The African Export-Import Bank (Afreximbank) has announced a strong financial performance for the first quarter of 2025, reporting a 21 percent year-on-year increase in net income to US$215 million, up from US$178 million in the same period last year. The results reflect resilient profitability, enhanced liquidity, and a well-capitalised balance sheet—positioning the bank to continue driving economic transformation across Africa and the Caribbean.
The financial results, released on Tuesday from Afreximbank’s headquarters in Cairo, Egypt, indicate a 4.53 percent growth in net interest income to US$411.2 million, supported by growth in interest-earning assets and prudent cost management. Despite a modest decline in total unfunded income to US$26.9 million, driven by lower advisory fees, fee income from guarantees and letters of credit grew impressively by 47 percent and 36 percent respectively.
Total assets and contingent liabilities rose by 6.4 percent to US$42.7 billion as of 31 March 2025, driven by a 58 percent increase in cash balances and a 19 percent jump in off-balance sheet assets. The bank’s liquidity profile also improved markedly, with liquid assets rising to 20 percent of total assets, compared to 13 percent at the end of 2024.
In a statement, Afreximbank’s Senior Executive Vice President, Mr. Denys Denya, said:
“Our Q1 2025 results, which were in line with expectations, reflected a strong and resilient financial performance, notwithstanding continued macroeconomic challenges.”
Strategic Investments in Kenya
Significantly for Kenya, the bank confirmed it had ratified a number of initiatives with the Government of Kenya under its US$3 billion Kenya Country Programme. These include support for the development of Industrial Parks (IPs) and Special Economic Zones (SEZs), notably the Dongo Kundu Industrial Park in Mombasa and Naivasha SEZ II in Mai Mahiu. These initiatives align with Kenya’s Vision 2030 strategy and are expected to boost export manufacturing, attract foreign investment, and establish the country as a regional commercial hub.
Afreximbank’s role in these developments highlights the growing importance of Kenya within the bank’s strategic industrialisation and trade facilitation agenda.
In a further boost to Kenya’s integration into Africa’s evolving financial infrastructure, Kenya Commercial Bank (KCB) became the first bank in the country to launch the Pan-African Payment and Settlement System (PAPSS). This platform enables instant and affordable cross-border transactions in local currencies and marks a significant milestone in intra-African trade connectivity.
Key Q1-2025 Financial Metrics
| Metric | Q1 2025 | Q1 2024 |
|---|---|---|
| Gross Income | US$784.9 million | US$753.8 million |
| Operating Income | US$474.2 million | US$423.5 million |
| Net Income | US$215.4 million | US$178.7 million |
| Return on Average Assets (ROAA) | 2.38% | 2.19% |
| Return on Average Equity (ROAE) | 12% | 12% |
| Cost-to-Income Ratio | 16% | 15% |
Despite inflation-driven cost pressures pushing operating expenses up by 23 percent to US$75.4 million, the bank maintained a lean cost-to-income ratio of 16 percent, below its strategic upper limit of 30 percent.
Expanding Global Footprint
The report also highlights Afreximbank’s expanding presence in the Caribbean, marked by the groundbreaking ceremony for the African Trade Centre in Bridgetown, Barbados—the bank’s first trade centre outside Africa. This initiative supports the bank’s “Global Africa” vision and underscores its role in fostering South-South cooperation.