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Johannesburg - The mass-market lender African Bank Investments [JSE:ABL] said on Wednesday loans grew 13% in the nine months to June, and forecast steady performance ahead.
Lenders in South Africa have struggled to post convincing growth as unemployment and personal debt remain high following a recession that ended last year.
Abil, which also owns furniture retailer Ellerines, said in a trading update on Wednesday it was helped by growing demand for credit cards and strong merchandise sales in the run-up to the 2010 soccer World Cup.
The bank said as of the end of June, its gross loans grew 13% to R22.9bn, on a year-to-date basis.
The lender, whose financial year begins in October, gave few absolute or comparative figures about its performance.
Non-performing loans of as a precentage of loans "reduced modestly" in the April-June quarter, the bank said.
Sales for the quarter increased by nearly 30%, it said, another sign that South Africa's slow recovery may be gaining traction.
Shares of Abil are up about 3% so far this year, roughly in line with the benchmark all-share index.
- Reuters
