Tanzania's NMB profitability trend slows down

National Microfinance Bank (NMB), net profit has slowed to 112.10bn/- for the year ended September 2015, compared to 120.05bn/- posted in the corresponding period last year.

According to the financial statements published in Dar es Salaam yesterday the profit for the quarter ended September this year declined to 35,08bn/- compared to 37.52bn/- posted in the corresponding period a year before.

NMB Bank, which is listed among the privatization success stories, has its net income slowed to 271.40bn/- in the year ended in September compared to 282.80bn/- of the corresponding period a year before.

Early this month, President Jakaya Kikwete, inaugurated NMB bank’s state of the art building worth 65 million US dollars (140bn/-) with capacity to accommodate over 1,000 staff, modern rooms, canteen to cater for all staff and private bank proves the solidity and sustainability of the bank.

“NMB Bank is one of the successful and model of privatization stories. It pays dividends as well as various taxes to the government,” he noted at the inauguration ceremony.

During the period under review, the bank’s non interest income climbed to 122.63bn/- compared to 110.44bn/- posted in the corresponding period 2014. 

As the listed stock at the Dar es Salaam Stock Exchange (DSE), NMB Bank on Tuesday one of the top gainers at the price of 2,830/-, gaining 0.71 per cent. 

During the period, loans and advances to total assets increased by 54.0 per cent compared to 51.6 per cent, a year earlier.

Also gross loans and advances to total deposits rose by 72.6 per cent from 67.6 per cent in the corresponding period 2014. 

The bank disbursed loans, advances and overdrafts amounting to 2.23tri/- in the quarter ended September 2015, compared to 2.061tri/- in the preceding quarter ended June 2015. In terms of deposits, the bank managed to increase to 3.11tri/- compared to 3.09tri/- , while total assets jumped to 4.06tri/- from 4.00tri/-.

Also during the period the bank managed to hold constant the non-performing loans to total gross loans at an average of 2.6 per cent in the quarter under review compared to 2.9 per cent of the previous quarter. 

With the widest network of more than 170 branches and over 600 ATMs as well as 95 per cent coverage of all districts.
Source: Daidailynews.co.tzly News, reported from Dar es Salaam, Tanzania
Share on Google Plus

About Abduel Elinaza

This is a short description in the author block about the author. You edit it by entering text in the "Biographical Info" field in the user admin panel.