Z$ depreciation hits FCB deposits

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FIRST Capital Bank (FCB) says its deposits declined by 19,54 percent to US$109,5 million during the half-year ended June 30, 2023, owing to the devaluation of the Zimdollar.
The domestic unit lost more than 75 percent against the greenback during the period. The bank’s US dollar-denominated deposits, however, increased by 6,6 percent during the half-year period.
Deposits denominated in Zim dollars constituted eight percent of the bank’s total lot at the end of the period. The rapid devaluation of the local currency during the period under review also exerted pressure on capital, resulting in the bank’s US dollar-denominated core capital decreasing marginally by two percent to US$48 million from US$49 million at the end of 2022.