Equity Group Holdings Limited · NSEKE:EQTY
Equity — FY2020 Earnings Presentation
74 slides from Equity's earnings presentation, March 2021
Slide 1: Investor Briefing Full Year 2020 Performance
INVESTOR BRIEFING FULL YEAR 2020 PERFORMANCE
Slide 2: Equity Group Holdings Plc Investor Briefing
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE 2
Slide 3: Equity Group's Philosophies
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Equity Group’s Philosophies Our Purpose: Our Mission: Transforming lives, giving dignity and expanding We offer integrated financial services that socially and opportunities for wealth creation economically empower consumers, businesses
Slide 4: Governance and Organizational Structure
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Governance and Organizational Structure 4
Slide 5: Governance and Organizational Structure
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Governance and Organizational Structure Structured Entity Business Communications Transition, Capital Raising Strategy & & Corporate Leadership & & Investment Investor Customer Governance Affairs Experience & Relations CEO's Office Inno
Slide 6: Group Executive Management
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Group Executive Management Dr.James Mwangi,CBS Mary Wamae Polycarp Igathe O l a n rDeaw v iadj uN B gam t ai s e b i Group Managing Director & Group Executive Director Group Chief Commercial GGrroouupp CFhi n i eafn Ic ne f oDri m r eac
Slide 7: Group Executive Management
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Group Executive Management Gerald Warui Emmanuel Deh Samuel Kirubi Anthony Kituuka Addis Ababa Othow Managing Director, Executive Director, Managing Director, Executive Director, Managing Director, Equity Bank Kenya Equity Bank Kenya Eq
Slide 8: Group Board of Directors
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Group Board of Directors Prof. Isaac Macharia Dr. James Mwangi Mary Wamae Non-Executive Chairman Managing Director and Executive Director Chief Executive Officer Dr. Edward Odundo Evelyn Rutagwenda Vijay Gidoomal Non-Executive Director
Slide 9: Press Release
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release 9
Slide 10: Press Release
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release Equity Group Defies COVID-19 Impacts and Registers 51% Balance Sheet Growth • Customer Deposits grow by 53%; • Loans to Customers grow by 30%; • Acquisition, merger, integration and rebranding of BCDC • Profit before provi
Slide 11: Press Release (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release (continued) 1) Waiving mobile charges of Kshs 1.2 billion to enhance households’ disposable incomes while at the same time sensitizing clients to adopt mobile, digital, and online banking, in compliance with health protoco
Slide 12: Press Release (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release (continued) c) Enhancing liquidity buffers to mitigate the risk of rescheduling client loans and accommodating loan repayment moratorium’s by securing foreign direct funding amounting US $350 million and raising liquidity
Slide 13: Press Release (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release (continued) Total operating costs grew by 67% to Kshs 71 billion up from Kshs 42.5 billion driven by a 496% growth in gross loan provision of Kshs 26.6 billion up from Kshs 5.3 billion in the prior year, increasing the cos
Slide 14: Press Release (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release (continued) from Kshs 1.3 trillion. The Group intensified its social impact investments for shared prosperity with communities. Cumulative spend on shared prosperity programmes reached Kshs. 51 billion equivalent of US$ 46
Slide 15: Press Release (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Press Release (continued) Our stakeholders can have hope and look forward to better days on account of the following; • A unique social purpose driven business model that is agile to change and adaptive to environment as demonstrated by
Slide 16: Macroeconomic and Operating Environment
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Macroeconomic and Operating Environment 16
Slide 17: The Great Multi Crises - COVID-19
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE The Great Multi Crises - COVID-19 Global Health crisis Humanitarian crisis • December 16, 2019 - A new virus, COVID-19, detected in IMF - Approximately 107 million people will fall below Wuhan, China and spread rapidly across the globe
Slide 18: COVID-19 Management and Responses
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE COVID-19 Management and Responses • Encouraged financial institutions to accommodate loan restructuring for their clients • Promotion of the use of e-payments to reduce risk of contaminated bank Key government and notes banks’ regulator
Slide 19: Regional CBR and Currency Depreciation
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Regional CBR and Currency Depreciation 18.5% Dec-19 YOUR HEADLINE 15.0% 15.0% Dec-20 14.0% Regional CBR W I L L SIT H E R E 9.0% 8.3% 7.0% 7.0% 7.0% 7.0% 5.0% 4.5% Kenya Uganda Tanzania Rwanda DRC South Sudan -0.1% Dec-19 +1% Dec-20 3,6
Slide 20: GDP Growth Projected to Improve across the Region
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE GDP Growth Projected to improve across the Region 2020 Estimate Y O U R H E A D L6.3% IMF 2021 Projection INE GDP growth 4.7% W I L L SIT 4.9% 3.6% HERE 3.6% 4.1% 1.9% 2.0% 1.1% 0.3% -2.2% -2.3% Kenya Uganda Tanzania Rwanda DRC S.Sudan
Slide 21: Equity Boosts Government Efforts against COVID-19 Pandemic
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Equity Boosts Government Efforts against COVID-19 Pandemic Kes 4.1 billion to complement Government’s health and social responses as well as support our customers Health Response Social Response Loan restructuring Capital buffers Risk m
Slide 22: Equity Bank Business Model and Strategy
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Equity Bank Business Model and Strategy 22
Slide 23: Business Model and Strategy Focus
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Equity Bank Business Model and Strategy Focus 1. Non-Funded Income Growth 2. Treasury 3. Geographical and Business Diversification 4. Balance Sheet Agility 5. Innovation and Digitization 6. Asset Quality 7. Efficiency and Cost Optimizat
Slide 24: Focus Area 1: Non-Funded Income Growth
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 1: Non-Funded Income Growth Kes Billion Loan Interest Income Total Interest Income YOUR Non-Funded Income Contribution to Total Income Growth Trend Growth Trend Growth Trend +24% 92.9 +12% +24% 74.8 73.8 66.5 +26% +12% 55.1 (
Slide 25: Focus Area 1: NFI Contribution
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 1: NFI Contribution NFI contribution back to pre-covid-19 level; Equity Group still more diversified than the sector average as at Q4 2020 Equity Group 45 Tier 1 Banks (ex Equity Group) 42% 41% 41% 41% 41% 40% 40 38% 38% 38%
Slide 26: Focus Area 2: Treasury
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 2: Treasury KES Billion Government Securities Treasury Gross Income Contribution Treasury Income Mix Yield on Government Securities & Portfolio YOUR HEADLINE +36% Capital Gains Improving yields and mark-to-market W I L L SIT
Slide 27: Focus Area 3: Subsidiaries Performance and Contribution
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 3: Subsidiaries Performance and Contribution Kes Billion Other Subs Other Subs Equity Other Subs Total EBKL Group Dec 2020 EBTL EBRL EBUL EBSS EIA EIB Finserve Contribution Contribution BCDC (% Contribution) (% Contribution)
Slide 28: Focus Area 3: Geographical and Business Diversification
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 3: Geographical and Business Diversification Ratios-Banking Subsidiaries RoAE RoAA Subsidiary FY 2019 FY 2020 Subsidiary FY 2019 FY 2020 EBKL 28.7% 17.9% EBKL 4.0% 2.4% EBUL 19.0% 22.0% EBUL 2.6% 3.1% EBRL 24.9% 22.0% EBRL 3.
Slide 29: Focus Area 3: Geographical and Business Diversification
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 3: Geographical and Business Diversification YOUR • Present in 6 countries and a commercial representative office in Ethiopia Wlargest • We are a Top 2 bank in our two I L Lmarkets and in the Top 10 in three other markets • P
Slide 30: Focus Area 3: Geographical and Business Diversification
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 3: Geographical and Business Diversification BRANCHES 336 CAPITAL CITY 124 Branches in Kenya 190 Nairobi 52 Branches in Uganda 43 Kampala 21 Branches in S. Sudan 5 Juba 4 Branches in Tanzania 14 Dar es Salaam 1 Branches in Rw
Slide 31: Focus Area 4: Balance Sheet Resilience and Agility
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 4: Balance Sheet Resilience and Agility KES Billion Funding Split Asset Split Group Group YOUR HEADLINE 1,015.1 38.6 YoY Growth 1,015.1 YoY Growth W I L L SIT H E R E 97.1 (10%) (4%) 72% Net Loans 72.8 (7%) 50% Deposits 71% G
Slide 32: Focus Area 5: Innovation and Digitization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Innovation and Digitization Transformation from a place you go to; to something you do. Digitized Banking - Moving from fixed cost to variable cost Transaction numbers in millions YOUR HEADLINE W I L L SIT H E R E 880 Tran
Slide 33: Focus Area 5: Innovation and Digitization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Innovation and Digitization Transformation from a place you go to; to something you do. Digitized Banking - Moving from fixed cost to variable cost 3,100 Volumes in Kes Billions Volumes in Billions YOUR HEADLINE 3,050.6 W
Slide 34: Focus Area 5: Innovation and Digitization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Innovation and Digitization Transformation from a place you go to; to something you do. Digitized Banking - Moving from fixed cost to variable cost Transaction numbers in millions 775 Transactions in millions Mobile and 77
Slide 35: Focus Area 5: Innovation and Digitization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Innovation and Digitization Migrating from Fixed to Variable Cost Delivery Infrastructure Variable cost channels Fixed cost channels +54% Transaction numbers in millions +2% 495.9 267.7 274.0 -13% * -23% -26% 321.5 87.1 +7
Slide 36: Focus Area 5: Fintech Innovation and Digitization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Fintech Innovation and Digitization 98% of our Transactions outside the branch % 85 YOUR HEADLINE 84.4% Mobile and 84 78 77.5% W I L L SIT H ERE 78.0% internet banking 72.0% 72 15 14.6% 12.0% 12 11.5% 8.3% 5.4% Agency 5 5.
Slide 37: Focus Area 5: Fintech Innovation and Digitization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Fintech Innovation and Digitization 60 % of our Transactions Value outside the branch Branches now handling high value transactions for SME, corporates, wealth management & advisory services % 58 YOUR HEADLINE 57.2% 54 53.
Slide 38: Focus Area 5: 91% of Loan Transactions via Mobile
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Fintech Innovation and Digitization 91% of our Loan Transactions via Mobile Channel FY 2020 Transaction count FY 2020 Transaction value Branch Lending Mobile Lending 9% 16% 84% 91% Mobile Lending Branch Lending 38
Slide 39: Focus Area 5: Fintech Innovations in Digital Payments
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Fintech Innovations in Digital Payments Steady adoption of Eazzy banking solutions Quarterly No of Transactions (Millions) Cumulative No. of Transactions (Millions) 242.2 779.2 199.8 595.1 +31% 182.5 154.6 161.1 154.8 136.
Slide 40: Focus Area 5: Fintech Innovations in Diaspora Remittances
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Fintech Innovations in Diaspora Remittances +104% 279.4 136.9 1.5 +76% 0.9 FY 2019 FY 2020 Transaction Volumes in Kes Bn Diaspora Commissions in Kes Bn 40
Slide 41: Focus Area 5: Fintech Innovations in Fx Trading
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 5: Fintech Innovations in Fx Trading YOUR Kes Billion 32% H of allE AFxD LINE • The diaspora flows account for client volumes W I L L SIT H E R E +51% Fx Trading Income 863.2 570.5 +77% 583.8 (68%) 6.2 Other FX 433.6 Flows (7
Slide 42: Focus Area 6: Asset Quality
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 6: Asset Quality Split by market segmentation Split by economic sectors Building & 100% 100% Mining & Quarrying construction Agriculture 3% 6% Manufacturing Personal 22% Financial services 3% Consumer 4% 3% household 21% 4% 2
Slide 43: Focus Area 6: Asset Quality
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 6: Asset Quality NPL’s –Industry vs EGH Plc as at December 2020 NPL per sector as at December 2020 Industry-Kenya Group 15.5% 13.6% 14.1% 12.7% 13.1% 12.0% 11.0% 10.9% 10.7% 11.0% 10.4% 9.1% 9.0% 4.6% 5.4% 3.2% Agriculture Co
Slide 44: Focus Area 6: Asset Quality
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 6: Asset Quality v Contribution to total provisions as at December 2020 Coverage and provisions as at December 2020 52.3 Stage 1 8% 34.9 Stage 2 13.0 25% 89.4% 4.4 59.7% Provisions (Kes Bn) 16.6% 67% 1.1% Coverage (%) Stage 1
Slide 45: Focus Area 6: Asset Quality
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 6: Asset Quality As part of the Group’s commitment to support lives and livelihoods and keeping the lights of the economy on, the Group accommodated Kes 171 billion of loans. The group’s gross loan book is Kes 530 billion, so
Slide 46: Focus Area 7: Efficiency and Cost Optimization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 7: Efficiency and Cost Optimization Kes Billion Staff Cost Trend Other Expenses Trend Cost to Income Ratio Cost to Assets Ratio (Without Loan Loss Provision) (Without Loan Loss Provision) EBKL EBKL EBKL EBKL 16.6 16.5 15.7 47
Slide 47: Focus Area 7: Efficiency and Cost Optimization
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 7: Efficiency and Cost Optimization Group Net Interest Margin Yield on Interest Earning Assets % % 8.3 8.0 7.8 10.8 11.2 10.7 7.6 7.5 10.4 10.2 10.0 7.2 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Cost of Funds % 2.8 2.9
Slide 48: Focus Area 7: Efficient Financial Intermediation
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 7: Efficient Financial Intermediation 13.0 12.7% 12.6% 12.3% 12.4% 12.5 12.1% 12.1% 12.1% Equity Yield on Loans 11.9% 12.0% 11.9% 12.0 11.7% 11.6% 11.5 11.3% 11.3% 11.1% 11.2% Equity Group’s 11.0% lending yields 11.0 10.8% 10
Slide 49: Focus Area 8: Impact & Social Investment Programs
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 8: Efficient Financial Intermediation Impact & Social Investment Programs USD 465 M in Social Investment Programs YOUR HEADLINE 11% Financial Education & Entrepreneurship W I L L SIT H E R E 5% Health Equity Leaders Program A
Slide 50: Focus Area 8: Impact Investment
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Focus Area 8: Impact Investment Shared Prosperity Business Model and its Social Impact 26,304 2M 30,000 26,304 2019 Wings to Fly Graduates 25,000 • 96% secondary school completion 20,000 15,000 Scholarships T 12,488 16,168 15,168 14,168
Slide 51: Business Validation
Business Validation
Slide 52: Global Ratings and Accolades
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Global Ratings and Accolades Equity Bank Credit Rating • National Rating: B2 2020 Oslo Business for Peace Award • Global Rating: Aaa.ke/KE-1 Dr. James Mwangi. • Rating Outlook: Negative Same as the sovereign rating • Position 20 globall
Slide 53: Global Ratings and Accolades
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Global Ratings and Accolades • Bank of the Year- Kenya 2019 • Bank of the Year - Uganda 2019 • Bank of the Year - Rwanda 2020 • Bank of the Year - DRC 2020 • Bank of the Year- South Sudan 2019 & 2020 • Socially Responsible Bank in Afric
Slide 54: 2020 National Banking Awards and Accolades
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE 2020 National Banking Awards and Accolades 1. Best Overall Bank - 9 years running 2. Best Bank in Tier 1 - 6 years running Brand 3. Best Bank in Sustainable CSR - 4 years running 4. Most customer-centric bank - 3 years running 5. Bank w
Slide 55: Global Ratings and Accolades
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Global Ratings and Accolades Equity Group’s MD and CEO, Dr. James Mwangi, was honoured in the 2019 Bloomberg 50 list. This is an honorary list of fifty innovators, entrepreneurs, and leaders who have impacted the global business landsca
Slide 56: Dr. James Mwangi, 2020 Oslo Business for Peace Award
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Global Ratings and Accolades Dr. James Mwangi honouree, 2020 Oslo Business for Peace Award Honourees are chosen by a prestigious Award committee consisting of past Nobel Prize winners in Peace Economics. “Dr. James Mwangi receives the A
Slide 57: Market Validation
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Market Validation Kes Billion Market Capitalization 157.9 As at 31st Dec 2020 136.8 135.0 As at 25th Mar 2021 123.4 79.5 73.6 54.6 55.4 51.7 48.6 43.8 37.8 37.1 35.6 33.6 32.5 21.5 19.6 EQUITY KCB COOP STANCHART ABSA NCBA I&M STANBIC DT
Slide 58: Intermediation and Financial Performance
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Intermediation and Financial Performance 58
Slide 59: Balance Sheet
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Balance Sheet KES Billion FY 2019 FY 2020 Growth Assets Cash & Cash Equivalents 86.4 247.1 186% Government Securities 172.2 217.4 26% Net Loans 366.4 477.8 30% Other Assets 48.7 72.8 50% Total Assets 673.7 1,015.1 51% Liabilities & Capi
Slide 60: Income Statement
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Income Statement KES Billion FY 2019 FY 2020 Growth Interest Income HE AD59.7L I N E 73.8 24% Interest Expense 14.7 18.7 26% Net Interest Income W I L L SIT H E R E 55.1 45.0 23% Non-Funded Income 29.8 37.8 27% Total Income 74.8 92.9 24
Slide 61: RoAE and RoAA Trend
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE RoAE and RoAA Trend RoAE 28.7% FY 2019 21.8% FY 2020 17.9% 15.3% EBKL Group RoAA 4.0% 3.6% FY 2019 2.4% 2.3% FY 2020 EBKL Group 61
Slide 62: Financial Ratios
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Financial Ratios EBKL EBKL Group Group FY 2019 FY 2020 FY 2019 FY 2020 Profitability Interest Yield from Loans & Advances 11.6% 11.6% 12.6% 12.4% Interest Yield from Gov’t Securities 10.2% 10.9% 10.1% 10.7% Yield from Earning Assets 11.
Slide 63: 2021 Outlook - Group
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE 2021 Outlook - Group 2021 Outlook FY 2020 Actual Loan Growth 25% - 30% 30% Deposit Growth 20% - 25% 53% Net Interest Margin 7.0% - 8.0% 7.2% Non Funded Income Mix 38% - 43% 41% Cost to Income Ratio 40% - 45% 48.5% Return on Equity 22% -
Slide 64: Macroeconomic Environment Indicators & Trends - Kenya
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Macroeconomic Environment Indicators & Trends - Kenya 64
Slide 65: Macroeconomic Environment - Kenya
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Macroeconomic Environment - Kenya 8.00% 6.00% 4.00% § QUARTERLY GDP GROWTH – The IMF 2.00% projects the economy to grow by 4.7% in 0.00% 2021 but still faces significant risks, Q1 2 0 1 8 Q2 2 0 1 8 Q3 2 0 1 8 Q4 2 0 1 8 Q1 2 0 1 9 Q2 2
Slide 66: Macroeconomic Environment - Kenya (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Macroeconomic Environment - Kenya (continued) 8.00 7.00 6.00 5.00 4.00 3.00 § Interbank Rates – Government 2.00 1.00 payments and Commercial bank’s excess reserves continued to ensure 11-Aug-20 16-Jun-20 31-Dec-19 28-Jan-20 29-Dec-20 14
Slide 67: Macroeconomic Environment - Kenya (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Macroeconomic Environment - Kenya (continued) 6.50 6.00 § Inflation – Inflation has been on an 5.50 upward trajectory from Q3 2020. It 5.00 edged up slightly to close at 5.62% in Q4 2020 on account of a month-to-month 4.50 food and non a
Slide 68: Projected Regional GDP Growths
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Projected Regional GDP Growths Forecasts as at November 2020 8.0 6.1 6.3 5.4 5.6 4.7 4.9 3.6 3.6 3.1 0.8 -2.3 Kenya Uganda Tanzania Rwanda DRC S. Sudan 2021 2022 Source: Focus Economics & IMF 68
Slide 69: Regional Currencies Depreciation against USD
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Regional Currencies Depreciation against USD 3,800 3,790.0 3,750 3,730.0 3,715.0 3,700 -1.5% 3,664.3 3,660.1 3,650 USD/UGX 2,315.0 2,317.5 2,320.0 2,321.5 2,298.0 USD/TZS +0.1% 2,300 1,964.7 1,954.5 USD/CDF 1,950 +0.5% 1,909.2 1,700 1,6
Slide 70: Regional Outlook
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Regional Outlook Uganda § The economy started improving in Q3 on the backdrop of exports and imports growing strongly after a sharp decrease in Q2, suggesting that both foreign and domestic demand strengthened in the period amid further
Slide 71: Regional Outlook (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Regional Outlook (continued) Rwanda § The Country secured 172 new investment projects valued at $1.2 billion in 2020 and is expected to create more than 22,000 jobs once operations resume. § The fiscal deficit is expected at 8.5% of GDP
Slide 72: Regional Outlook (continued)
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE Regional Outlook (continued) South Sudan § South Sudan would benefit from diversifying its economy away from oil. Accomplishing this will require large investments in infrastructure, human development, and stronger institutions. § In Q4
Slide 73: Equity Group Holdings Plc Investor Briefing
Equity Group Holdings Plc Investor Briefing FY 2020 PERFORMANCE 73
Slide 74: Contact Details
Equity Centre P.O. Box 75104–00200, Nairobi. Equity Centre,Fax: Tel: 0763063000, 9th Floor, UpperHill + 254-020-2737276, P.O.Box 75104, [email protected], Nairobi. www.equitygroupholdings.com Tel: 0763 063 @keEquityBank 000 keEquityBank [email protected], www.equitygroupholding