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| Chief Executive Officer of NMB Bank, Ms. Ruth Zaipuna. |
The record financial results were driven by a discipline execution of the Bank’s strategy and continuous investment in digital capabilities:
NMB Bank achieved a record profit before tax of TZS 931 billion, a significant increase of 20% compared to TZS 775 billion in the financial year 2023, with a strong return on equity of 28%. The solid growth in profitability was driven by robust revenue growth, significant efficiency gains, and a notable improvement in loan portfolio quality. Total revenue rose by 16% to TZS 1.6 trillion, supported by the growth of Net Interest Income and Non-funded Income by 13% and 23%, respectively.
Furthermore, the cost-to-income ratio improved by 100 basis points year-on-year to 38% in 2024, well below the regulatory maximum limit of 55%. This improvement was driven by streamlined operations, disciplined cost management, and strategic investments in people and Digital technology, positioning the Bank to sustain growth and deliver value across its core businesses. These efforts underscore the Bank’s ability to balance efficiency with innovation, ensuring a solid foundation for future success.
The Bank’s Balance Sheet continued to grow, with total assets increasing by 13% year-on-year to TZS 13.7 trillion driven by solid growth in both loans & advances and customer deposits. Net loans and advances to customers grew by 10% to TZS 8.5 trillion, and customer deposits recorded broad-based growth, rising by 13% to TZS 9.5 trillion. The continued steady growth in the Balance Sheet demonstrates NMB’s commitment to; driving financial inclusion which has enabled the onboarding of new customers and broader access to credit, enhanced customer experience and confidence, and continued delivering innovative and accessible financial solutions to customers across.
The bank maintained strong credit portfolio quality, with the NPL ratio improving to 2.9% in 2024 compared to 3.2% recorded in 2023. This reflects strong credit origination and a robust credit monitoring process.
NMB remains well-capitalized, underpinned by strong earnings growth and efficient capital deployment, contributing to a well-capitalized status. As of December-end, the capital adequacy ratio stood at 23%, well above the regulatory minimum requirement. This solid capital position supports future investments, lending growth, and long-term stability.
The successful execution of NMB Bank’s strategy has delivered record-breaking results and enabled the achievement of significant milestones.
- Profit Before Tax: TZS 931 Bln, up 20% YoY
- Profit After Tax: TZS 644 Bln, up 18% YoY
- Total Income: TZS 1.64 trillion, up 16% YoY
- Total Assets: TZS 13.7 trillion, up 13% YoY
- Cost to Income Ratio (CIR): 38%
NMB Bank achieved a record profit before tax of TZS 931 billion, a significant increase of 20% compared to TZS 775 billion in the financial year 2023, with a strong return on equity of 28%. The solid growth in profitability was driven by robust revenue growth, significant efficiency gains, and a notable improvement in loan portfolio quality. Total revenue rose by 16% to TZS 1.6 trillion, supported by the growth of Net Interest Income and Non-funded Income by 13% and 23%, respectively.
Furthermore, the cost-to-income ratio improved by 100 basis points year-on-year to 38% in 2024, well below the regulatory maximum limit of 55%. This improvement was driven by streamlined operations, disciplined cost management, and strategic investments in people and Digital technology, positioning the Bank to sustain growth and deliver value across its core businesses. These efforts underscore the Bank’s ability to balance efficiency with innovation, ensuring a solid foundation for future success.
The Bank’s Balance Sheet continued to grow, with total assets increasing by 13% year-on-year to TZS 13.7 trillion driven by solid growth in both loans & advances and customer deposits. Net loans and advances to customers grew by 10% to TZS 8.5 trillion, and customer deposits recorded broad-based growth, rising by 13% to TZS 9.5 trillion. The continued steady growth in the Balance Sheet demonstrates NMB’s commitment to; driving financial inclusion which has enabled the onboarding of new customers and broader access to credit, enhanced customer experience and confidence, and continued delivering innovative and accessible financial solutions to customers across.
The bank maintained strong credit portfolio quality, with the NPL ratio improving to 2.9% in 2024 compared to 3.2% recorded in 2023. This reflects strong credit origination and a robust credit monitoring process.
NMB remains well-capitalized, underpinned by strong earnings growth and efficient capital deployment, contributing to a well-capitalized status. As of December-end, the capital adequacy ratio stood at 23%, well above the regulatory minimum requirement. This solid capital position supports future investments, lending growth, and long-term stability.
The successful execution of NMB Bank’s strategy has delivered record-breaking results and enabled the achievement of significant milestones.
- NMB stands as Tanzania’s most profitable bank and has made history as the first in the country to surpass a one-billion-dollar valuation. This remarkable achievement firmly cements NMB’s status as the largest listed bank in Tanzania, the second-largest bank in East Africa, and the sixth-largest company overall by market capitalization. NMB's consistent financial performance has also earned it a place among Sub-Saharan Africa’s 30 most valuable companies (excluding South Africa), according to Capital Market Union CMU, Sub-Sahara Africa Top 30 Companies Report 2024.
- NMB solidifies its position as Tanzania’s undisputed market leader, commanding roughly a quarter of the market share in both loans and customer deposits. By December 2024, the bank onboarded 1.5 million new customers, propelling its total customer base to over 8.6 million.
- NMB Bank has also demonstrated its commitment to innovation and sustainability. In 2024, the Bank cross-listed the NMB Jamii Bond, Sub-Saharan Africa’s first sustainable bond, on both the London Stock Exchange and the Luxembourg Stock Exchange.
- Furthermore, NMB invested over TZS 5.4 billion in education, health, and climate-related initiatives, underscoring its dedication to driving positive social and environmental impact.
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