₦airaland Forum

vanitybutiwanti:
Banks use customer deposits to invest in lucrative opportunities, generating significant returns. For instance, they invest in money market instruments like bonds and treasury bills. In fact, a large bank like Zenith can invest ₦200 billion in government bonds at 20% interest, earning ₦40 billion effortlessly.

Additionally, banks make money from foreign exchange transactions and lending to multinationals and states. A notable example is the ₦195 billion loan provided by Zenith Bank to the Rivers State government to execute the Ring Road project constructed by Julius Berger ¹. Assuming a 25% interest rate, the bank would earn substantial interest from this loan.

Banks also generate revenue from bank charges and investing in underpriced assets and business opportunities. They often hire certified financial analysts to scout for these opportunities locally and abroad. For example, an investment banking firm's ₦24 billion stake in an oil and gas company, Aradel, grew to over ₦350 billion in less than two years.

As the saying goes, 'Cash is king' - with ample cash, the possibilities are endless. If only I had ₦100 billion, I'd invest in a Nigerian bank!

perfect answer. thanks

flexyrule:
Only sales of FX can cater for all the items that you listed.

now this is more of what i need. am only worried about the continuity of their operations because i have investments with them. i care about their continuity. zenith bank gives me 9 percent while my useless UK bank gives me less than 1 percent interest. Naija banks are better than UK banks

Mexyz:
Don't mind that guy and his lies o.
He is speaking ignorantly.

right lol

Difrent:
Go back and read my submission. They are mostly outsourced, not real Zenith staff

do they work for free ?

Difrent:
Any zenith Bank branch you see up to 30 worker is probably the HQ.
Those guys don't employ that much, most branch have less than 5 real staff, na outsource full

those ones in lekki and vi ? They will have like 8 behind counter, like 4 at customer service, like 4 at back room counting money, go upstairs there is like 10, then you see like 4 security and 2 cleaner. That’s a total of 32 staff. This is standard in every zenith bank I have been to

FreeStuffsNG:
Haba, I have answered your question sir. Beyond the basic banking business model is now the power of leverage on technology I drew your attention to. I believe you already know the basics of how banks everywhere in the world make money by keeping money for you and loaning it at a margin to customers. They also use your money to buy fixed income instruments.

they only loan to rich people and the rich people they lend it to never payback and so that can’t be a dependable source of income for them

FreeStuffsNG:
Hahaha.....Banking business is a profitable business everywhere in the world if it's well managed. Please read up on the main area banks make their money.

A single branch may be serving a lot of customers and high networth customers. Besides, banking business now runs 24/7 unlike the days of only brick and mortar banking.

you no answer kweshun oooo ahhh i guess its not your expertise

I need a question answered that I have always wondered about. I walk into zenith bank and there are about 30 visible workers. Am sure each draws an average salary of 300k per month that’s 9 million Naira a month in salary’s alone. Am sure they pay rent for the building and supplies and IT. Seems the running cost monthly per branch will run into 30 million Naira. Question is how do they make 30 million Naira a month plus profit ? Also remember they have to pay interests on peoples fixed deposits. Am assuming they make tonnes of money from the charges on their 966 number but is it up to 30 million a month ? Are they in the money market ? Double tripping with forex ? How do they make money to cover their expenses and then make profit ?

Quelme:
Zelensky better seek asylum far away from the reach of Russia. Zelensky must be tried for war crimes...

Zelensky curse continues....

hmmm the black sea curse

FreeStuffsNG:
Zenith Bank is one of the most profitable banks in Nigeria and the Founder is highly respected. Lately, the disheartening news coming out completely contrasts with the image of Pa Jim Ovia as an upright banker. First was Mr Femi Otedola and now this.

I need a question answered that I have always wondered about. I walk into zenith bank and there are about 30 visible workers. Am sure each draws an average salary of 300k per month that’s 9 million Naira a month in salary’s alone. Am sure they pay rent for the building and supplies and IT. Seems the running cost monthly per branch will run into 30 million Naira. Question is how do they make 30 million Naira a month plus profit ? Also remember they have to pay interests on peoples fixed deposits. Am assuming they make tonnes of money from the charges on their 966 number but is it up to 30 million a month ? Are they in the money market ? Double tripping with forex ? How do they make money to cover their expenses and then make profit ?

I am very happy with zenith bank. Got nothing but good things to say about them

congrats to donald olujimi adetsina kayode trump

kamala lule piiiii

I know that estate, it’s like backwood agungi area but the average house in that estate is 500 million Naira. Don jazzy lives there. I used to live in the area

Noneroone:
Trump has one. It's a massive red wave.

well there you have it

I have travelled and there are 3 countries in the world that have something in common, they detest rich or sophisticated people . I don’t know if it is envy or whatever it is but in these 3 countries they will hate you if you are rich or posh. Those 3 countries are the USA, the UK and Nigeria. In the USA there is a backwood country bumpkin working class majority who hate the rich and the posh and these people are in the majority, they are all over West Virginia, Mississippi, Kentucky, Alabama etc etc basically what you have in America is that the posh people move to the city so there is an illusion of poshness because media focuses on the city but in actuality majority of the country is trailer park dwelling country bumpkins who hate posh people. Kamala Harris is a posh sophisticated American woman so she has no chance with these types

Secondly she is a person of color. That’s another huge barrier she has to get past.

Finally she is a woman. Not many are ready for a female president just yet

And so as you can see ? It’s going to take a miracle for that woman to win

But back to the 3 places where they hate rich and posh people, the UK is a place where you would think poshness and sophistication is embraced but truthfully the uk is mostly working class chavs for the most part and these people hate the rich and sophisticated . It’s like a sin if you speak posh or are rich cuz they would rip into you like you killed someone. Finally naija ? You Dey posh or rich ? Oh boy you go collect taya. Naija is a working class country full of unsophisticated primitive types so they frown on sophistication and hate the wealthy. When that British girl kemi was being interviewed for the role of minister of finance see how the whole senate and country treated her like a leper cuz she sounded intelligent and posh. They were looking at her with disgust