Tanzania Daily News (Dar es Salaam)

Tanzania: Small Banks Lead Way in Deposits Growth

SMALLER and new mid-sized banks have taken the lead in deposit growth as measured by percentage increase. The Tanzania Banking Survey 2012 notes that their growth in deposit was most robust. Njombe Community Bank recorded the biggest deposit increase of 853 per cent.

Deposits at Ecobank Tanzania and Access Bank Tanzania rose 188 per cent and 107 per cent, respectively. Other significant movers in terms of deposit growth were Citibank (61 per cent), BanABC( 57) and Bank M (54). Customer deposits in the banking system increased by about 2.2trn/- in 2011, representing a 17 per cent jump in one year.

The growth, between 2010 and 2011, saw the top ten deposit holders holding 84 per cent of total deposits, says the Tanzania Banking Survey 2012. Deposit growth at FBME, CRDB and Standard Chartered averaged about 20 per cent, while those at NBC increased by five per cent. NMB saw a modest two per cent drop in deposits. Stanbic and Citibank advanced one position each in the ranking, to sixth and eighth respectively who both decline one position compared with the previous year.

In an interview with 'Daily News' on Monday, the Tanzania Securities Chief Executive Officer, Moremi Marwa, said there are some positives including banks having money to invest and also enough liquidity to give loans to businesses. The government is also able to get money through borrowing treasury bonds and treasury bills.

Ads by Google

Copyright © 2013 Tanzania Daily News. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.