Guatemala’s Banco Industrial continues to expand the distance that separates it from other banks in this Central American country.
The bank made major gains in the 12 months ending in June 2023, with net profits up by 30.3% 2.6 billion quetzals, deposits by 10.5% to 108 billion quetzals and total loans by 10.7% to 77.2 billion quetzales. Its past-due ratio was 0.8%, nearly half that of the 1.5% for the Guatemalan financial system.
Banco Industrial represents 29% of assets in the financial system, which reached 503 trillion quetzales in June 2023. It had 28% of the 276 trillion quetzals in loans and 27.6% of 392 trillion quetzales in deposits during the same period. It has always been a leader in the corporate lending sector, which represents 75.1% of its loans, but has been making big inroads in the retail sector. The amount placed through consumer loans has increased by nearly 21% since 2019.
“The historic results from last year are a reflection of a strategic alignment to generate value for customers, the community and our shareholders.”
The bank is following a digital-physical strategy, opening new branches and other points of services, while simultaneously adopting cutting-edge technology.
Banco Industrial had 737 branches and nearly 4,000 banking agents to facilitate transactions. Not surprisingly, it has the largest ATM network in the country.
At the same time, Lara says the bank “is the most important financial institution in the country to lead the digital transformation.”
It launched several new tech products in the year ending in June 2023 as part of its continuing evolution. Among the launches are a digital savings account that allows customers to open an account without the need of a minimum balance and a payroll-advance function that lets salaried employees with direct deposit request up to 25% of their monthly pay. Customers are now able to request credit cards using an App.
The bank also enhanced its existing Ebi Pay tool, allowing it to link to a public platform where customers can purchase goods and services from registered entrepreneurs.
The newest addition, unveiled in June 2023, is a QR mobile banking App that allows quick transactions by scanning the QR code.
Lara says the changes are part of the Banco Industrial’s philosophy to “continue growing strongly, supporting and fostering regional growth with a bank that is more agile, digital and focused on its customers.”