NMBZ Holdings Limited has underpinned its growth trajectory by extending foreign lines of credit, among other strategies under implementation.
Since 2019, NMBZ has offered a number of credit line,s which include a US$19 million facility targeting exporters. Last year, the group said it was negotiating for a US$75 million credit line to support key economic sectors.
Presenting performance for the year ended December 31 2024, NMBZ company secretary, Violet Mutandwa, said the strategy has gone a long way to solidify the bank's position.
"Over the past 12 months, Business Banking has solidified its position in key market segments, particularly agriculture, mining, tourism and manufacturing. Our continued focus on foreign lines of credit with favorable tenors has enhanced our reach and impact," she said.
The institution managed to expand its portfolio while maintaining high asset quality, demonstrating resilience in a challenging economic environment on the back of a commitment to sound risk management practices, including rigorous underwriting and credit monitoring.
"As we move forward, we are putting greater emphasis on deeper, multi-product client relationships, rather than monoline lending-only relationships. This will enhance our value proposition to customers across all of our channels. We remain dedicated to supporting the growth and financial stability of our customers across diverse sectors," she said.
During the period, revenue was ZWG 2,4 billion, up 26% from ZWG 2 billion for the prior year, largely driven by gains on foreign exchange positions.
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The group achieved a profit after tax of ZWG 42,8 million compared to ZWG1,2 billion for the previous period. Total assets closed the period at ZWG 7,1 billion, up 8% from ZWG 6,5 billion for the comparative period, largely funded by an increase in foreign credit lines as well as deposits.
The group raised foreign lines of credit of over US$ 65 million during the period under review.
"The group will continue to forge ahead with implementation of its growth strategy despite headwinds in the operating environment. Sustainability will remain a key focus area as well as client and stakeholder engagement.
"Fundraising will remain a key area of focus to ensure client financial needs are met, especially in terms of patient capital and CAPEX financing," added Mutandwa.
