MWANGA BANK PLAN FOR LISTING AT DSE

THE Annual General Meeting, (AGM), of the Mwanga based, Mwanga Community Bank Limited, (MCBL), in Kilimanjaro region, have adopted a resolution which would allow the bank to join the Capital Markets, with the intention of attracting more investors.

The decision was reached at the bank’s 14th AGM which was held in Mwanga district, Kilimanjaro Region, recently, following the proposal related to the issue was presented by the Chairman of the Board of Directors of the bank, Ibrahim Seushi.

“The move will help the bank to grow because by selling our shares at the Dar es Salaam Securities Exchange, would attract more investors both inside and outside the country and this will accelerate our processes meant to upgrade our institution”, he said.

He added, the move would also contribute to the realization of our bank’s three-year, (2014-2017), programme, which among other things includes the institution’s transition into a commercial bank from the current status of a community bank.

Earlier, the bank’s Managing Director Mr. Abby Ghuhia said the bank posted a Tsh68 million profit in the year which ended in December, 2013 and that during that period the share values rose by two percent, (2), from Tsh555 million to Tsh567 million.

“The loans portfolios also rose from Tsh4.9 billion in 2012 to Tsh6.8 billion this being an increase of 40 percent,” he said, adding in the same period income from interests also increased due to an increase of the number loans granted to its clients.

Commenting of the challenges facing the bank, Mr. Ghuhia said they included that of some of its members delaying to paying the loans they acquired which he said contributed to the growing number of delinquent loans.

“By December, 2013, the number of delinquent loans was 337 out of the 4,019 loans released by the bank worth Tsh. 7.7 billion”, he said, adding, adding out of the amount provided as loans, delinquent loans amounted to Tsh. 609 million, equivalent to 10.5 percent of all the loans issued.

Mr.Ghuhia continued to say that during the bank’s 2014 financial year, the management was aiming at increasing the values of its deposits, loan portfolios, other incomes while at the same time controlling costs and delinquent loans both at its Headquarters in Mwanga district and its centres situated in Moshi, Same and the new branch which is expected to be opened in Hedaru area, within Same district.

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