By Jones Gadama
Centenary Bank Limited has reported a significant increase in profit, more than tripling to K1.92 billion in the year ended December 31, 2024, from K549 million the previous year.
The bank’s customer deposits also grew by 50 percent to K135.2 billion from K90.4 billion, despite facing risks due to increased impairments from existing facilities.
According to a statement accompanying a summary of audited financial results, the bank attributed the increase in profit to business volume growth and reduced cost of doing business.
However, the bank noted that it continues to face downside risks in terms of increased impairments from existing facilities arising from economic conditions that have negatively affected the performance of its customers.
“The group continues to face downside risk in terms of increased impairments from existing facilities arising from economic conditions which have negatively affected the performance,” reads the statement jointly signed by the bank’s chairperson Francis Pelekamoyo and managing director Godfrey Byekwaso, among others.
The bank’s assets increased by 37 percent to K168 billion in 2024 from K123 billion the previous year, driven mainly by increased customer deposits following improved confidence arising from the change in shareholding.
Despite the tough economic environment, Centenary Bank has managed to grow its business and reduce costs, resulting in a significant increase in profit.
The bank’s customer deposits have also grown, indicating increased confidence in the bank.
The bank’s managing director, Godfrey Byekwaso, said that the bank is committed to continuing to provide quality financial services to its customers while navigating the challenges posed by the economic environment.
Centenary Bank has 16 branches nationwide and is a subsidiary of the Catholic Archdiocese of Lilongwe and Centenary Rural Development Group of Uganda.
The bank’s growth and performance are a testament to its commitment to providing quality financial services to its customers.
The bank’s increase in impairment on loans and advances from K1.9 billion to K3.2 billion is attributed to the tough economic environment its customers are experiencing, particularly those with inherited portfolios.
However, the bank is confident that it can continue to grow its business and manage the risks associated with the economic environment.
Centenary Bank’s significant increase in profit is a testament to its commitment to providing quality financial services to its customers.
The bank’s growth and performance are expected to continue, driven by its strong customer base and commitment to managing risks.
The bank’s ability to grow its customer deposits despite the economic challenges is a sign of confidence in the bank’s management and its commitment to providing quality financial services. The bank’s future prospects look bright, and it is expected to continue playing a significant role in the Malawian economy.
The growth of Centenary Bank’s assets is also a positive development, indicating increased confidence in the bank’s management and its commitment to providing quality financial services.
The bank’s ability to manage risks and navigate the challenges posed by the economic environment will be critical to its continued success.
Overall, Centenary Bank’s performance is a positive development for the Malawian economy, and the bank’s commitment to providing quality financial services to its customers is expected to continue driving its growth and success.
The bank’s strong performance is also a testament to the effectiveness of its management team and the board of directors.
The bank’s ability to navigate the challenges posed by the economic environment and continue to grow its business is a sign of strong leadership and management.
In the long term, Centenary Bank’s growth and performance are expected to continue, driven by its commitment to providing quality financial services to its customers and managing risks effectively.
The bank’s strong customer base and commitment to quality financial services will continue to drive its success.
The bank’s performance is also expected to have a positive impact on the Malawian economy, providing financial services to individuals and businesses and contributing to economic growth and development.
The bank’s commitment to managing risks and navigating the challenges posed by the economic environment will be critical to its continued success and its ability to contribute to the Malawian economy.
