Tanzania: NMB Eyes Expanding Wings Beyond Borders

NMB Bank plans to expand its wings outside the country, being one of the strategies to grow its business and register more success.

This was revealed by the NMB Chief Executive Officer Ruth Zaipuna in Dar es Salaam at the weekend during the climax of the bank’s 25th anniversary and handing over of dividend to the government.

She however noted that to ensure that the investment outside the country is productive and beneficial, the plan will be executed carefully and attentively.

“To grow our business, we have started to conduct a feasibility study and carefully learn and identify opportunities for expansion outside the country,” Ms Zaipuna said, stressing that the decision will be made after completing feasibility study and identifying the available opportunities.

She said through the success registered in the 25 years of banking services, NMB is able to accomplish the plan to look for opportunities outside the country.

Ms Zaipuna said the bank has already demonstrated through its success story that it meets international standards because it is the third most profitable bank in East Africa.

Also, NMB has become one of the biggest banks in Sub-Saharan Africa after reaching the cost-income ratio of 42 per cent.

The statistics unveiled by the bank’s CEO at the event during the weekend showed that in four years, the government received 113.2bn/- as dividend from NMB.

Also, the total dividend paid to the bank’s shareholders from 2019 to 2022 reached 356.3bn/-. The amount could have gone above that but part of the profit generated was reinvested to boost the bank’s business.

On his part, the NMB Chairman, Dr Edwin Mhede told the gathering that the bank plans to put more records in the near future.

He said that todate, the bank’s assets have reached 11tri/- compared to 10.2tri/- posted in December last year, being contributed greatly by innovation in the bank.

He said the Jasiri Bond, which saw its offer oversubscribed by 197 per cent in April last year before its listing at the DSE, specifically seeks to finance women-owned micro, small, and medium-sized enterprises in Tanzania.

Jasiri bond was officially displayed at the Luxembourg Green Exchange (LGX) which marked an important milestone for global efforts to promote gender finance.

During the event to mark the bank’s silver jubilee graced by President Samia Suluhu Hassan, NMB set records in dividend payment to the government after paying 45.5bn/-. The government owns 31.8 per cent shares at NMB.