NMB Holdings is leveraging $57 million in available credit and negotiating an additional $25 million from two funders to boost support for exporters.
CEO Gerald Gore informed shareholders that the bank has been successful in securing credit lines to aid key economic sectors, notably agriculture. One new fund is at the documentation stage, while another is undergoing due diligence.
These credit lines are aimed at export-generating companies, facilitating easier repayment. There’s a strong demand for funding in the agriculture sector, which is crucial for Zimbabwe’s economy and job creation. NMB is collaborating with Rabobank to enhance its role in agricultural finance through a three-year partnership.
For the first five months of 2024, NMB reported $1.3 trillion in revenue, a 203% increase from the previous year, primarily driven by transaction fees and loans. The bank’s balance sheet stands at $1.7 trillion, with 92% in US dollars. The microfinance division, launched last year, has over 17,000 customers and a loan book exceeding $4 million, contributing nearly 10% to profits.
NMB Properties, established last year, began with $3.5 million in capital and plans to increase this to $10 million for ongoing projects.
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The bank also adopted strategies to expand its core banking and transactional businesses, leveraging digital platforms and agency banking to extend reach without physical branches. This includes partnerships with Zimpost for a broader network.
The bank has made strides in agricultural financing, supporting thousands of hectares of crops and partnering with the government. NMB’s digital initiatives have led to 91% of accounts being opened online, and its agency model processed 50,000 transactions in the last quarter, contributing to the bank’s overall transaction volume.
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