Limited has seen improved competitive position and capitalisation assessment, underpinned by additional capital injection and stronger earnings capacity, leading to the bank’s total assets growing considerably by 102.1% to N1.6 trillion (USD1.1 billion), in the financial year ended 31 December 2024.

Profit after tax increased 123% to N40.38 billion in 2024.

The growth in assets was mainly on the back of its increased geographical and digital presence, which supported customer growth to over 600,000 across both corporate and retail segments.

Globus Bank is a relatively small-sized national commercial bank in Nigeria, with an evolving brand franchise.

Nonetheless, the bank’s competitive position assessment, although slightly improved, remains challenged by its small market share of 1% of the Nigerian banking industry resources.

Globus Bank operating revenues increased significantly by 85.9% to N94.2 billion (USD65.1 million) in 2024, with net interest income accounting for 67.3% of operating revenues, reflecting earnings stability.

Looking ahead, the bank’s continued expansion strategy, enhanced technology deployment, and strategic partnerships could further support operational scale and earnings growth.

The bank’s capital adequacy ratio is expected to range between 22%-25%, due to the bank’s ongoing recapitalisation process through a rights issue and private placements, according to GCR Ratings.

Globus Bank’s risk position is supported by its stringent underwriting and credit monitoring standards.

As a result, no impaired loans have been reported since inception, while the credit loss ratio registered at a moderate 0.3% as of 31 December 2024.

Additionally, counterparty concentration risk moderated in 2024, with the top 20 obligors accounting for a lower 37.9% of the loan book as of 31 December 2024. Sectoral distribution of the loan portfolio reflects concentration to the manufacturing sector, although diversification across sub-sectors provides some level of risk mitigation.

Foreign exchange risk is well managed through natural hedging, with the proportion of foreign currency loans to gross loans moderating to 16.5% as of 31 December 2024.

Globus Bank is largely funded by customer deposits, which constituted 94.7% of the funding base as of 31 December 2024.

Customer deposits grew by 77% to N967.8 billion (USD668.8 million) of 31 December 2024 and further to N1.0 trillion (USD679.6 million) in Half Year 2025, driven by strategic deployment of technology and the expansion of its branch networks.

Nonetheless, the deposit mix is largely skewed towards expensive term deposits which accounted for 36.5% of total customer deposits as of June 2025.

Consequently, interest expense as a percentage of the average funding base registered at a high of 10% given the funding mix and high interest rates.

The bank continues to maintain a liquidity ratio above the regulatory minimum of 30%.