The banks reporting year changed from December 31 to February 28 in alignment with the group’s year end following its acquisition by Econet. The bank also appointed Ernst and Young auditors who undertook the audit for the period under review.
Net interest income amounted to US$11,2 million, representing a 19 percent increase in comparison to net interest achieved in the 12 months ended December 2011.
“Non-interest income of US$10,5 million emanated mostly from net dealing commissions and a fair value gain on financial assets,” said Chairperson Olumatomisin Fashina.
The bank’s total assets grew by 54 percent from US$119,5 million as at December 31 2011 to US$184,5 million. The Bank’s liquidity ratio increased from five percent to 25 percent. Measures continue to be employed in order for the liquidity ratio to be improved to the statutory thresholds of 30 percent.
During the course of the 14 months under review, Econet Wireless Zimbabwe Limited (EWZL) acquired the majority of the issued share capital of TN Bank Limited.
The main purpose of acquiring control of the bank was to assist the development and growth of its EcoCash product. EWZL acquired 45 percent of the bank on 12 July 2012 and the Bank was demerged from Lifestyle Holdings an opportunity to exchange TN Bank ordinary shares from EWZL ordinary shares or cash. The transaction resulted in EWZL effectively increasing the interest in TN Bank to 98,6 percent. The remaining 1,4 percent will be acquired by 10 June 2013.
“There were changes in comparison of the board and management following the acquisition. The bank appointed Kwanele Ngwenya as Chief Executive Officer with effect from February 2013. Other executive appointments are being made as the bank builds a robust management team,” he said.
Going forward the bank said it was confident that the economy was geared for robust growth underpinned by improved fortunes in resources, agriculture and trourism.
As part of the bank’s re-alignment, the bank will be undertaking a massive rebranding and re-launch initiative. The new bank will be the epitome of exceptional customer service, innovative banking products and unparalled financial stability.
“We are committed to overhauling our processes our systems and structures to deliver a bank that is relevant responsive, sensitive and strong,” Fashima said.
Fashima said the bank was now focusing on providing banking solutions to the informal and unbanked sectors of our economy by increasing financial inclusion, fostering a savings culture and providing financial support to the ordinary entrepreneurial citizen. – SW Radio Africa News
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