NBC optimistic of profitable 2012 despite quarterly loss

NBC HQ

National Bank of Commerce (NBC) remains optimistic of ending the year profitably despite posting all time huge loss of 20.2bn/- in the three months ending this June.

 

The bank, which was privatised 12 years ago to Absa Group of South Africa, said it’s bullish on the outlook for the six months, ending December this year.

NBC’s acting Managing Director Marius Alberts said despite tough and aggressive competition and a sluggish economy; the bank believes that there are opportunities in the market that could be leveraged to ensure solid business growth. 

 “These (losses) have been accounted for, is something of the past and we are looking forward to a very positive six months,” Albert said yesterday in a release: “We believe that we can end the year in the black, wiping out the losses for the first six months.”

The Zan Securities Chief Executive Officer, Mr Raphael Masumbuko, told the 'Daily News' earlier that “posting loss in one quarter does not mean the bank will lose in full year results.”

The bank attributed the losses in second quarter to corporate impairment losses amounting to 13.9bn/- and provisions raised for cost and under accruals from 2008 to June 2012 of 13.7bn/- relating to technical assistance provided by a parent company abroad.

“These items are extraordinary to the six month results and should not reoccur,” The acting MD said, “an independent contractor was used to review all balance sheet accounts and close off all items at risk.” 

NBC is one of the oldest banks in Tanzania, marking 45 year of experience in providing financial services. It offers conventional services through an extended branch network and ATM foot print.

NBC has 53 branches, a fully fledged contact centre, 300 Visa and MasterCard enabled ATM’s and 264 point of sale devices strategically located throughout the country. The bank employs 1,387 staff.

Source: The Daily News, reported by Abduel Elinaza

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