The management of BPR Bank Rwanda has pledged better banking services to clients after registering a record Rwf32 billion profit before tax in 2022.

According to the bank’s financial results released last week, the profit indicated an 88 per cent increase from 2021 earnings.

Speaking to during a press briefing on Wednesday, April 5, BPR Bank Managing Director, Patience Mutesi, said the published profit before tax was driven by a strong 28% growth in total operating income and a 27% growth in gross loans across all segments of the business, specifically lending in trade, personal, manufacturing, and construction sectors.

"We have also had an effective credit management strategy, registering a below industry average non-performing loan ratio of 3.9% by year end. Subsequently, our total impairment was positive, registering a net write-back of Rwf771 million, which I attribute to deliberate recovery initiatives from our credit and business teams,” Mutesi said.

BPR Bank Board Chairman, George Rubagumya said the 2022 performance was attributed to "sound financial management, purposeful structuring of our product and service offering to suit customers’ needs, and investment in upgrading our technology to deliver best in class performance across operational and service delivery points.”

BPR Bank was born out of the merger of the former Banque Populaire du Rwanda (BPR) and KCB Rwanda. On April 1, the bank marked exactly one year after the merger. BPR Bank is the largest bank in Rwanda in terms of branches.

Better service with upgraded system

After the merger, the new bank embarked on a rigorous system upgrade to ensure its customers got the best services. But the came with disruption with its banking service, making some customers raise concerns about the glitches.

Mutesi said, however, that the disruptions have been solved. The system upgrade is now at 85 per cent complete and it will be at 95 per cent by the end of April, she affirmed.

"Customers’ expectations and behavior are ever-changing; therefore, we must be agile in our operations, solutions and engagements. We are pleased to announce that we upgraded our core banking system from T24 Release 12 and 14 (R12, R14) to T24 Release 21 (R21) which has expanded all digital channels and service delivery points to provide efficient customer experiences,” she said.

Among many other benefits of the core banking system upgrade is that customers will now experience more functionalities, flexibility, and improved service uptime.

"This has been a detailed process, involving several of our technical, operational and business teams. Despite some service interruptions during this upgrade, I am happy to report that banking services are now functioning effectively,” Mutesi said.

2023 goals

In 2023, the BPR Bank will be digitizing its agency as well as merchant services, enabling accessibility and a faster turnaround time at points of sale.

"We are intent on expanding our services across Rwanda through these developments, which are part of our strategy to avail all our services to all corners of the country," Mutesi said.

"As part of our efforts to make credit more readily accessible, we will be expanding our scoring model to make more customers viable for the bank’s mobile loan services."

Former shareholders concerns answered

BPR Bank’s shareholders include KCB Group and more than 500,000 Rwandans. Rubagumya addressed concerns of shareholders of the former BPR. He said BPR Bank’s board of directors now has a representative of the local shareholders.

"Those who haven’t sold out their shares are still shareholders of this bank. And we want to support them in their development. What they need to do is visit BPR Bank’s nearest branch for further information. Everything is in place now.”

BPR and community

Beyond profitability, the BPR management pledged to continue the bank's corporate social responsibility activities.

"The BPR Foundations’ flagship vocational training program Igire continues to enroll 200 local youth every year, while providing seed capital for businesses incubated out of this program,” Mutesi said.

To date, 500 beneficiaries have received program certification, while 30 Businesses have been developed, providing employment for 300 people.

Rubagumya said BPR Bank’s business strategy will continue to prioritize investment in Rwanda’s key sectors: agriculture, manufacturing, and tourism.

"As we progress further into 2023, we wish to reassure BPR Bank’s commitment in progressing the interests of all our shareholders.

With 154 Branches countrywide and over 1000 staff members, he said, "we are excited about the possibilities that lie ahead of us and look forward to seeing our customers blossom both economically and socially.”