NMB increases single borrower limit to over 250bn/-

 

Ilala District Commissioner, Ng’wilabuzu Ludigija (second left) greeting NMB Bank’s Chief of Internal Audit, Benedicto Baragomwa (second right) at a special event that brought together NMB Bank’s executive customers at Johari Rotana Hotel In Dar es Salaam. Left is the Ilala City Mayor, Omary Kumbilamoto and right is the Banks Dar es Salaam Zone Manager, Donatus Richard.

 

By A Special Correspondent

 

The operational excellence top lender NMB Bank Plc has had in recent years and the unrivalled performances it continues to deliver have greatly boosted its financing clout in the local money market.

 

Senior officials of the bank said late last week that the new fiscal fortunes have among many operational feats enabled the financier to increase its single borrower limit (SBL) to unprecedented new heights in recent years.

 

Speaking at the NMB Business Executive Network (BEN) forum in Dar es Salaam, Chief Internal Auditor Benedicto Baragomwa said the bank’s single maximum loan amount has now reached TZS 250 billion, which not many of its sectoral peers can manage.

 

The SBL figure is the legal credit limit the bank can now lend to a single borrower.

 

Customers of the bank and leaders of local government authorities who attended the one-day meeting commended the lender for the financing development saying it was directly the outcome of innovation mastery, philanthropic spending and patriotic investments, which makes NMB the market leader of banking business in Tanzania.

 

“We are the top lender in the country with unmatched profitability levels in the market and different lending options, among them instant digital loans of up to TZS 500,000/-,” Mr Baragomwa told the 100 Dar es Salaam Region BEN participants.

 

Speaking in the similar event in Mbeya, the Bank’s Head of Credit Department, Demetus Kamguna said NMB Bank now has a sizeable balance sheet, which has soared to almost TZS 9 trillion in total assets, whereas customer deposits have now reached TZS 6.6 trillion. He said the growth in total assets has also expanded the bank’s capital base to over TZS 1 trillion leading to the new SBL size.

 

“NMB is also the top lender in the country with the capacity to extend the maximum loan amount of up to TZS 250 billion to a single borrower,” the senior official told the networking gathering in Mbeya whose opening was graced by the regional Commissioner Juma Homera.

 

Expounding on the monumental achievement, NMB’s Head of Business Banking, Mr Alex Mgeni, told this reporter that the positive lending development is also the outcome of the huge profits NMB has been making in recent years.

 

The net incomes, he pointed out, are also ploughed back into the business to boost operations leading to consolidation of the capital base of the bank. Consequently, he explained, the investment has had tremendous impact on the bank’s financing capacity and possibilities.

 

“In fact, our capital base has now reached some TZS 1.2 trillion, which translates into the single borrower limit of about TZS 300 billion as per regulations of the central bank of lending 25 per cent of a bank’s capital,” Mr Mgeni said on the sidelines of the BET forum.

 

In his speech to open the meeting, Mbeya Regional commissioner urged the lender to go on supporting the agricultural sector, which is promptly growing currently while pointing on prominent, grow crops in the region and southern highland zone like Avocado, rice and pyrethrum that require more financial support for better growth.

 

 

While the Ilala District Commissioner, Ngw’ilabuzu Ludigija showered NMB Bank with praise for the BEN forums saying that they are not only a platform for getting feedback and service improvement but also a forum for the business community to air views on national policies.

 

 

The top lender initiated the forums in 2014 as a networking and notes sharing platform with its customers with annual turnover of TZS 5 billion and above in the most productive regions in the country.

 

To date the BEN platform has over 1,000 business partners in seven regions, which are Dar es Salaam, Dodoma, Morogoro, Kilimanjaro, Mwanza, Arusha and Mbeya where the last forum for 2022 will be held early this month.

 

On his part, the Mayor of Ilala, Mr Omary Kumbilamoto, said NMB Bank has become a strategic national business development partner whose social investments are helping the sixth phase government to improve delivery of social services.