NMB reports strong 2021 financial results
FAITH MADZINGA
Financial services group, NMBZ Holdings reported a profit of ZWL$1.9bn in the year ended December 2021 from the ZWL$1.4bn achieved in the prior comparative period propelled by a growth in income.
Income grew to ZWL$7bn in the reviewed period from ZWL$3.4bn reported in the previous year.
Assets for the group stood at ZWL$29bn from ZWL$17bn in 2020.$29.4bn, reflecting a 67% increase, funded by strong growth in customer deposits as the banking subsidiary continues to grow its customer base.
Customer deposits and other liabilities increased by 85% reflecting strong personal and commercial inflows following the easing of Covid-19 restrictions.
The group’s investment property portfolio was valued at ZWL$3.5bn while property and equipment stood at
ZWL$4.1bn.
The revaluation gains largely reflect the changes in the macro-economic environment.
“The performance was largely driven by the success of our digital transformation strategy and support for key productive sectors of the economy,” NMBZ CEO Gerald Gore said.
Loans and advances and other assets stood at ZWL$12.4bn, reflecting a 93% increase from prior period levels.
The banking subsidiary maintained a high-quality loan book, closing the year with an NPL ratio of 1.33%
The Bank maintained a sound liquidity position with a liquidity ratio of 41% and this was above the statutory minimum of 30%.
The capital adequacy ratio of the banking subsidiary remained strong at 57.48% compared to a regulatory minimum of 12%.
The subsidiary maintained adequate capital levels to cover all risks and was compliant with the minimum capital of the equivalent of US$30m.
