The African Export-Import Bank (Afreximbank) has reported a 30 percent increase in net income to $534.7 million for the six months ended June 30, 2026, as stronger lending activity and higher interest and fee income lifted earnings despite persistent inflationary pressures.
The pan-African trade finance institution’s net income rose from $412.7 million in the corresponding period of 2025, while gross income increased to $1.8 billion from $1.6 billion.
The results underline the resilience of Afreximbank’s business model as the institution continues to finance trade, industrialisation and investment across Africa and the Caribbean amid a complex global economic environment.
Net interest income rose 22 percent to $1 billion, compared with $840 million in H1 2025, while fee and commission income increased 15 percent to $71.1 million from $61.9 million.
The rise in non-interest income was supported by higher fees from guarantees, letters of credit and advisory services.
Afreximbank’s total assets and contingencies increased 7.8 percent to $52.3 billion, from $48.5 billion at the end of December 2025, driven primarily by an expansion in lending.
Net loans and advances grew 5.7 percent to $35.4 billion, compared with $33.5 billion at the end of 2025.
Despite the expansion in its loan book, the bank reported an improvement in asset quality. Its non-performing loan ratio fell to 2.20 percent, from 2.43 percent at year-end 2025.
Afreximbank also maintained a sound liquidity position, with liquid assets representing 13 percent of total assets, within its strategic target range of 10 to 15 percent.
The stronger earnings translated into improved profitability metrics.
Return on average shareholders’ equity increased to 13 percent, compared with 11 percent in H1 2025, while return on average assets rose to 2.54 percent, from 2.22 percent.
Shareholders’ funds increased to $8.5 billion, supported by $534.7 million in internally generated profits and $13.9 million in new equity raised during the period.
The bank maintained operational efficiency despite higher personnel costs and inflationary pressures, with its cost-to-income ratio rising modestly to 20 percent, from 19 percent a year earlier.
The bank’s capital adequacy ratio under Basel II stood at 22 percent, compared with 23 percent at the end of 2025.
$1.5bn bond strengthens funding profile
Afreximbank has also strengthened its funding position with a $1.5 billion dual-tranche bond issuance completed after the reporting period.
The transaction, described as the largest international debt capital markets issuance in the bank’s history, comprised a $750 million 5.5-year tranche and a $750 million 10-year tranche.
The offering was approximately two times oversubscribed, signalling strong investor demand and confidence in the bank’s credit profile.
The successful transaction gives Afreximbank additional funding capacity as it seeks to expand its financing of trade and infrastructure while maintaining diversified sources of capital.
Denys Denya, senior executive vice president of Afreximbank, said the bank’s financial position provides capacity to respond to market disruptions while continuing to finance the structural transformation of African and Caribbean economies.
“Our financial performance and strong position reflect the continued resilience of the Group at a time when our member countries are navigating a particularly complex global environment,” Denya said.
He said the expansion of lending, stronger asset quality and continued access to diversified funding would enable the institution to respond to immediate economic challenges while supporting longer-term development.
