IDBZ eyes return to profitability by year-end

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THE Infrastructural Development Bank of Zimbabwe (IDBZ) expects to return back to profitability by year end after its half year performance surpassed expectations.
The government-owned financial institution incurred a loss of $1,2 million for the half year, coming off a profit of $196 572 recorded in the comparable period last year.
Thomas Sakala, IDBZ’s chief executive, said the bank performed better than expected with a net loss of $1,29 million against a projected loss of $2,5 million.
“Given this half year performance, the envisaged profitable position by the end of the year will be achieved as the completion of Kariba and Empumalanga Housing projects is earmarked for the second half of 2018,” he said.
“The bank continues to improve its balance sheet despite a challenging macroeconomic environment. Total assets grew by 71 percent from half year 2017 to $322,7 million during the period under review.”
During the period under review, a budget allocation of $10 million was approved for the acquisition of land for infrastructure development.
The bank noted that land and properties worth $7,3 million had been purchased in readiness of already identified future development.
Sakala said the land investments are spread across the country in Kanyemba, Plumtree, Lupane, Gwanda and Bulawayo.
“Significant progress in preparatory work has been achieved towards developing projects to bankability stage. An estimated figure upward of $79 million worth of projects is expected to be approved for implementation by year end,” he said.