NMB reaps over 100bn/- in profit

The National Microfinance Bank (NMB) pre-tax profit has slightly gone down by some 7.0 per cent, but continue to maintain its pole position as the most profitable bank.

The bank in the first half of this year generated a pre-tax profit of 110.03 bn/- in this year's first half slightly below 117.88 bn/- of same period last year.

The profitability level attained in the first six months are indicating that the bank will surpass its own full-year profit gained last year of 156 bn/-.

The profitability was somewhat chewed down by operation expenses that went up by 6.5 per cent after expansion that saw the network expanded to reach 167 branches from 154 branches.

The expenses also went up after the number of workers increased by 99 to 3,028 staff at the end of June.

The NMB's financial statement shows that the bank net interest income has gone down by 4.2 per cent to 179.96 bn/- while non interest income rose by almost 2.0 per cent to 80.48 bn/-.

The loan portfolio went up to 2.16 tri/- as at the end of June from 2.07tri/- at the end March the same year while deposits stands at 3.09 tri at the end of this June.

The listed bank at Dar es Salaam Stock Exchange (DSE) maintains prudent lending as its non-performing loans ration is still one of the lowest at 2.8 per cent compared to the industrial rate of 5.0per cent.

The nearest bank closes to NMB profit is CRDB which posted a pre-tax profit of 92.5 bn/- which went up from 58.81 bn/- of same period last year.
Source: Daily News, reported by Abduel Elinaza, from Dar es Salaam, Tanzania
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