The People’s Own Savings Bank (POSB), a subsidiary of the Mutapa Investment Fund (MIF), has injected US$13.2 million into this year’s winter wheat production.
This significant investment is part of the bank’s strategy to support key productive sectors and aims to enhance Zimbabwe’s agricultural output and food security.
The funding comes as the nation’s farmers have exceeded the 120,000-hectare target for the 2025 winter cropping season, with the goal of achieving a record-breaking harvest of 600,000 tonnes. This would surpass last year’s record of 563,961 tonnes, marking a third consecutive year of wheat self-sufficiency for the country.
POSB CEO Mr. Garainashe Changunda stated that the investment would not only empower farmers but also lay the groundwork for a successful harvest. He noted that the bank’s support is crucial for the country’s agricultural productivity and economic prosperity.
POSB’s commitment to financing key sectors is backed by a strong financial performance in 2024. The bank saw a significant increase in net interest income, which grew to ZiG182.48 million, and a 28% rise in fees and commission income to ZiG537.17 million.
The bank’s total assets surged by 104% to ZiG2.72 billion by the end of 2024. It also maintained a high liquidity ratio of 65% and a capital adequacy ratio of 56.65%, both well above regulatory requirements. These figures demonstrate the bank’s resilience and strong financial foundation, which allowed it to declare a US589,000 paid in 2023. This positive trend reflects the bank’s commitment to its shareholders and a promising outlook for its future.
The article mentions that in the last quarter of 2023, POSB transferred 100% of its shares to the Mutapa Investment Fund, which is the government’s investment vehicle.
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