Fidelity Bank Comes Clean: ‘Etisalat Nigeria Owes Us N17.5 Billion’

Nairametrics| Fidelity bank, is now the latest Nigerian bank to come clean on Etisalat Nigeria’s indebtedness to it. The bank says Etisalat Nigeria owes them about N17.5 billion.

GT Bank MD, Segun Agbaje yesterday during a conference call revealed that Etisalat owed the bank N42 billion. Access Bank also confirmed a N40 billion debt by the telecoms firm a few days ago. That leaves 10 Nigerian banks, that are yet to disclose how much Etisalat owes them. 13 banks gave a $1.2 billion loan to the firm in 2013.

Here are details of Etisalat’s debt to Fidelity Bank:

  • Etisalat owes Fidelity Bank N17.5 billion ($56 million)
  • Loans to the communications sector totalled N48.7 billion or 6.4% of Fidelity’s loan book as at Q3 2016.
  • The Etisalat loan is thus 36.4% of Fidelity’s loans to the communications sector
  • The bank appears to be in no danger, as the loan is just 2.3% of its loan book which stood at N757 billion as at the third quarter of 2016.
  • Impairment losses for the bank were N7.9 billion as at 9M 2016.

Fidelity bank shares closed at 82 kobo yesterday on the Nigerian Stock Exchange (NSE). Down 2.38% year to date.

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