Standard Bank Namibia (SBN) amassed N$322m in profit after tax to declare a N$200m dividend sharing on the financial results as of last month, thanks to the growing need for car and mortgage loans.
The bank recorded an increasing interest in local clients coming after long-term housing loans and a reasonable increase in the number of clients looking for vehicle loans.
According to a senior manager at the bank, Brian Mandy, the mortgage sum the bank achieved was a N$117b adjustment on its mortgage records.
Corroborating the bank’s financial results for the first time after cutting ties with the mother company in South Africa, SBN chief executive officer, Mpumzi Pupuma confirmed that the bank is doing relatively well since installing new localised software.
SBN ceded 10% of its shares to a local contingent with the employees of the financial institution taking eight percent of the allotted 10 while the remaining two percent will be spread to disadvantaged groups.
“We are sailing smoothly and that does not mean that here and there we get complains about the operations of our system but most of the times when we receive queries, we always try to address them as they come,” said Pupuma.
Pupuma added that although the new banking system was introduced with minimum hiccups, the bank has not yet seen an influx of new clients and that the future still remains very optimistic.
The booming profit earnings translate to a 24% increase from last year when they were being operated under the Standard Bank Group.
The impressive performance by the bank comes barely a year after the company engaged in a localisation plan to cut its umbilical connection to Standard Bank South Africa, which is the major shareholder in the company.
Because of the booming earning, SBN declared a N$200m dividend sharing to its shareholders making it one of the best performing institutions to release its financial results thus far.
SBN has also managed to reduce its operational expenses by a considerable 11% and grown its asset-base by a considerable N$2b from N$14b last year to N$16b this year.
The bank’s headline earnings also stood at N$301.4m in the year under review signifying a considerable increase for the same period last year.