NMBZ posts solid Q1 performance
BUSINESS REPORTER
LISTED financial services group, NMBZ Holdings Limited, reported a solid financial performance in the quarter to March 31, 2023 on the back of increased transactions.
Income for the group grew to ZWL$15.9bn in the review period, reflecting a 613.63% increase from ZWL$2bn reported in the prior comparative period.
Apparently, NMBZ has come up with several products in the past few months that increased activities, pushing up transaction volumes.
“The strong performance is largely driven by increased transaction volumes, increased income generating projects, and modest loan book growth,” NMBZ company secretary Violet Mutandwa said.
Total assets for the group grew by 32.66% to March 31 2023 from December 31 2022 funded by an increase in credit lines and customer deposits.
Deposits also grew by 63.7% to ZWL$87.1bn in the reviewed period from ZWL$53.2bn reported on December 31, 2022.
Mutandwa said NMBZ continued to practice prudent lending focusing on quality assets, which has kept the non-performing loans ratio at low levels of 1.43% against the December 31, 2022, rate of 1.09%.
She said the group was well capitalised and the directors would continue to ensure that the capital levels remain adequate as prescribed and in line with the business requirements.
The capital adequacy ratio as of March 31 2023 stood at 22.64% compared to a regulatory minimum of 12%.
During the period under review, the bank accelerated its agency banking with Zimpost.
NMB is now operating in 109 Zimpost branches countrywide.
“This partnership positions NMB as one of the biggest banks in terms of physical channel distribution. The service is aimed at providing real convenience to customers by bringing banking services closer to our customers.
“With this wide network now in place, NMBRemit, a local money transfer service was launched on May 5 2023 which enables both clients and non clients to send money across the country with collection points at Zimpost and NMB Bank branches nationwide,” Mutandwa said.
NMBZ has also established a properties unit, the NMB Properties Limited, which was launched on May 6, 2023.
Mutandwa said the new subsidiary would enable it to make inroads into the property sector making use of its land and property portfolio to create real value for shareholders.
In the outlook, NMBZ said it would focus on diversifying income streams while keeping costs down and expanding the digital footprint remains top on the agenda.
