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Stanbic Bank Zimbabwe, one of the country’s largest financial institutions, has defied the challenging local operating environment to post an inflation adjusted profit after tax of $744 billion for the year ended December 31, 2023, surging 210 percent from $240 billion in the prior year.

In a statement accompanying the results, Stanbic Bank chairman, Mr Gregory Sebborn, said the institution ended the year with a qualifying core capital of $912,8 billion up from $83.5 billion in 2022, which is equivalent to US$149,5 million against the regulatory minimum in the local currency equivalent of US$30 million.

Stanbic Bank chief executive, Mr Solomon Nyanhongo, said inflation adjusted net interest income closed the period at $429 billion, exceeding prior period income of $299 billion by 44 percent.

“This growth was largely spurred by the increased demand for both foreign currency and local currency funding by our customers. This in turn saw new lending assets in both foreign and local currency being written during the period,” said Mr Nyanhongo.

He said during the year under review, demand for foreign currency loans was elevated, supported by the continued migration of business operations from local to foreign currency.

Fees and commission income improved by 171 percent to $471 billion up from $174 billion.

Mr Nyanhongo attributed the growth in Stanbic Bank’s inflation adjusted fee and commission income to the uplift in its foreign currency denominated commission. —  Business Reporter