Wegagen Bank to Raise Paid-up Capital to 20bln Birr

ADDIS ABABA – Wegagen Bank, one of the 30 private commercial banks in Ethiopia, has decided to increase its paid-up capital to 20 billion Birr.

The board of directors proposed the motion to raise the paid-up capital to the bank’s shareholders during their meeting on Saturday.

The motion has been approved with a majority vote, announced the bank in a statement issued on Tuesday.

Wegagen’s officials plan to raise the paid-up capital to 20 billion Birr in the next five years through the sale of shares to the public and current stakeholders.

The bank’s paid-up capital reached 3.4 billion Birr at the end of the 2021/22 financial year.

In the same year, the bank secured 572 million Birr in annual profit, up by 196% from the preceding twelve months. This has led the earnings per share (EPS) to jump from 4.2% to 16.6%.

The total asset of Wegagen grew by 9% to 43.1 billion Birr while its deposit mobilization increased by 8% to reach 33.9 billion Birr last year.

Wegagen Bank was established in 1997 with 16 shareholders and a paid-up capital of 30 million Birr. The Bank, with 7000 shareholders, has 5000 employees.