Banco Macro
Banco Macro managed to steer its way out of the 2001/02 Argentine crisis through a programme of strict cost control and improvement of efficiency, as well as a carefully managed integration of its acquisitions.
Since then, the bank has enjoyed a period of organic growth, with a small headcount reduction, enabling it to boost profits by 36% in 2005. It also established new credit policy metrics because previous measurements, such as credit history, no longer proved useful due to the high levels of default during the crisis.
On the corporate lending side, Banco Macro began tightening up credit policies by focusing more closely on potential lenders’ ability to repay based on the quality of their business. The 20% RoE and 5% non-performing loan (NPL) ratios are impressive for a Latin American bank.
Banco Macro has gained recognition as a leader in the international market and was the first Argentine company since 1997 to make an international equity offering on the NYSE, which was seven times oversubscribed.
CEO Jorge Horacio Brito says: “Banco Macro is perfectly positioned in Argentina’s banking sector, taking advantage of the country’s economic bonanza. In the past 10 years, it was able to grow impressively, both organically and inorganically, benefiting from the consolidation process in Argentina’s banking sector after the Tequila crisis. We are confident that Banco Macro will continue with its commercial strategy and will be seen as a reference in our banking industry, gaining market share, improving its profitability and creating additional value to its shareholders.”
