AfrAsia Bank delivers a solid performance for the year ended 30 June 2026

 

 

 

The Bank delivered a resilient performance for the year ended 30 June 2026, with profit before tax increasing by 15% year on year to MUR 8.9bn. This performance was mainly supported by sustained growth in net trading income, net interest income and net fee and commission income, partly offset by higher operating expenses.

 

Net interest income rose by 15% to MUR 8.3bn, mainly driven by continued growth in interest-earning assets. The Bank increased its exposure to relatively higher- quality assets while maintaining prudent risk management, supporting higher interest income during the year.

 

Net trading income increased by 17% to MUR 2.5bn, compared with MUR 2.1bn in the previous year, and represented 21% of operating income. The growth was mainly driven by the Bank’s active foreign exchange business, supported by sustained client activity, prudent treasury management and disciplined trading of foreign currency exposures amid evolving market conditions.

 

Net fee and commission income grew by 7% to MUR 1.1bn, from MUR 1.0bn in the prior year, driven by higher commissions on overseas transfers and card-related income.

 

The Bank recorded lower net impairment of MUR 184.4m, compared with MUR 403.3m in the previous year. It continues to closely monitor economic conditions when assessing the adequacy of impairment provisions.

 

Operating income grew by 15%, while operating expenses rose by 27%, resulting in a cost-to-income ratio of 24%, compared with 21% in the previous year.

 

Total assets increased by 20% year on year to MUR 341.0bn as at 30 June 2026. The strength of the balance sheet supported the growth of loans and advances as well as investment securities. Net loans and advances rose by 49% year on year to MUR 112.6bn, in line with the Bank’s strategy. Investment securities increased by 33%, from MUR 130.6bn to MUR 173.7bn, mainly reflecting higher investment in debt instruments measured at amortised cost, primarily foreign securities.

 

Total deposits grew by 20% year on year, from MUR 258.2bn to MUR 310.8bn as at 30 June 2026. This growth was supported by sustained efforts to strengthen the liquidity position of the Bank, support business expansion and maintain client confidence. During the period, the loan-to-deposit ratio increased to 36% from 29%.

 

The Bank remained well capitalised, with a total capital adequacy ratio of 18.88% as at 30 June 2026.

 

 

Comments from Vishal Joyram, Chief Executive Officer of AfrAsia Bank:

“Our financial performance for the year ended 30 June 2026 reflects the strength and resilience of our business, underpinned by a diversified strategy that positions the Bank for continued progress. This performance was driven by sustainable growth in operating income and increased revenues across all business verticals. With deposits growing by 20%, the Bank delivered strong financial results, reflecting the continued confidence of our clients. These results reaffirm the effectiveness of our relationship-driven approach and the value of our ongoing investment in our people.

 

Growth in loans and advances reflects our disciplined allocation of capital to high-value opportunities, supported by stronger relationships with existing clients and new customer acquisitions in Mauritius and internationally. With The Access Bank UK as our anchor shareholder, we have enhanced our value proposition across key markets by combining broader market access with an expanded product suite, including trade finance. This wider footprint enables us to better connect clients to global markets while reinforcing Mauritius’ position as a trusted international financial centre.

 

Looking ahead, we remain committed to building a more connected, agile and future-ready bank, while preserving the relationship-led approach that defines our business model. Technology, including our enhanced Online Banking platform, remains central to our operational excellence agenda and our efforts to improve the customer experience. We move forward with optimism and gratitude for the continued trust of our clients, partners and shareholders, and for the passion and dedication of our employees in serving them.”