BSP plans K345mil to modernise services

**Faamausili Dr. Matagialofi Lua’iufi, left, and Group CEO Mark Robinson at the meeting on Friday**.

BANK South Pacific Financial Group Limited (BSP) plans to spend about K345 million on a modernisation programme over the next two years.
It is making significant investments to establish the groundwork for future growth, concentrating on:

DELIVERING an exceptional customer experience;
MAKING significant investments in risk and compliance; and,
REALISING the benefits of its new core banking system.

Group chief executive officer Mark Robinson said during the annual general meeting in Port Moresby last week that the bank’s ultimate objective was to offer world-class services that support the region’s prosperity.
“Specifically, we are making substantial investments in technology and leveraging data more effectively to gain a deeper understanding of customer needs and risks,” he said.

**BSP staff assisting with filling forms to open the bank accounts. – Picture supplied**

“Some of the steps we’ve taken are already yielding results, such as our ability to pre-approve loans originated and processed entirely digitally. We have significantly reduced waiting times at branches, starting in the latter half of 2023, and established business banking centres in key urban areas to support our customers.”
Robinson said on balance, the fundamentals of Pacific economies were improving.
BSP also recognises the challenges in PNG which continue to impact business confidence, although the bank is optimistic that PNG’s outlook remain positive with mega-projects worth over K100 billion being renewed or in the pipeline.
He said BSP had already experienced the benefits of the Porgera mine reopening this year. It anticipates to benefit more as Porgera becomes fully operational as it is expected to deliver K1 billion (or US$250 million) in foreign exchange inflows annually to PNG.
Meanwhile, highlight of BSP’s performance in 2023 include:

Participants attending the BSP annual general meeting last week.
AN eight per cent revenue growth across all key business lines of the Group;
OPERATING expenses grew by about 10 per cent, which was anticipated given the increased investment in technology to improve its capabilities;
PROFIT growth by eight per cent to K1.7 billion;
STATUTORY net profit declined by 18 per cent, due largely to a K209m negative impact of the increase in the company tax rate in 2023; and,
ASSETS grew by 9.5 per cent to K37 billion, driven by a robust 12 per cent increase in lending.