BAI is actively engaged in providing an attentive service to individual customers and offering innovating solutions to support SMEs, while sustaining an undeniable position among corporate organisations and public institutions.
A team of dedicated and expert professionals ensures the bank’s presence both in national and international markets.
BAI has led the efforts to introduce world class practices to the Angolan market mainly through initiatives to improve the efficiency and effectiveness of internal processes, the modernisation of IT infrastructure and risk management; thus, improving its responsiveness to client demands and the solidity of its balance sheet.
Since the end of 2007, BAI has been implementing a project whose main aims include the improvement of the quality of its services through the reengineering of business processes and the modernisation of IT systems not only in its operation in Angola, but also in its international subsidiaries. The adoption of new IT systems, which is well under way, includes the replacement of the core banking system, the introduction of an ERP solution and the implementation of control systems.
Moreover, BAI created new organisational units in order to better manage its risks. For instance, in 2008 BAI created the first Information Technology Security Department in the Angolan banking system in order to monitor and protect all the information systems in place in the bank.
Finally, BAI has implemented a set of internal rules in order to prevent money laundering and terrorist financing. This move by the bank came ahead of any laws passed by the government or central bank regarding these issues.
With 66 branches in Angola, BAI is also present in Portugal, through BAI Europa, in Cabo Verde, through BAI Cabo Verde, S. Tomé e Príncipe and Brazil through partnerships that ensure BAI businesses.
Important operations
Over the last eighteen months BAI has either participated or committed to participate in the financing of major public and private initiatives in the most varied sectors of the economy. The major transactions and deals BAI engaged in are:
– In February 2008 BAI got involved in the financing of a logistics programme to support food distribution in Angola. The bank provided $400m to finance the programme.
– In July 2008, the bank led a syndicate to finance the operations of the largest private oil company in Angola in the amount of $92m participating in it with $60m.
– In August 2008, BAI financed the purchase of buses for public transportation in the amount of $375m.
– BAI was mandated to arrange a $168m syndicated facility for the implementation of a sugar, alcohol and energy mill. In September 2008 the facility was available and BAI participated with $57m.
– In 2009, the bank signed a contract with the government to finance the production and distribution of 40 million school books. The credit facility amounts to $150m. One of the main purposes of the initiative is to revitalise the printing industry in Angola and contribute to reduce the imports of school books.
Internationalisation
Despite the fact that it is still quite young, BAI has always acted in a proactive way, and today – besides being the largest Angolan bank in term of assets – it is also the most internationalised Angolan bank, being present in three continents: Africa (Cape Verde and São Tomé and Principe) Europe (Portugal) and South America (Brazil). Some of these are highly competitive and regulated markets in which BAI has achieved some success. An example of BAI’s international operations success is the increase of BAI Europa share capital, during 2008/2009, by €22.5m to finance its rapid growth, in a period of world financial and economic crisis.
Corporate social responsibility
BAI’s management understands that the banks’ success depends on the commitment it has with the community in order to contribute to its development. With regards to CSR, BAI has chosen to provide financial services to the poorest and support and promote mainly cultural and sports initiatives. For instance, in 2008, BAI increased its capital in NovoBanco by $5m. NovoBanco is a small microfinance bank where BAI holds a majority stake of 85.7 percent in partnership with Chevron Sustainable Development (14.3 percent). BAI’s investments in NovoBanco follows a CSR rationale, since it aims at providing banking services to the poorest sections of the Angolan population, allowing BAI to share its profits with the community. Moreover, in the last 18 months BAI donated $1.7m mainly to support and promote cultural and sports activities. The activities included, for instance, BAI’s resumption of its BAI Arte brand, a platform to share with the community the works of the most established Angolan artists through exhibitions. BAI’s involvement and support of sports activities have secured it a deal with the Angolan Basketball Federation to name the national basketball championship as BAI CUP for the next three sports seasons.
In 2008 BAI added another country to its opereations with the opening of BAI Cape Verde, a bank where it holds a 71 percent stake. BAI is also present in Portugal with BAI Europa (99.99 percent stake), Brazil with BPN Brasil (20 percent stake) and São Tomé and Príncipe with BISTP ( 25 percent stake).
The 48 percent increase in the number of clients is partially explained by the 47 percent increase in the number of branches. Accounting for the enlargement of BAI’s client base was also the introduction of a very attractive savings solution in local currency, “Rendimento a Campeão”, a 90 days Certificate of Deposit in local currency yielding 10 percent p.a. In 2009, BAI followed on its tradition to innovate offering the best terms in the Angolan market for a 90 days Certificate of Deposit in local currency with the introduction of a product yielding 15 percent p.a. and with a prize (an apartment) at stake.
BAI kept furthering market penetration, by increasing the number of ATM’s and Points of Sale (POS’s) which grew 77 percent and 178 percent respectively. The bank’s sales force managed to persuade an increasing number of businesses on the advantages of its POS’ solution terms. Though the commissions charged per transaction are similar for all banks, BAI, as opposed to its competitors, does not charge a maintenance fee for POSs.
The number of debit cards in circulation grew from 74.979 in 2007 to 133.830 in 2008 as the bank strived to provide a card to each of its clients.
