CRDB Bank plans to spread to EA market

Saturday February 14 2009

By WILFRED EDWIN

Tanzania’s CRDB Bank plans to enter the Rwandan, Ugandan and Kenyan markets, the managing director Dr Charles Kimei, has said.

Dr Kimei said this as the bank’s balance sheet showed a growth of over $1 million in net profit last year.

Te bank posted Tsh39.134 billion ($31.46 million) net profit for the year ending December 31, 2008, compared with Tsh37.325 billion ($30 million) for the year ended December 31, 2007.

The bank’s total assets also rose to Tsh1.449 trillion ($1.159 billion), up from Tsh1.304 trillion ($1 billion).

The bank also recorded increased customer deposits of Tsh1.27 trillion ($1 billion) for the last quarter, up from Tsh1.11 trillion ($889 million) over the previous year.

CRDB Bank, which emerged as the best large and tax compliant institution last year, has paid taxes to the government amounting to Tsh4,913 billion ($3.9 million).

Banking industry sources say Tanzania is the most under-banked country in the East African region, with only 9 per cent of the population of close to 40 million people having access to formal banking services. In other countries, the average access to formal banking is over 20 per cent.

Dr Kimei said CRDB Bank had managed to consolidate its achievements over the past 12 years, expanding rather fast though only organically.

“Over the 12 years, our balance sheet and profits have grown at an average rate of about 40 per cent annually,” he said.

Advertisement