Business
UPDATE ON COVID-19
UPDATE ON COVID-19.
About this update from Asa International Group Plc
[{"type":"text","content":"\n \n \n RNS Number : 7454M\n ASA International Group PLC\n 13 May 2020\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n 13 May 2020\n \n \n \n \n \n \n \n ASA International Group plc (the \"Group\")\n UPDATE ON COVID-19, DISCUSSIONS WITH OUR LENDING INSTITUTIONS AND FINANCIAL AND OPERATIONAL PERFORMANCE\n Amsterdam, 13 May 2020 - ASA International, (\"ASA International\", the \"Company\" or the \"Group\"), one of the world's largest international microfinance institutions, today provides the following updates, in addition to the announcements on 30 March and 16 April 2020.\n \n \n · \n Proactively managing the impact of COVID-19 on our operations, focused on the health and safety of our staff and clients\n \n \n · \n The impact of COVID-19 was limited to the last two weeks of Q1 2020 and primarily affected client growth and outstanding loan portfolio (\"OLP\"). 42 new branches were opened in Q1 (up 11% Y-o-Y, up 2.2% Q-o-Q) with 1,937 branches serving 2.5 million clients (up 13.4% Y-o-Y, flat Q-o-Q), OLP of USD 393m (up 11.1% Y-o-Y, down 4.5% Q-o-Q) and PAR>30 at 2.1% (up from 1.3% Yo-Y, up from 0.6% Q-o-Q)\n \n \n · \n COVID-19 related restrictions in many of the countries where we operate have led to more challenging trading conditions in Q2 2020, leading to lower collections and limited credit issued\n \n \n · \n Recently, lockdowns in Pakistan, Ghana, Kenya, Nigeria, Myanmar and Sierra Leone have gradually begun to be relaxed, which has allowed our field operations in these countries to re-open their branches. Operating performance has been in line with expectations, with collections gradually returning to customary levels\n \n \n · \n Liquidity position remains strong: as of 1 May 2020, we had USD 87m of unrestricted cash and cash equivalents across the Group\n \n \n · \n Possible limited moratoriums on principal repayments in India and Pakistan may be available, which, dependent on the availability of new funding, the Group may seek to utilise to help mitigate the repayment challenges some of its clients may face and meet expected increased demand for loans\n \n \n · \n Due to the impact of the COVID-19 pandemic on the Group's ability to collect all dues from its clients and the more limited repayment capacity as they emerge from the end of the lockdown...