BANK M RELEASES QUARTER TWO FINANCIALS

Bank M's Deputy CEO Ms. Jacqueline Woiso talkS to reporters (not in the picture) while announcing the bank's quarter two financials during a press conference held at Hyatt Regency Hotel yesterday. With her is Bank M's Communications Director, Mr. Allan Msalilwa.

Bank M Tanzania plc, internationally recognized and among the 10 biggest banks in the country, has registered an increase of more than 25 per cent in profit before tax in the first half of the current year compared to the similar period last year. The bank which had recently bagged the Commercial Bank of the Year-Tanzania award for year 2015 given by the London-based International Banker magazine, posted a profit before tax of TZS 11.51billion in first 6months compared to TZS 9.18billion last year.

Speaking at the press conference to mark the release of its Q2 results, Bank M’s Deputy CEO Ms Jacqueline Woiso told reporters that the Bank believes in adopting the highest standards of disclosure and is very punctual in publishing its results. Every quarter for the past 32 quarters since its inception, the Bank has invariably published its results in the first seven days of the next month. It has also adopted the highest transparency in disclosing every aspect of its financial performance and position, making it the only such institution in the Region. She attributed the increase in profit to the improvement in increased non interest income which rose to TSZ 11.9bilion in this year from TZS 8.41billion in 2014.

Commensurate with the increase in the scale of its operations, the Bank will be raising additional Tier 1 capital by way of a rights issue (the 8th such issue in as many years) of TZS 20 Bln. It is also planning to issue corporate bonds to raise Tier 2 capital to the extent of TZS 10 Bln. Both these issues will be completed in the second half of the current year.

“With the right issue of equity shares and issuance of corporate bonds, the Core Capital Adequacy Ratio and Total Capital Adequacy Ratio of the bank are expected to improve to above 15 per cent levels,” Ms. Woiso said.

Manufacturing, agriculture, trade, hospitality and tourism are the top five sectors that dominated the lending portfolio in this year’s second quarter.

Bank M, ranked the 8th largest bank in terms of balance sheet size and ranking at 6th in profit, opened its doors in 2007 with the conviction to provide world class banking services in Africa and add value to the clients with customised products and services. Bank M will mark its 8th Anniversary this month.

The bank has, in the past seven years of operations, capitalized on its efficient delivery channels and its quality service delivery to capture the business of most of the family owned corporate houses in the country.

“Such a good performance for a growing Bank like ours is because of our efforts in providing world class banking services which in turn created a significant level of trust and support from our esteemed customers”, added Ms Woiso.

Apart from being awarded the Commercial Bank of the Year-Tanzania award for year 2015, Bank M has scooped a number of other international awards recently such as the Best Corporate Bank and the Best Community Development Bank for East Africa granted by the Banker Africa.