Key Figures

2017 Key figures (Amounts in TZS"000")

 

Activity

  2016 2017

Variation  

Deposits   393,635 369,368 -6.2%
Loans 324,870 300,713 -7.4%
Number of branches at the end of the financial year 27 26 -3.7%

 

Structure

  2016 2017

Variation 

Total Assets   628,877 557,683 -11.3%
Shareholders’ equity 72,006 72,622 0.9%
Number of employees 351 342 -2.6%

Capital Adequacy Ratio

  2016 2017
Tier 1   60,668 54,881
Tier 2 4,306 2,808
Risk Weighted Asset (RWA 400,612 365,257
Tier 1 + Tier 2 / RWA (%) 16.2% 15.8%

Income

  2016 2017

Variation 

Net operating income 46,483 51,076 9.9%
Operating expenses 36,252 -37,966 4.7%
Gross operating profit 10,232 13,110 28.1%
Cost of risk (in value) (**) 4,616 -8,258 78.9%
Net income 3,688 3,197 -13.3%
Operating ratio (%) 78.0% -74.3%  
Cost of risk (%) 1.5% -2.6%  
Return on Assets (ROA %) 0.6% 0.6%  
Return on Equity (ROE %) 5.3% 4.4%  

(*) Including general provision

Annual Report

2017 FINANCIAL STATEMENT

BANK OF AFRICA - TANZANIA (BOA-TANZANIA) performance for 2017 showed mixed results in differentaspects. During the year ended 31 December 2017, BANK OF AFRICA - TANZANIA Limited recorded a pre-tax profit of TZS 4.9 billion (2016: TZS 5.6 billion) Profit after tax (PAT) decreased by 28% from TZS 3.7 billion to TZS 3.1 billion. The decline was attributed to the challenging business environment across the Tanzania banking industry which notably affected our foreign exchange trading income and increased our cost of risk by almost twofold. 

The ratio of non-performing loans to gross loans increased from 4.96% at the end of prior year to 11.0% at the end of the reporting period. This ratio is lower than the industry average ratio of 12.5%. The credit selection, appraisal and approval processes, complemented by strong relationships with customers have ensured that potential credit delinquencies are identified and managed at an early stage. This arrangement has proved to be beneficial to the Bank and its customers.