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Voice of the Commonwealth - The Global Influencer

Voice of the Commonwealth - The Global Influencer

Business

African Bank eyes growth in business banking with multimillion-dollar deal

JOHANNESBURG (CU)_For several years, South Africa’s African Bank Ltd had established its focus on unsecured retail lending, when the firm’s new chief executive Kennedy Bungane shifted its strategy following his appointment in 2021. Accordingly, Bungane reintroduced business banking to the financial service provider, and is now looking to cement the firm’s entry to the sector with a multimillion-dollar deal. African Bank on Thursday, announced that it had acquired 100 per cent of Grindrod Financial Holdings, a subsidiary of JSE-listed freight group Grindrod Limited. The deal, worth R1.5 billion (US$96.2 million), will give African Bank access to Grindrod Bank’s big corporate...

Consumer watchdog’s scathing report on big banks’ treatment of Indigenous customers

OTTAWA (CU)_Back in 2019, the Financial Consumer Agency of Canada (FCAC) conducted a mystery shopping review at six of the country’s largest banks, namely Bank of Montreal, Canadian Imperial Bank of Commerce, Royal Bank of Canada, National Bank of Canada, Toronto-Dominion Bank and Bank of Nova Scotia. The review involved the use of semi-scripted scenarios by a mystery shopping firm from which individuals posed as customers and talk with...

Third of the big four banks to enter BNPL market

MELBOURNE (CU)_Over the recent years, buy now, pay later schemes have become increasingly popular among Australians, particularly after consumers were forced to rely on only shopping amid the COVID-19 pandemic. However, BNPL operators have attracted criticism from consumer advocates over the requirement of minimal credit checks, which have left vulnerable customers in a debt spiral as the cost of living goes up. Standalone operators in the BNPL market will...

Analyst commends CIBC’s approach despite negative market reaction

TORONTO (CU)_The Canadian Imperial Bank of Commerce (CIBC) recently reported its earnings for the fiscal second-quarter, in which net income for the three months that ended on 30 April reached $1.52 billion. It was an eight per cent drop year-over-year, as the multinational banking company reserved $303 million for loans that could go bad. Investors did not respond kindly to these latest set of earnings, but CIBC has been...

Business banking heads say lenders can do more

MELBOURNE (CU)_The business banking head of three of Australia’s big four banks all came to the Trans-Tasman nation within the last two years, with the objective of bringing an outsider's perspective over the operations of the major lenders. They participated in the Australian Financial Review Banking Summit held on Tuesday (31 May), under the theme ‘Funding the Recovery’. Addressing the attendees at Hilton Sydney, the three bankers spoke of a...

Nigerian banks remained resilient despite pandemic

ABUJA (CU)_Nigeria’s banking sector has remained resilient despite a range of challenged triggered by the COVID-19 pandemic, according to the chairman of the Bank of Industry (BoI), the oldest and largest Development Finance Institution currently operating in the country. These comments were made by Aliyu Dikko, during the firm 62nd annual general meeting that was held in Abuja last week. According to Dikko, Nigerian banks have managed to register a...

‘Who cares if Miami is 6m underwater in 100 years?’ banker suspended over remarks

LONDON (CU)_HSBC’s head of responsible investing Stuart Kirk was suspended by the bank this week over a speech he delivered at a London conference on Thursday (19 May). The decision was first reported by the Financial Times, after multinational financial service provider faced increased pressure to fire the senior banker over the remarks he made last week, which have since been denounced by the lender’s chief executive. The comments in...