PBZ BANK SOARS WITH EXCEPTIONAL PERFORMANCE IN HALF ONE, 2024

People’s Bank of Zanzibar Managing Director, Arafat Haji.

Zanzibar, August 18, 2024: People’s Bank of Zanzibar (PBZ Bank) has unveiled its first half financial Report for 2024, showcasing remarkable achievements and outstanding performance in various key areas. The report affirms the bank's strong market standing and highlights its steadfast dedication to excellence.

At the forefront of PBZ Bank's impressive performance is its net income after tax, which stands at a remarkable TZS 31.15 billion (with a pre-tax profit of TZS 44.50 billion). The figure represents an 18% increase compared to the same period last year, underscoring the bank's ability to drive sustainable growth and profitability.

Complementing this impressive bottom line is the bank's Net Interest Income, which has risen to TZS 54.15 billion, a 14% growth compared to June 2023. This achievement is a testament to the bank's effective execution of its strategies, as highlighted by the bank's Managing Director, Mr. Arafat Haji.

"This growth is a testament to our effective execution of our strategies which focused on growing our earning assets through an improved efficient management of our balance sheet structure, supported by our excellent customer service, and the dedication of our team to deliver our promises to our customers and stakeholders.’’ Mr Haji proudly stated through the bank’s press release issued to the media over the weekend.

According to the MD, the success achieved by the bank is owing to the sound economic policies aimed at spearheading investment and business growth, implemented by the Revolutionary Government of Zanzibar under the leadership of the President Dr. Hussein Ali Mwinyi.

Notably, the bank demonstrated its commitment to efficient operations, with its cost-to-income ratio improving to a commendable 46.49%, well below the regulatory requirement of 50%. This efficiency, coupled with strategic investments in areas that drive long-term growth, positions the bank as a model of financial prudence and forward-thinking.

The bank's impressive performance extends beyond its financial results, as evidenced by its remarkable asset growth. PBZ Bank's total assets have swelled to TZS 2.23 trillion, a staggering 22% increase from the TZS 1.83 trillion reported in June 2023. Additionally, the bank's loan portfolio has grown to TZS 1.11 trillion, up from TZS 932 billion in June 2023, while its deposit base has experienced a remarkable 31% increase, now standing at TZS 1.77 trillion.

Commenting on this growth, Mr. Haji said "This growth reflects the trust our customers have placed in us and our ability to meet their financial needs and provide them with solutions to support their requirements."

Furthermore, the bank's asset quality remained exceptionally strong, with a non-performing loan ratio of just 2.44%, well below the regulatory requirement of 5%, further demonstrating the bank’s prudent risk management practices and the soundness of its loan portfolio.

Alongside its financial achievements, PBZ Bank has also made significant strides in expanding its digital and physical presence. The bank has recently opened new branches in Morogoro and Mbeya regions, and has increased its number of agents by 114, further enhancing its accessibility to customers across Tanzania.

“Additionally, our mobile app has undergone major improvements and is now available on all major app stores, reflecting our commitment to delivering a seamless and technologically advanced customer experience.’’ Added the MD.

Looking ahead, the bank promised to remain resolute in its pursuit of strengthening its market position and exceeding its targets for 2024. According to the MD, they will continue to focus on enhancing the customer experience and satisfaction, leveraging their investment in technology to drive innovation, and maintaining a robust balance sheet to support sustainable growth.

"We are confident that we are well-positioned to achieve our future goals. I extend my appreciation to all our staff within the bank for their outstanding performance over the years. Their efforts have been very encouraging and thus the positive results and continued consistent growth of the bank, and we are confident that we are well-positioned to achieve our future goals." He spoke

He further extended his appreciation and thanks to the bank’s customers and stakeholders for their continued support in the bank’s unprecedented growth and improvement.