The Chronicle

Nqobile Bhebhe, Senior Business Reporter
LISTED micro-financier, GetBucks Limited, says customer deposits fell 58% to close at ZWL$79.2m from ZWL$187m, due to general market reluctance to hold assets monetary.

The micro-financier is working on a recapitalization plan to raise funds to meet the regulatory minimum capital requirement of $5 million set by the Reserve Bank of Zimbabwe.

Reserve Bank of Zimbabwe.

GetBucks is a deposit-taking micro-finance institution that operates several branches across the country.

According to central bank thresholds, tier 3 depository microfinance banks must have a minimum capital of US$5 million, while tier 1 banks, large local commercial banks and all banks companies must have a minimum capital of 30 million US dollars.

Tier 2 commercial banks, merchant banks, building societies, development banks, finance and discount companies must have a minimum capital of $20 million.

In his consolidated financial statements for the year ended December 31, 2021, the chairman, Mr. Rungamo Mbire, said that the funds raised will help strengthen the microfinance bank’s capacity for expansion.

To preserve shareholder value, Mr Mbire said they will continue to implement capital preservation initiatives.

“The Microfinance Bank is carrying out a capital increase as part of its fundraising initiative. The capital raised will help the Microfinance Bank meet the regulatory minimum capital requirement of $5 million equivalent to $5 million,” he said.

“The capital raised will reduce Microfinance Bank’s cost of funding, while strengthening Microfinance Bank’s ability to expand,” Mr. Mbire said.
Investments in technology will continue to be at the heart of GetBuck’s strategy to provide financial services, Mbire added.

Regarding revenue, he said there was a 206% increase to ZWL$588 million from ZWL$192 million for the comparable period.

The institution’s total comprehensive income for the year increased by 366% to ZWL$191 million, compared to a loss of ZWL$72 million for the previous year.

In terms of overall earnings per share, there was a 445% increase to 17.93 cents per share, compared to an overall loss per share of 5.19 cents for the comparative period.

Earnings per share increased 367% to 16.5 cents per share from loss per share of 6.19 cents per share for the corresponding year and net assets increased 68% to $474 million ZWL compared to ZWL$282 million for the comparative year. period.

Mr Mbire said inflationary pressures and fear of real monetary losses due to currency depreciation saw his clients’ deposits drop 58% to close at ZWL$79.2 million from ZWL$187 million. .

But the loan portfolio fell from ZWL$132 million in 2020 to ZWL$179 million in 2021. No dividends were declared. [email protected]

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