Zimbabwe: NMB Total Deposits Grow 22 Percent

14 September 2021

LISTED financial services provider, NMB Bank, has seen total deposits registering a 22 % growth at the back of good financial performances despite the odds presented by Covid19.

Presenting the bank's performance for the first half of 2021, NMB Bank chief executive officer, Ben Washaya said aggressive banking strategies prompted the deposits surge.

"Total deposits increased by 22% from $7, 5 billion as at 31 December 2020 to $9,1 billion as at 30 June 2021 as a result of aggressive deposit mobilization and the positive impact of our digital platforms," he said.

The group's total assets increased by 15 % from $12, 8 billion as at 31 December 2020 to $14, 7 billion as at 30 June 2021 mainly due to a 36 % increase in loans and advances and other assets and a 14 % increase in cash and cash equivalents.

As a result, the group's gross loans and advances increased by 67 % from $2, 9 billion as at 31 December 2020 to $4, 9 billion as at 30 June 2021 mainly due to increased advances during the period under review in view of the bank's growth trajectory.

Speaking on the operating environment, Washaya said ," The economy has remained relatively stable following the stability of the exchange rate in the second half of 2020 after the introduction of the Reserve Bank of Zimbabwe administered Foreign Exchange Auction system on 23 June 2020 which has s largely resulted in the significant easing of the country's inflation."

The Bank's fee and commission income increased by 128 % as a result of enhanced digital platforms and increased digital touch points.

Net interest income increased by 105 % due to significant increases in the volumes of business recorded by the Group during the period under review. The increased business volumes also resulted in a rise in the group's operating costs of doing business, although there were some non-recurrent one off expenditure items incurred during the period under review.

NMBZ is currently running with four strategic pillars namely, broadening the group structure, building a digital bank, customer value and enhanced shareholder value and employee value which have all been commended for the satisfactory performance during the period under review.

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