Econet Wireless Zimbabwe’s banking unit Steward Bank posted a $6, 1 million after tax profit due to increased non-funded income.
The company registered a 24 percent increase during the year ended February 28, 2017.
“We are therefore pleased that despite the economic headwinds the bank’s income grew by 24pc for the financial year driven by a 49 pc increase of non-funded income which rose from 19million in the prior year to 28 million during the period under review. This is in line with our focus on non-interest income as a key revenue driver,” said Steward Bank’s chairperson Benard Chidzero in a statement accompanying the results.
The company also saw a spike in deposits and an increased number of account holders.
“The bank also recorded a surge in the number of customers signing up for new accounts or utilising our financial services platform to perform various transactions.
“ As a consequence our customer deposits grew by 56percent from the previous year as a result of an increase in individual deposits, driven by strong demand for the bank’s signature product the iSave account. Corporate deposits also recorded growth on the bank of our hugely popular Zama Zama account targeted for SMeS,” he said.
Chidzero also said, “We are pleased to have registered a double digit growth across most of our key indicators as we continue with the potential to create new income streams and implement our revenue diversification strategy largely driven by increased usage of mobile channels which now account for approximately 60 percent of all our customer transactions.”