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Pre-Tax Profit for Exim Tanzania Hits 42 Percent

June 2, 2014

The EXIM Bank Group recently released its first quarter 2014 report showing pretax profit rose by 42% to Tsh.6.4billion (about $3,792,860) compared to the same period last year.

Chief Executive Officer, Selemani Ponda said the strong top-line revenue growth reflects the success of the bank's diversified income streams.

"We are pleased to report good results to start the year. We continue to improve upon operational efficiency to optimize our customers' satisfaction. "Our Bank is continuing to move in the right direction. We are making progress towards fulfilling our ambitions. Our Q1 (first quarter) results show that we have had an encouraging start to the year," he said.

In this period, net interest income grew by 27% from the same period in 2013 to Tsh12.5 billion ($7,407,930).

Fees and commission income increased by 37.4% from the same period in 2013, to Tsh.8billion($4,741,080), driven by volume growth on foreign exchange trading and trade finance products following the implementation of three-year strategy plan.

"Total operating expenses were contained and went up by just 11.6% to Tsh. 13 billion ($7,704,250). This was caused by start up costs of new branches as well as staff benefits in an effort to widen geographical coverage and strengthen the bank's foundation. As a result, the cost to income ratio significantly reduced from 75% maintained a in the same period last year to 64%," he said.

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Source: AllAfrica

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