Nedbank Namibia Holdings Limited recorded a 25% increase in profit after tax to N$488 million for the 2025 financial year, supported by strong lending growth, rising customer deposits and improved revenue generation across its core banking operations.
Managing Director Martha Murorua said the group’s financial performance was driven by higher lending activity and disciplined cost management during the year.
Profit before tax rose by 39.1% to N$582.9 million, while headline earnings increased by 27% from N$384.9 million to N$489.0 million.
Murorua said loans and advances expanded significantly, rising by 32.8% from N$9.7 billion to N$12.9 billion as demand for financing increased across several sectors of the economy.
She said business lending grew across industries including mining, agriculture, healthcare, property and the public sector, supporting investment and project development.
“Financing in these areas supported productive investment, operational expansion and project activity across the country,” Murorua said.
Growth in vehicle and asset finance also contributed to the bank’s performance by supporting mobility for businesses and individuals, while personal lending helped households manage financial pressures and pursue home ownership.
Revenue growth was supported by increases in both interest and non-interest income. Net interest income rose by 5.6% to N$1.0 billion, while non-interest revenue increased by 20.5% to N$590.9 million.
Customer deposits increased by 16.4% to N$21.2 billion during the year, strengthening the bank’s funding base and supporting continued lending into the economy.
Murorua said the bank’s customer base grew by 3.1% to 127,028 clients, with 79% of customers now using digital banking platforms.
The improved revenue performance, combined with tight cost management, resulted in operating expenses rising by only 4.6%, below the rate of inflation.
As a result, the bank’s cost-to-income ratio improved to 60.4% from 63.8% in the previous year, while return on equity strengthened to 15.4% from 12.0%.
Credit impairments declined by 50.9% during the year, which Murorua attributed to improved portfolio quality and prudent lending practices.
Looking ahead, Murorua said the bank remains optimistic about Namibia’s economic outlook.
She said moderating inflation, supportive policy measures and stronger activity in sectors such as mining, agriculture and construction are expected to support economic growth in the coming years.
