Business / Companies
Metbank bounces back to profitability
29 Mar 2016 at 07:22hrs | Views
Met Bank bounced back to profitability in the full year of 2015 posting a profit after tax of $259 510 from a loss making position in the previous year attributed to cost containment measures and earnings from the bank's trading activities.
In 2014 the bank posted a loss of $3.7 million. The bank saw its net interest income declining to $4.3 million last year from $14 million registered in 2014 due to reduced credit portfolio.
The Zimbabwe Asset Management Company has assumed about $14 million of Metbank's debts to regional lenders as the bank moves to clean its balance sheet.
The financial institution's chairman Wilson Manase said of the money, $9.3 million had been taken over by the government special purpose vehicle as a result of a novation agreement with the PTA bank.
He added that apart from this $9.3 million, Zamco had also assumed an additional $4.4 million. Metbank, which reported an after tax profit of $260 000 for the year ended December 2015 also successfully entered into compromise agreements with some creditors.
In 2014 the bank posted a loss of $3.7 million. The bank saw its net interest income declining to $4.3 million last year from $14 million registered in 2014 due to reduced credit portfolio.
The financial institution's chairman Wilson Manase said of the money, $9.3 million had been taken over by the government special purpose vehicle as a result of a novation agreement with the PTA bank.
He added that apart from this $9.3 million, Zamco had also assumed an additional $4.4 million. Metbank, which reported an after tax profit of $260 000 for the year ended December 2015 also successfully entered into compromise agreements with some creditors.
Source - newsday
