Source: BancABC to bolster growth strategy, deposit mobilisation – herald
Nelson Gahadza-Business Reporter
African Banking Corporation of Zimbabwe, trading as BancABC, says it will intensify its growth strategy through customer acquisition, market expansion and deposit mobilisation as the banking group seeks to sustain profitability.
This comes after BancABC bounced back from a loss position in the 2024 financial period.
Group managing director Mr Tawanda Munaiwa said the lender’s strategic focus on expanding its customer base and strengthening market presence underpinned a strong increase in deposits and transactional activity during the period.
“Customer acquisition and market expansion remained a core focus, supported by improved service accessibility through digital channels and service kiosks, targeted engagement with key economic sectors, and strengthened partnerships with international remittance providers,” he said in a statement accompanying the group’s financial results for the year ended December 31, 2025.
He added that these initiatives drove customer deposits to ZiG3,991 billion, alongside increased utilisation of transactional platforms, and that overall deposits reached ZiG4,440 billion.
However, Mr Munaiwa noted that the funding base remains largely short-term and skewed towards foreign currency deposits, in line with Zimbabwe’s highly dollarised economy.
He said this structure presents ongoing challenges for funding costs and balance sheet stability.
“The bank will continue to prioritise stable deposit mobilisation and diversification of funding sources to strengthen the bank’s financial position,” he said.
For the period under review, the group’s performance was further supported by continued investment in digital transformation and product innovation.
During the year, BancABC rolled out enhanced internet and mobile banking platforms, introduced new card products, and established in-house card processing capabilities.
In addition, the bank automated key processes and expanded paperless transaction capabilities as part of efforts to improve operational efficiency and customer experience.
A major milestone was the successful upgrade of its core banking system in February 2026, which management said provides a platform for future innovation and scalability.
Mr Munaiwa said the group remains focused on enhancing service delivery, maintaining cost discipline, strengthening governance frameworks, and expanding revenue streams.
Financially, BancABC posted a profit of ZiG 194 million for the year compared to a loss of ZiG 475,473 in 2024, with performance largely driven by growth in digital transaction volumes and foreign currency trading activities.
Total assets grew by 30 percent to ZiG6,718 billion compared to ZiG5,269 billion, reflecting balance sheet expansion, while the loan book surged 49 percent to ZiG2,242 billion compared to ZiG1,505 billion in 2024, on the back of increased demand from consumer, SME, and corporate segments.
The group maintained strong prudential indicators, with a capital adequacy ratio of 27 percent and a liquidity ratio of 55,4 percent, both comfortably above regulatory minimums of 12 percent and 30 percent, respectively.
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