Citibank Tanzania net profit has slumped down by almost half after net interest income went down by a third in this year’s quarter three.
The corporate bank, with a single branch, posted a net profit of 2.74bn/- in Q3 down from 4.90bn/- similar period last year. The profit slump, according to financial statement, was mainly attributed to dropping of net income revenue by a third to 6.61bn/- from 9.63bn/-.
The loan revenue went down after the amount lent out dropped to 176.13bn/- from 195.77bn/-. The bank, despite reducing the amount loaned out, assets grew 11.6 per cent to 659.03bn/-, thanks to increase balances with central bank and investment in government securities.
Citibank boasts one of the lowest nonperforming loans in the country after dropping to 0.1per cent in Q3 from 4.5per cent of Q2. Customer deposits have increased by 12.8 per cent to 476.57bn/- in three months to September from 413.64bn/- at the end of June.