The National Microfinance Bank (NMB), a microfinance institution (MFI) 30-percent owned by the government of Tanzania, reportedly is planning to open 20 additional branches in rural areas.
According to a statement attributed to the Deputy Finance Minister, the 142 branches the bank currently operates are located disproportionately in Tanzania’s urban centers. Increasing the bank’s presence in rural areas is hoped to increase access to financial services for all Tanzanians.
For the year 2012, NMB reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 1.54 billion, return on assets (ROA) of 4.71 percent, return on equity (ROE) of 36.1 percent and a gross loan portfolio (GLP) of USD 774 million.
By Brian LeBlanc
About National Microfinance Bank (NMB)
Established in 1997, NMB is microfinance institution (MFI) that was established in Tanzania by the National Microfinance Bank Limited Incorporation Act. The bank initially provided payment services, savings accounts and very limited borrowing services, however since mid-2010 the bank has been expanding its lending operations. NMB operates 142 branches reportedly covering 80 percent of Tanzania’s districts. For the year 2012, NMB reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 1.54 billion, return on assets (ROA) of 4.71 percent, return on equity (ROE) of 36.1 percent and a gross loan portfolio (GLP) of USD 774 million. Dutch lender Rabobank owns a 34.9-percent stake in the bank while the Tanzanian government owns a 30-percent stake. Exim Bank Tanzania, the Tanzania Chamber of Commerce Industry, and Agriculture and National Investment Co Ltd own a combined 14.1 percent of NMB.
Sources and Additional Resources
IPPMedia.com News, “Minister: More bank branches set to be opened in rural areas” http://www.ippmedia.com/frontend/index.php?l=50728
MicroCapital.org story, June 14, 2012, “MICROCAPITAL BRIEF: National Microfinance Bank (NMB) of Tanzania Boost Deposit Interest Rate to 10%,” https://www.microcapital.org/microcapital-brief-national-microfinance-bank-nmb-of-tanzania-boost-deposit-interest-rate-to-10-aims-to-increase-deposits/
MicroCapital.org story, May 22, 2012, “MICROCAPITAL BRIEF: National Microfinance Bank (NMB) of Tanzania to Promote Savings for Education,” https://www.microcapital.org/microcapital-brief-national-microfinance-bank-nmb-of-tanzania-to-promote-savings-for-education/
MicroCapital.org story, February 24, 2011, “MICROCAPITAL BRIEF: National Microfinance Bank (NMB) of Tanzania Loans $105m to Coffee Farming Groups,” https://www.microcapital.org/microcapital-brief-national-microfinance-bank-nmb-of-tanzania-loans-105m-to-354-coffee-farming-groups/
MicroCapital Universe Profile: National Microfinance Bank https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=National+Microfinance+Bank+%28NMB%29
Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at https://www.microcapital.org/products-page/
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