Bank South Pacific (B.S.P.) Samoa has recorded a net profit after tax of over $16 million tala for the 2021 financial year despite a challenging year impacted by a contracting economy. 

Details of the bank’s performance in the last financial year were highlighted in the B.S.P. Financial Group Limited Annual Report 2021 which was released at the Annual General Meeting in Port Moresby, Papua New Guinea (P.N.G.) last week.

According to the annual report, B.S.P. Samoa had a “robust financial performance” in 2021 despite the Samoan economy contracting by 10 per cent due to the adverse impacts of the COVID-19 pandemic which led to border closures.

The report said B.S.P. Samoa has declared a net profit after tax of $16.7 million tala which “generated a return on equity of 17.3 per cent and return on assets of 2.7 per cent. 

“These results were achieved through a prudent growth strategy, while maintaining acceptable asset quality and a strong balance sheet position,” reads the annual report.

“The economic outlook for Samoa continues to look challenging, with a slight improvement anticipated for 2022. 

“B.S.P.’s strategic focus for 2022 will be committed to helping our customers and community rebuild and harness growth opportunities through operational efficiencies and overall customer experience, as we strive to maintain our number one (#1) position in Samoa.”

The bank has identified “resilient customer care” and “reliable electronic footprint” which it hopes will lead to innovative and cost-effective financial services, which the annual report said are priorities for the bank.

The annual report also gave an update on the progress of the bank’s 3D Secure Authentication Project, in its strive to provide its customers with a secure digital banking solution.

“The launch of the 3D Secure Authentication project provided an enhanced, secured and convenient digital solution for our customers, who can now complete online purchases using One Time Passwords (OTPs) received via their mobile phones. 

“This feature complemented our Internet Banking platform and a network of 26 ATMs, 45 agents, 400+ EFTPoS terminals.”

Despite Samoa’s challenging economic indicators, B.S.P. said it remained committed to its various community projects in Samoa this year 2022.

“In 2021, we contributed to over 50 projects ranging from health, sports, tourism, environment, youth development, home for the elderly, gender, and family violence, amongst many. 

“Our key community project in 2021 focused on education, promoting literacy through the construction of the new library for Vailele Primary School.

“Our success is predicated upon our staff dedication towards delivering superior services to our customers. 

“The strength of our culture is reflected in the way we embed a values-driven approach to our work. 

“The staff in both Samoa and P.N.G. and all our customers are acknowledged for their support of making possible good results in 2021.”

In terms of the banking group’s overall performance for 2021, the annual report stated that 2021 revenue increased by 10.3 per cent to K2.4 billion and were driven by earnings on investments and foreign exchange income, which had increased by 45.8 per cent and 13.0 per cent respectively.