The Banker’s Top 100 African Banks ranking for 2021 highlights the impact of coronavirus pandemic on the continent’s largest lenders, as lockdowns and a slump in commodity prices hit government and bank balance sheets alike.
The impact of Covid-19 was particularly pronounced in South Africa, where some of the world’s most stringent lockdown restrictions amplified pre-existing economic challenges to hammer the economy, which shrank by 7% in 2020. Standard Bank, which retains its position as the largest lender in both the country and the continent, was the only one of the South African big four to improve its Tier 1 capital position, with a 5.8% strengthening. FirstBank and Absa remain in second and third place for 2021, despite a 15.5% and 2.1% drop in Tier 1 capital.
