DAR ES SALAAM: THE NMB Bank single borrower limit has increased by 29 per cent to hit a historic level, thanks to the lender's solid performance.

NMB Bank Chief of Retail Banking Filbert Mponzi said in Dar es Salaam on Thursday that the amount increased to 420bn/- in the third quarter of this year from 325bn/-, which was the highest single borrower ever issued by a financial institution in the history of the country.

"As of last September, our capital base has now reached 1.94tri/- which translates into the single borrower limit of about 420bn/- as per regulations of Bank of Tanzania," he said.

The BoT regulations allow commercial banks to lend 25 per cent of its capital," he said before signing a Memorandum of Understanding with the Zanzibar Private Partnership under the President's Office of Labour, Economic Affairs recently.

The single borrower limit figure is the legal credit limit the bank can now lend to a single borrower.

"We have so far recorded a robust year in terms of performance during the first three quarters this year and all indicators show that we will be having yet another historic year.

Our ambition is to continue growing our asset base. Overall, we forecast that our assets will hit the 12tri/- mark before the end of this financial year," Kimori said.

According to the bank's this year's quarter three financial results released recently, the bank posted a solid performance after its total assets surged by 22 per cent to reach 11.53tri/- as compared to 9.46tri/- posted during the same period last year.

Kimori noted that the bank will continue to play a leading role in accelerating the transition from cash to digital payments as part of the bank's commitment to enhance financial inclusion.

The NMB Bank profit after tax increased by 23 per cent to reach 398bn/- in the third quarter of this year as compared to 324bn/- recorded during a similar period in 2022.