Nedbank Zimbabwe posted a significant 453 percent jump in deposits to $11.3 billion from $2 billion in the prior comparable period, which drove profits.
The financial services provider stated a profit of $159 million in FY2020.
Operating income came in at $3.4 billion, outpacing in inflation-adjusted terms, from $2.9 billion in the prior year, resulting in a significant shift in profitability to $159 million from $761 million loss in 2019.
The group recorded strong liquidity ratio 108 percent against 30 percent prudential limit.
There was a 29 percent reduction in the net monetary loss in 2020 from 2019 with balance sheet monetary in nature, as well as a 62 percent interest earning assets to local currency deposits in loans and Government securities.
The group attributed these gains to digitalisation strategies that were implemented over the period under review.
Said managing director Dr Sibongile Moyo:
“Digital touch points and technology investments made over the reporting period present a solid foundation
for an agile business poised for growth”
Some of the digital solutions implemented last year include: US dollar multi-currency on internet banking, mobile banking and ATMs; online account opening on website and mobile banking; mobile wallet transfers from bank to all networks cell phone numbers; remote issuing of debit cards; bulk account opening; refreshed new Nedbank mobile banking APP, and a self-service online platform administration for corporate clients.
Other digital initiatives were: API integration for real time bulk collections and payments for corporate clients; Reg-Tech and analytics to enhance monitoring and compliance with FATF standards, and refreshed mobile banking solution with new as well as improved features and SME onboarding.
“Going forward we will continue to focus on our clients, the bedrock of our business by providing market
leading client experiences.
“Management will seek to optimize the balance sheet in order to preserve capital via hedging strategies to reduce the impact of monetary losses” said Dr Moyo.