Mwalimu Commercial Bank PLC Performance Shines, Hails Govt

The performance of Mwalimu Commercial Bank Plc has continued to impress the public as its balance sheet shows the financial institution issued loans amounting to 42bn/- between October 2020 and September this year.

The Bank's Board Chairperson, Francis Ramadhani spoke of the bank's performance when he issued the report to members/shareholders during the 5th Annual General Meeting held in Arusha region yesterday.

According to Mr Ramadhani, the success story is attributed to the government efforts taken in combating Covid-19 pandemic, the measures that gave confidence to the banks to continue operating.

He said data from the Bank of Tanzania (BoT) shows the country's economy grew at 4.6 per cent rate last year and it is expected to grow at 6 per cent rate this year, signaling that various economic sectors are continuing to improve in terms of growth.

Inflation rate has continued to be below 3.5 per cent on average, indicating that Tanzania's business environment is also further improving.

Dwelling on the success story recorded by Mwalimu Commercial Bank last year, the board chair said the financial institution entered into an agreements with the bank's three major shareholders- the Tanzania Teachers Union, the National Health Insurance Fund (NHIF) and Public Service Social Security Fund (PSSSF)-that jointly dished out a total 25bn/- to beef up deposits and brighten up business in general.

He said the dished out cash by the three major shareholders has enabled the bank to speed up issuance of loans, increasing revenue collection from interest charged for loans.

"To be frank, the bank has recorded considerable achievement in the past few months. For instance between October 2020 and September this year, the bank issued loans amounting to 42bn/-," said Mr Ramadhani.

Mwalimu Commercial Bank Chief Executive Officer (CEO) Mr Richard Makungwa said the bank will continue improving its infrastructures to improve business environment.

He said cognizant of the fact that the bank has two branches it has opened zonal offices in Morogoro, Mwanza, Mbeya, Dodoma and Arusha region.

"In efforts to improve service provision through Information and Communication Technology the bank launched MwananchiCard VISA to enable customers have access to financial services in over 2,000 ATMs across the country," he said.

Through MwananchiCard VISA, he said, customers can carry out online payments including using POS-point of sales. The bank also continues improving its Mwalimu Mobile service ( *150*31#) and has registered 8,500 customers with clients for Mwalimu Wakala service reaching 250.

To expand the scope of business, Mr Makungwa said the bank will create favourable environment so that individuals, shareholders and other customers can use the bank in accessing insurance services as the bank now serves as also as an insurance agent.

The bank also plans to see how it can tap business in the areas of education ecosystem and social security (pensions).

TTU Secretary General Deus Seif urged teachers to throw weight behind their bank, saying had all 217,000 teachers who were in the payroll in January 2015 opened their accounts when the bank was being established, the financial institution could be the strongest one in the country.