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Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Jidefido(m): 6:25am On Oct 17, 2015
Founded only Twenty five years ago, Guaranty Trust Bank has grown to become one of Nigeria’s foremost banks. She is Nigeria’s most profitable bank and one of her largest banks. A year before that, Tayo Aderinokun (Uncle T as he was fondly called) and Fola Adeola decided to form an organisation in which all its employees upheld the highest ethical and professional standards and provided excellent customer service. As cliché as this sounds today, Twenty five years ago, Nigerian banks were the epitome of poor customer service, lack of professionalism and questionable ethics. By this singular focus GTBank became the darling of many corporates and multinationals. When GTBank commenced operations, its excellent customer service culture and professionalism was unprecedented and helped to carve a niche for the bank in the industry.

In the first 10 years of operating all managers were personally trained and mentored by the co-founders with particular focus on the Bank’s stance on ethical issues, customer service as well as equipping these managers with the requisite professional and technical tools needed to perform excellently. These managers and staff were privy to decisions taken by management and many a time, service development, lending decisions and customer related decisions were agreed on through highly interactive and cerebral group meetings.

Despite potential gains and it being common market practice, GTBank refused to transact with unethical clients, thereby excluding a large chunk of business from its books, especially business from the Government sector. They did not even have a Public Sector Business Unit until after 8 years of operating. This stifled their ability to grow quickly in the beginning, however, there were able to successfully grow a brand that was synonymous with excellence on every front.

In 15 years GTBank grew to become Nigeria’s most respected corporate bank with an enviable reputation for ethical conduct, customer service, professionalism and innovation. True to its mission statement, GTBank became a team driven to deliver the utmost in customer service and became synonymous with innovation, building excellence and superior financial performance and creating role models for society. At this point they could not grow bigger as a corporate bank and competition was thinning their margins as other banks had caught on to their strategy. Management decided it was time to re-strategize, but ruled out either a merger or an acquisition and so the decision was taken to grow organically to become a retail focused bank.

The growth of the middle class in Nigeria was a major motivating factor for this decision, and like many other decisions they blazed the trail, seeing potential that other banks would only catch on to years later. They created products that helped with personal loans, mortgages, credit cards and long term savings products amongst others.

Around this time the Central Bank of Nigeria announced measures raising the capital requirements for banks. There were 89 banks in operation at this time and only 11 were considered to be in excellent condition by CBN inspectors. Over the next two years 14 banks would wind up and the remainder would consolidate to become 25 banks. GTBank did not merge with nor acquire any bank. They searched for but did not find any bank with enough quality or one that represented their core values. In 2004, GTBank raised N11 billion from the capital market, enough to meet and surpass their capital requirements and enough to invest in their new retail focused drive.

In September 1996, Guaranty Trust Bank Plc was listed as a publicly quoted company on the Nigerian Stock Exchange and in that same year won the Nigerian Stock Exchange President’s Merit award and subsequently in the years 2000, 2003, 2005, 2006, 2007, 2008 and 2009. GTBank was granted a universal banking license in February 2000 and was later appointed a settlement bank by the Central Bank of Nigeria (CBN) in 2003. She also became the first Fitch AA- rated bank in Nigeria. In 2006, GTBank was accredited by the International Standards Organisation with ISO 9001, a mark of quality for service providers and the first by any Nigerian bank. In July 2007, GTBank became the first Nigerian company and the first African bank to be listed on the London Stock Exchange. She also became the first Nigerian financial institution to issue a US$350 million Eurobond and a US$750 million Global Depository Receipt (GDR) offer. In December 2009, GTBank successfully completed the first tranche of its US$200 million corporate bond and in May 2011 successfully launched the first non-sovereign benchmark bond from sub-Saharan Africa to the world.

GTBank has branches in Nigeria, Cote dIvoire, Gambia, Ghana, Liberia, Sierra Leone and the United Kingdom and currently has an Asset Base in excess of N2 Trillion, shareholders funds of over N200 Billion with over 10,000 employees. GTBank made a profit of N98 billion for the 2014 financial year and is on course to double that this year. GTBank’s business ties extends across all continents with over 15 overseas correspondent banks and finance institutions which include HSBC, Citibank, Bank of China, JP Morgan Chase and Deutsche Bank, Afrexim Bank, and BNP Paribas.

GTBank has always built attractive branches, which is line with its policy on improving the customer experience and its image as a provider of quality service. GTBank has unarguably the most aesthetically beautifully designed branches by any Nigerian bank. This helped them to attract customers from all classes of society. Despite their prompt service, GTBank branches across the nation are always full as most customers prefer to bank with GT despite the presence of other banks in close proximity.

Over the years, GTBank has been able to lower considerably its operating expenses through the deployment of technology. They were the first Nigeria bank to spend a considerable amount of money on technological solutions, pre empting the banking technological shift. Today, the GTBank alternative banking channel is one of the most robust platforms in the banking industry and many Nigerian banks have copied the GTBank model. Only recently they introduced products such as GTEasySavers, GT Mobile transfer, and Airtime Top Up. These mobile banking products offer convenient ways for customers to access their accounts, potential customers to open new accounts using their mobile phones or smartphone devices, view their account balances, transaction history and transfer funds.

The current Managing Director/CEO of the bank, Mr. Segun Agbaje said, “We will continue to leverage on technology to make banking, especially payments and transfers, faster, safer and more convenient for all our customers. This service addresses the electronic banking requirements of our customers, irrespective of their phone type”.

Not only has GTBank revolutionized banking in Nigeria, GTBank has become the bank every bank wants to be.

http://www.theheraldng.com/gtbank-the-envy-of-every-financial-institution-in-nigeria/

Cc lalatiscala

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Jumkye: 6:53am On Oct 17, 2015
Great.

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Yellowson(m): 6:54am On Oct 17, 2015
grin

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Nobody: 7:00am On Oct 17, 2015
Wow.. What a success story. I will really love to identify with this bank contribute to and be part of the next success story in GT Bank.

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by AirstarKane(f): 7:37am On Oct 17, 2015
Hmmm interesting but recently when I went to one of their branch for a transaction there were only two tellers attending to customers which I think it's not fair because they now have more customers I also think the should employ more hands. smiley I love businesses that stand out.

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Nobody: 8:03am On Oct 17, 2015
G.T needs more branches. Here is an evidence of an overcrowded GT bank.
Below is a GT bank branch compared to other banks located side by side each other.

GT bank happens to be the only crowded one compared to the other banks.

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by scribble: 10:26am On Oct 17, 2015
Brandnew2:
G.T needs more branches. Here is an evidence of an overcrowded GT bank.
Below is a GT bank branch compared to other banks located side by side each other.

GT bank happens to be the only crowded one compared to the other banks.


GTBank has one of the best branch networks in Nigeria.

I think a lot of the places where you see crowd at gtb branches is in the areas where people have low technological know how and dont know how to use mobile banking, internet banking, and other cashless banking products and services

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Nobody: 10:32am On Oct 17, 2015
Unfortunately, you just described about 60% of Nigerians.

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by Bank450(m): 10:36am On Oct 17, 2015
Pls take your time to go through it The Curious Case of The Young Generation By Femi Pedro

Sometime in 1988, I received a call from a good friend about an interesting investment opportunity with a few colleagues. After a series of meetings, it became very clear to me that we were about to embark on an audacious but incredibly special journey, and I was excited about the prospect of being a part of such a project. For almost 2 years, I worked alongside the likes of Akin Akintoye, Fola Adeola, Tayo Aderinokun (of blessed memory), Gbolly Osibodu, Bode Agusto and a few others on this investment project. As of 1988 when we began the journey, Fola was 34, Tayo was 33, Gbolly was 33, Bode was 33, Akin was 35 and I was 33. The objective: To own a BANK.

It was a bold objective considering our respective ages at the time, but certainly not an impossible task in our eyes. So we began to hold countless meetings at Fola’s residence in 1988, until we eventually shifted base to Tayo’s First Marina Trust office in Victoria Island. By late 1989, we were ready to put in our bank application at CBN, along with the required minimum capital. This effort was spearheaded by Fola and Tayo (the two brains behind the entire operation), and supported by about 40 persons (including myself), most of whom were in their early 30s and working for different organizations at the time.

The end product? We formed arguably one of the finest financial institutions Nigeria has ever seen- Guaranty Trust Bank (known as GT Bank today). The bank was licensed on the 1st of August,1990 and we commenced banking operations later that year. A group of young boys in their early/mid 30s OWNED a bank! We simply dreamt big, and turned this dream into reality.

I am taking the liberty to reflect on this chapter of my personal history against the backdrop of some of the criticism about the ages of some of President Muhammadu Buhari’s ministerial nominees. The argument being brandished about is that by nominating the likes of Chief Audu Ogbeh and Alhaji Ibrahim

Usman Jubril as ministers, our President is somehow blocking the destinies of younger Nigerians by preventing them from occupying such positions. People are quick to reference Yakubu Gowon and Murtala Mohammed as being relatively young when they ascended to power, and they argue that the same opportunities that young people had in the past are no longer available today. They also argue that around the same time we were forming GT Bank in the late eighties, there were also a number successful young entrepreneurs who distinguished themselves as well – Bola Tinubu (Treasurer at Mobil Oil), Gbade Ojora (ED Mobil Oil), Jim Ovia (Zenith Bank), Erastus Akingbola (Intercontinental), Dele Momodu (Publishing), Tony Elumelu (Standard Trust), Liyel Imoke (Politics), O’tega Emerhor (Standard Alliance Insurance), Aig Imoukhuede and Herbert Wigwe (Access) and Atedo Peterside (IBTC) are some of the noteworthy youngsters who made an impact in various fields in Nigeria at the time.

Perhaps, at play is the venting of some on-going frustrations by the younger generation today, but it is important to put things into proper perspective. Since pre-independence, the Nigerian youth have played a pivotal role in nation-building and economic development. The vast majority of the founding fathers that led the struggle for our independence were relatively young. Chief Obafemi Awolowo was 37, Akintola was 36, Ahmadu Bello was 36, Balewa was 34 and Enahoro was 27 when they led the struggle for independence after the death of Sir Herbert Macaulay.

Only Nnamdi Azikiwe was over 40 (he was about 42 at the time). Indeed, even the post-independence military hierarchy was fueled by the active participation of young persons in nation-building at critical periods of our nation’s history. The first coup in 1966 was led by a 29 year-old Nzeogwu and countered by the likes of T.Y. Danjuma, Shehu Musa Yar’adua and a few others, all in their 20s.

The subsequent coup brought a 32 year-old Yakubu Gowon into power. Many of the military administrators who governed the states under successive military governments (including our current president, Muhammadu Buhari) were in their 30s. Similarly, the major beneficiaries of Nigerian indigenization policies in the early 70s were young private sector entrepreneurs. The likes of Subomi Balogun, Oladele Olasore, Sam Asabia blazed the trails in banking at relatively young ages, while super civil servants such as Allison Ayida,

Phillips Asiodu, Ahmed Joda, Ime Ebong, Ibrahim Damcida etc held forth in public administration in their early 30s. This trend of young people playing active roles in nation building and economic activities continued well into my own generation in the 1980s and 90s, so it is not difficult to understand how we were able to muster the courage and determination to forming a bank at the time.

I have spent a lot of time mentoring, observing and interacting with young Nigerians. Today’s youth are no different from those of my generation about 30 years ago. They are faced with the same pressures, frustrations, uncertainties and life vicissitudes that we faced in our late twenties and early thirties. However, the marked difference is how young Nigerians apply themselves today.Most of us who made an impact in our early thirties came from modest means. We were not rich, and we did not have any noteworthy inheritance.

Nobody did us any favours, and the older generation did not give us a pass or a nudge in the right direction. In fact, the military administrations at the time made it extremely difficult for us to participate optimally in business, governance and politics. We did not have social media, and there was no technology to aide our goals. We were simply big dreamers determined to make a difference. We were highly enlightened and career-oriented, so we were able to force our way through the door by working extremely hard.

What some of the proponents of the argument against the older ministerial nominees, (and perhaps the older generation currently dominating the political and economic landscape) also fail to realize or remember is that even in my early thirties, we also had very established and older industrialists like MKO Abiola, Sam Asabia, Gamaliel Onosode etc, who all operated during our time. We respected them, but neither felt overwhelmed by their success, nor daunted by the prospects of climbing up the ladder. We simply forged ahead with our plans and damned the consequences. The point is nobody cleared the way for us back then, so young Nigerians today should not expect that anyone would clear the way for them either.

So what exactly needs to change amongst young Nigerians today? First, young Nigerians have to humble themselves. You have to be willing to learn the ropes and hone your craft. Around the age of 27, I left the relative comfort of a steady career at CBN to learn under the tutelage of Otunba Subomi Balogun, the visionary and pioneer behind FCMB. Working as Otunba Subomi Balogun’s executive assistant was an experience of a lifetime. He was (and still is) a well-organized and thorough individual. He strongly promoted excellence and perfection, and did not condone indolence, laziness or poor quality work.

He was also an impeccable dresser, always elegantly attired in all-white traditional wear or perfectly tailored quality suits. I picked up these virtues and adopted his style of leadership and management in my future endeavors. I was opportune to travel with him to attend corporate and other board meetings. I gained valuable and practical experiences in corporate board management and boardroom politics, which became useful tools later in my career.

Secondly, you must know your worth. Do not settle for less, and do not allow yourselves to be used by selfish political interests. Challenge the status-quo. Challenge the establishment. The youth make up a sizeable portion of the Nigerian populace. By extension, they have the loudest voices and the biggest potential. Alan Moore, a prominent British author opined that “People shouldn’t be afraid of their government. Governments should be afraid of their people”. This is especially true with regards to young Nigerians. You are more powerful than you give yourselves credit for. Our current president was victorious in large part due to the votes cast by young Nigerians, and you must continue to remind yourselves of this fact, because 2019 is already fast approaching.

Thirdly, and crucially, young Nigerians have to eliminate distractions. Do not get carried away by the allure of good living, bling, fame and fortune. Stay on the straight-and-narrow path. Distractions are the proverbial pot-holes; they slow you down from reaching your destination and damage your wheels in the process. By all accounts, social media is obviously the biggest distraction. It is a powerful tool, but can also derail you from focusing on the bigger picture. The most discerning amongst you will know how to navigate social media without hindering your ability to make significant inroads in the economic and political fabric of Nigeria. I have been impressed with what the likes of Linda Ikeji, Bellanaija, Don Jazzy, TY Bello, Jimi Mohammed, Banke Meshida-Lawal and other young Nigerians have been able to accomplish at such a young age, and it should serve as an inspiration toother young Nigerians in various fields as well.

Finally, take advantage of opportunities, no matter how small or inconsequential they may be at the time. Expect no helping hands. And when these opportunities present themselves, grab what you can. During our cabinet meetings, my boss and mentor, Asiwaju Bola Ahmed Tinubu always quipped that “Power is never served a-la-carte”. This is indeed true in the context of where young Nigerians currently are, and where they need to be.

Our nation is at a critical crossroads. The age bracket between 18-35 years constitutes the majority of our working population group, and naturally, they should be the most productive and active segment of our country’s economic activity and nation-building efforts. Unfortunately, the youth of today are indolent, unemployed and generally incapacitated. Some are unable to make ends meet, and have not shown any sustained interest in holding leadership position. They abstain from holding governance positions at the local, state and national levels. Ironically and confusingly, they allow themselves to be used as street (and very recently, internet/online) thugs, miscreants and protesters to pursue the selfish agendas of older politicians.

Despite all of this, I have a lot of faith in the youth of today, but young Nigerians need to start having faith in themselves as well. You need to wake up from your slumber, and pilot the much-needed change process urgently. You must be willing to side-step all the pit-fall distractions and refocus your collective mindsets. You have to be guided by a desire to excel, and you must continue to push yourselves to grow in a tough, competitive and cut-throat environment that still exists today. Who knows? With a bit of conviction, commitment and guile, you may be able to produce a young, vibrant and dynamic Nigerian as our President much sooner than you think!

Otunba Femi Pedro is a Banker and an Economist. He is a former Deputy Governor of Lagos State, and the former Managing Director of First Atlantic Bank (FinBank) Plc. He can be reached via the Twitter Handle: @femipedro

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Re: Gtbank: The Secrets Behind The Success Of Nigeria’s No. 1 Bank by scribble: 11:23am On Oct 17, 2015
lalasticlala pls do the needful

grin

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