Barclays Africa group is planning to spread its wealth management and insurance services to Ghana, one of Africa’s leading economies, a development which will signify their commitment to offering non-bank financial services to the rest of the continent in the coming years.
This latest information was shared by Barclays Africa group Managing Director, wealth management and insurance, Lanz Zulu at an event which marked Barclays Botswana Life’s five years of existence in Botswana. “Ghana (Barclays) is one of the best performing banks within our group. It makes business sense to start offering our investment and wealth management services,” said Zulu in response to BG Business questions.
All things being equal, the Johannesburg Stock Exchange (JSE) listed lender will make its debut appearance in Ghana’s wealth insurance and wealth management business in the next six months. Barclays Africa already has presence in Ghana. The subsidiary offers personal and corporate bank, to name but a few. It is highly likely that the looming expansion of Barclays Africa (wealth management and insurance) will be embedded within Barclays Ghana, as it has been the case with other subsidiaries. Zulu explained that by integrating all their banking units offers a competitive edge and assures them of clients.
BG Business understands that, once the Ghana wealth and insurance unit is established, next on the radar will be Botswana. The diamond-rich country is one of the best performing subsidiaries outside South Africa. Speaking at the same event Botswana Life Managing Director, Motshabi Mokone told guests that they have managed to operate successfully despite trading under an economically challenging environment.
In the past five years that they have been in existence, Barclays Botswana Life has managed to sit comfortably at the top three position in the life insurance industry. “This could not have been possible if it was not for the hard work of staff and indeed our customers,” said a content Mokone. Meanwhile, Zulu painted a rosy picture of the group going forward, despite the announcement that its parent, Barclays plc is pulling out of the company.
In March, the London-based banking group caught the market by surprise when it announced that it will sell its 62 percent stake at Barclays Africa. Zulu has reiterated that the bank is here to stay, and their continued expansion into Africa is testimony to that. For the year ended December 2015, Barclays Africa reported a 10 percent increase in profit. During the period headline earnings increased by 10 percent to R14 287m from R13 032m in its financial results ended 31 December 2015.