FBC to build 378 houses in Harare, Zvishavane
BUSINESS REPORTER
FBC Holdings Limited, a publicly traded financial services group, is building about 378 housing units in the capital Harare and Zvishavane as part of efforts to safeguard the balance sheet and hedge it against inflation.
Herbert Nkala (pictured), the chairman of the FBC board, announced the development in a statement accompanying the group’s financial results for the six months to June 30, 2023.
According to him, there is a high demand for real estate in Zimbabwe as both private individuals and businesses work toward investment and hedging objectives.
“Notably, there has been an increased demand for residential property in both rental and purchase segments as companies migrate out of the central business district. For the medium density market, the group completed 98 units under the Zvishavane Eastlea Project. In the affluent suburb of Glen Lorne, Harare, there are currently thirteen (13) housing units under construction. The Kuwadzana Fontaine Ridge housing project property portfolio currently comprises of 267 units,” Nkala said.
The latest development follows the group’s delivery of more than 2000 homes in the past 12 years in Bulawayo, Kadoma, Kwekwe, Zvishavane, Hwange, Marondera, Nyanga, Rusape, Chipinge, and Gweru.
In its financial results for the six months to June 30, 2023, FBC Holdings Limited reported a profit after tax of ZWL$366bn from ZWL$38. 95bn achieved in the prior comparative period.
This demonstrated the group’s ability to adapt to the difficult environment and its resilient business model.
Total income for the group stood at ZWL$854bn in the period under review from ZWL$204 trillion reported in the prior comparative period.
Loans and advances for the period increased by 228% to ZWL$1.5 trillion.
The group’s banking unit kept lending to customers in important economic sectors.
According to Nkala, initiatives are also being made to mobilize capital at a reasonable cost through lines of credit and other institutional depositors and investors.
He also disclosed that the group’s transactions were now predominantly denominated in foreign currency in line with the general macroeconomic trends.
“Over 80% of the group’s assets and core revenues are in foreign currency and this position is expected to subsist until the end of the year,” Nkala said.
He said the group continued to invest in digital platforms and channels to widen its product offering and enhance customer convenience in line with changes in the technological space.
Total assets grew 180% in the period under review to ZWL$2.9 trillion from ZWL$1.05 trillion in December 2022.
