THE National Building Society (NBS) says the financial institution’s balance sheet grew by 40 percent to $3,8 billion during the half year period to June 30, 2021, from $2,7 billion as at December 31, 2020, largely driven by growth in deposits.
Chairperson, Mr Shingai Mutumbwa, said on account of management’s efforts to grow the building society’s base, deposits grew by 100 percent to $1,7 billion from $855 million over the comparative period in 2020.
“These deposits acquired were deployed into loans and advances, which grew by 91 percent to $1,1 billion from $585 million in 2020, investments securities, which grew by 141 percent to close at $81 million,” he said.
During the period under review, the society posted a surplus of $8,5 million. Mr Mutumbwa said the results reflect the benefits of investment in product and service enhancements.
“Over the years, we have been in transition to becoming a fully digitised financial institution that offers a variety of competitive banking platforms to customers,” he said.
The bank’s digital strategy had been and remained focused on establishing a location independent financial institution with omni-channels accessible to all clients.
During the interim period to June 2021, Mr Mutumbwa said NBS resumed construction work at the Dzivarasekwa housing project, which is now scheduled to be completed in the second half of the year.
“We expect delivery of 500 units before the end of the year, similarly works have also resumed at the Newmara housing project in Mutare, which will add a further 153 units into the housing stock,” he said.
The financial institution’s ongoing mortgage scheme project at Knockmarloch had so far seen a total of 51 units being completed.
“Handover to beneficiaries will be done once on-going offsite services involving other stakeholders are finalised,” said Mr Mutumbwa.
NBS has also progressed its land acquisitions, which included the finalisation of the outright purchase of 6,4 hectares of land in Plumtree and commencement of the title survey process for the same, which will create individual titles for about 152 high density stands.
In terms of the digital strategy growth, NBS introduced corporate internet banking in February 2021 with the aim of bringing convenience to its business client base.
“Our Corporate and Institutional Banking unit was unveiled to meet the specialised needs of large companies and corporates. In addition, the Society now offers ZIPIT Smart as an alternative electronic platform for merchants and individual clients in response to digital trends and changing customer preferences,” he said.
Mr Mutumbwa said the society will continue with its business model of delivering innovative and affordable housing solutions.