The Tanzania Postal Bank (TPB) net income for the quarter ending December last year increased to 606m/-, up from 579m/- registered in similar period a year before.
Cumulatively, the Bank profit increased to 4.23bn/- in the year ended December compared to 4.07bn/- recorded in the previous period.
According to the TPB statement of financial position, the increase of net income was largely contributed by net interest income that jumped to 6.65bn/- in the quarter under review compared to 5.19bn/- registered in the corresponding period 2012.
Since lending is the core business banking, the quarter under review saw the TPB increasing its loans, advances and overdrafts to 120.4bn/- compared 112bn/- of the previous quarter.
Also, the bank managed to maintain low its non performing loans to total gross loans at 4.91 per cent which is below the industrial rate.
Similarly, the outstanding performance of the bank’s net profit for the period under review was contributed by increase of the non interest income to 3.64bn/- compared to 2.65bn/- registered in the corresponding period in 2012.
For example, from fees and commission alone, about 2.57bn/- was garnered in the period in question compared to 1.95bn/- of the previous period.
TPB is one of the banks with the widest network in the country reaching the most remote areas where other financial facilities have failed to penetrate.
It is present in more than 20 regions. TPB is a member of Umoja Switch which comprises 24 banks with more than 140 ATMs across the country. The bank has 22 ATMs of its own under Umoja Switch located in most of the branches.
Originally published on: Daily News Tanzania
