Nedbank Namibia’s after-tax profit in the six months ended 30 June 2022, increased by 18.5% to N$118.1 million up from N$99 705 registered in the same period last year.
In the period under review, Nedbank’s gross loans and advances declined by 1.8% from December 2021 and as a result net interest income is down by 5.1% compared to H1 2021.
“Deposits to customers for the period ending 30 June 2022 showed strong growth of 10.4% driven by an increase in demand for liquidity by customers and thus the group noted an increase in short term deposits rather than longer term,” Nedbank Chairperson Sebby Kankondi said.
The bank’s headline earnings growth benefited from significantly lower impairments which amounted N$22,1 million at H1 2022 and strong NIR.
“Impairments decreased from N$ 36,8 million at H1 2021 to N$ 22,1 million at H1 2022 because of better performance of the loan book and GDP growth forecasts improving from 2021,” he said.
The bank’s non-interest income for the period declined by 2.4% to N$358 million from N$366.8 million recorded prior year.
Nedbank’s operating expenditure for the period came in at N$392.6 million, a 3.2% increase from N$380.3 million recorded in 2021.
Kankondi said the company will focus on managing operating expenses and growing loans and advances and customer deposits in the second half of the year.
“The group has secured a strong pipeline of loans and advances particularly in the Corporate and Investment Banking and Business Banking segments which will be realised,” he added.
Nedbank’s total clients grew by 10% in the period under review compared to H1 in 2021 and the deposits due to customers increased by 10.4% to N$12.4 billion for the period.
