- Total deposits spiked by 61% while advances by 62%
- Revenue more than doubled to ZW$192 million
- PAT was firmer at ZW$27 million from ZW$12 million
Harare- Largest Bank by deposits and assets, Commercial Bank of Zimbabwe Holdings has recorded a solid financial performance during the third quarter ended 30 September 2022, the Bank’s trading update reviews.
According to the Group, growth was realised on the back of aggressive monetary policies passed by the Central Bank of hiking repo rates from 80% in June to 200% in July which curtailed the black market activities and arbitrage opportunities in the economy.
“Additionally, activity in the mining, construction and tourism sectors remained elevated, thereby presenting exciting opportunities for the Group,” the Group said.
Total deposits amounted to ZW$641 million, a 61% uptick from ZW$399 recorded in 2021 while total advances were 62% firmer ahead of 2021 at ZW$308 million from ZW$191 million.
Growth came despite record interest rates at 200% which made borrowing expensive. The aggressive monetary policies applauded by the Group were a double-edged sword as they tightened ZW$ liquidity thus affecting consumer purchasing behaviour while making borrowing expensive.
Revenue for the Group spiked by 191% to ZW$ 192 million from 2021’s third quarter position of ZW$66 million.
Resultantly, after-tax profit more than doubled to ZW$27 million from ZW$12 million in 2021, translating to a 126% increase.
Total assets at ZW$889 million were 60% firmer from ZW$557 million realised in 2021 while total equity was strong at ZW$143 million from ZW$93 million.
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