Africa-Press – Zimbabwe. NMBZ Holdings is finalising external lines of credit worth US$70 million as the stock exchange-listed entity moves to fuel productive-sector lending.
This is part of a strategy to mobilise US$100 million in offshore credit lines this year for onlending into the economy.
In its financial year results for the period ended December 31, 2024, released last month, NMBZ revealed that its banking unit was well on course to draw down US$100 million from different providers of offshore lines of credit this year.
Last year, the group raised credit lines of over US$65 million, which were channelled to exporters from various sectors of the economy.
“The group, through its banking subsidiary NMB Bank, continues to focus on mobilising external lines of credit to fuel productive-sector lending and is expecting to finalise on raising funding over US$70 million in the near term,” NMBZ said in its trading update for the first quarter ended March 31, 2025.
The group’s support to exporters comes as it expects the domestic economy to rebound and grow by 6% in 2025 from 2% last year.
According to NMBZ, the growth is anticipated to be driven by an improved agricultural season following the El-Niño-induced drought of 2024.
“Investments in mining, particularly in gold, lithium, iron and steel, are also expected to boost industrial output,” the group said.
“The group will continue to focus on strengthening its core banking business and establishing a wider regional presence with the technology subsidiary.”
The stock exchange-listed entity said its property company was also expected to drive balance sheet growth by embarking on key development projects.
The subsidiary completed another cluster home development, which is now for sale.
“As the group continues on its digital drive, there are several projects in the pipeline aimed at enhancing transactional platforms and elevating customer experience. To this end, the bank is set to launch an enhanced mobile banking application for both corporate and individual customers in the coming quarter,” it said.
“In line with its strategic thrust, all the group’s subsidiaries continue on a growth trajectory, with the fintech subsidiary, XPlug Solutions, is embarking on multiple projects relating to implementation of fintech operating systems, Robotic Process Automation, mobile banking solutions and various other custom software developments for medium to large financial institutions in multiple countries across the continent.”
The group started the year on a strong footing, generating operating income of ZiG396 million for the three months ended March 31, 2025.
“Fee and commission income contributed 64% of the total income, mainly generated on the bank’s digital platforms,” the group said.
“Net interest income amounted to ZiG141 million. The group recorded a profit after tax figure of ZiG56 million, reflecting a positive start to the year. Total assets amounted to ZiG7,5 billion, an increase of 5% from 31 December 2024.”
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