By HELEN ZULU –
BARCLAYS Bank Zambia has continued to have a sound financial position recording an increase of 55 per cent in profit before tax from K131million in the first half of 2016 to K203million during the first half of 2017.
This has been attributed to the higher net operating income which grew by 21 per cent against expenses which only grew by five per cent year on year from K282 million in first half of 2016 to K295million reflecting  efficient cost management as the continued focus on digital channels.
Managing  Director Mizinga Melu said the bank continued to have a sound financial position reflected by its profitability, strong balance sheet and capital position which remained above regulatory requirements.
Ms Melu said tax expense increased by 81 per cent year on year on account of the higher profit before tax recorded in the first half of this year compared to the first half of  last year.
She was speaking when she announced the banks half year results in Lusaka yesterday.
“Our headline earnings increased by 42 per cent from K88million in the first half of 2016 to K125million on account of improved income,  efficient cost and impairment management driven by strong earning growth in savings, current accounts as well as strong growth in corporate and retail banking.
“Impairments grew by 12 per cent, from K17million in the first half of 2016 to K15 million,  a position that is lower than industry performance due to close management of banks asset book,” Ms Melu said.
She said total operating income grew by 19 per cent from K430million in the first half of last year  to K 512 million on account of growth in savings and current accounts.
Efficient balance sheet management  led to the bank making significant contributions to the financial sector.
Ms Melu  further said the bank had  invested over K25 million in digital platforms aimed at building a more efficient and customer centric business.
She said the bank would continue to make significant investments in technology in order to build a more efficient and customer centric business.
Ms Melu said some of the key digital initiatives the bank had launched included bank to wallet, intelligent automated teller machines, mobile banking, online banking, point of sale services and E-commerce services.