FirstRand expects full-year earnings to fall 20% due to Covid-19

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Fallout from the coronavirus and its lockdown has spurred a jump in the bank’s impairments

FirstRand, Africa’s largest bank by market value, expects full-year earnings to decline by more than 20% as the fallout from the coronavirus pandemic spurs a jump in impairments.

A full results report will be released on September 10. A “materially higher credit-impairment charge” is being driven mainly by forward-looking assumptions to model expected credit losses, while there has also been a deterioration in its lending books, it said.

 

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