Zimbabwe’s financial sector is defying market expectations by operating under stable conditions despite challenges threatening viability.
The financial sector has not been spared from some challenges affecting the economy.
However its ability to withstand the problems since January is a reflection of the sector’s commitment to continue expanding its portfolio base by offering new products and services at low costs, according to the Reserve Bank of Zimbabwe Deputy Governor, Dr Jesimen Chipika.
“This is the only way to sustain operations in this volatile economy,” said Dr Chipika.
Bankers Association of Zimbabwe president, Dr Charity Jinya said local financial institutions are focusing on measures to unlock the value of their investors as well as depositors.
“The sector is still strong and performing above market expectations,” Dr Jinya said.
The central bank states that financial institutions remained profitable during the year ended December 31, 2016 with an aggregate net profit of US$181.06 million, an increase of 42.36 percent from US$127.47 million reported for 2015.