By Sam Kalimba

The Board of the Centenary Bank has presented a summarised, unaudited financial results for the six months ended 30th June 2023.

In economic highlights, the results indicate that headline inflation closed at 27.30% in June 2023 up from 25.4% in December 2022 and 23.4% in June 2022. it says that the increase was predominantly on account of currency depreciation and rising food prices.

“The Kwacha went through a mini depreciation mid-June 2023 losing around 3% of value. There is continued pressure on the kwacha as the country works on fixing the supply side of the currencies from major trading partners. The reference rate closed at 21% up from 17.3% in December 2022 and 13.8% in June 2022,” the results state.

The report asserts that the Group has achieved a remarkable turnaround from the adverse performance that was prevalent in the past two years. It shows that all key performance areas are showing signs of recovery and are pointing in the right direction.

“The group is now well-capitalised following a change in shareholding and capital injection at the beginning of the year. We have attained business volume growth and reduced the cost of doing business despite increasing economic pressures. Overall profitability for the Group stood at MK970 million at the close of June 2023 compared to a loss after tax of MK959 million up to June 2022, which represents a 201% increase in profitability,” reads the report.

The report further suggests that the Group earned MK5.3 billion in net interest income compared to the prior year’s net interest income of MK3.3billion representing 59% income growth due to a reduction in the cost of funding. It says the Total non-interest revenue increased by 59% to MK5.0 billion from MK2.9 billion earned in the prior-year period due to increased transactional volumes.

“We achieved 64% growth in total income to MK10.3 billion from MK6.3 billion due to an increase in transaction volumes and a reduction in the cost of funds. Impairment charges on loans and advances to customers rose by 111% to MK431 million from MK204 million due to various economic challenges faced by the business and the impact of Cyclone Freddy on our customers,” it reads.

The report states that operating costs rose by 14% to MK8.4 billion from MK7.4 billion in the prior year due to inflationary pressures. We focused strongly on cost containment to ensure below inflation cost growth. It says that total assets for the Group grew by 12% to close at MK109.8 billion in 2023 from MK97.7 billion following increased funding mobilisation and business volume growth strategies. We have repositioned our balance sheet through the repayment of borrowed funds and replacing it with deposit funding. In this regard, we have reduced our funding from borrowings by 79%, from MK37.2 billion to close at MK7.8 billion in June 2023.

It portrays that the bank’s funding through depositors has since grown by 70%, up to MK84.3 billion from MK49.6 billion in June 2022.

OUTLOOK FOR 2023

The results report puts that the Group expects macroeconomic pressures to persist in the second half of 2023, with sustained pressure on the kwacha and rising inflation.

“We expect the economic pressures, including the aftermath of Cyclone Freddy, to affect various businesses and customers’ disposable incomes and ability to meet their contractual obligations. However, we are optimistic about continuing with the growth trajectory as we continue to implement the various business growth strategies we have embarked on since the start of the year.
We will continue to focus on improving customer satisfaction and efficiencies, upgrading our systems, and driving the digitalization agenda to grow the business and enhance customer experience.
We will also continue to focus on cost rationalization, prudent management of risk and liquidity, and diversification of balance sheet funding while maintaining a healthy capital position,” it says.

The report was duly signed by the Board Chairman Dr. Francis Perekamoyo and other three officials.

The Catholic Women Organization in Malawi has on Saturday, 22nd July 2023 celebrated a Golden Jubilee anniversary at Civo Stadium in the Archdiocese of Lilongwe.

His Grace Archbishop George Desmond Tambala of the Archdiocese of Lilongwe presided over the Eucharistic Mass.

Here is a full pictorial focus of the event.

There was a Luncheon after the Mass at Maula Cathedral.

END.

The Archdiocese of Lilongwe in conjunction with different religious groups in Lilongwe has on 13th July 2023 protested peacefully against the homosexuality.

The demos which were organised countrywide have an aim of defending Marriage, Family and Human Sexuality in the country in the background of natural law as well as Malawian culture.

Archbishop George Desmond Tambala of the Archdiocese of Lilongwe said that they have delivered the petition to the parliament to alert them on the laws of Human Sexuality and also to send message to all donors to not change the laws of the country as it does not reflect a true culture and beliefs of Malawi.

“We are very concerned that if we allow the law on marriage to change, we are going to destroy the family. We are also going to affect the education of our children. There is also a message which we have delivered to our donor partners that in as much as they help us, they should remember that we are a sovereign state and to be respected. We shouldn’t be given a condition in order to receive aid,” Archbishop George Tambala expressed.

In the Petition, the leaders of different religious groups have asked the parliament and government of Malawi to do a Referendum if people want to have the homosexual act in the country.

“All Malawians should be consulted on this particular law”, His Grace Tambala concluded.

The groups expressed their dismay towards the call from some quarters to legalise same sex relations, saying this will greatly impact on family.

Yusuf Nthenda after receiving the petition

Chairperson of Legal Affairs Committee of the Malawi Parliament, Yusuf Nthenda received the petition which was presented by His Grace George Desmond Tambala and other religious group leaders.

At the Parliament, the minister of information, Moses Kumkuyu commended the move which the religious groups have shown in presenting the petition to the parliament as it is a constitutionally recognized channel.

Kumkuyu assured the gathering and the members of various faith groups that the petition will be taken through proper channels to be discussed at the parliament.

“As government we believe in rule of law… The Parliamentarians are going to look at it when it comes to their attention”, Kumkuyu assured the citizenry.

On his part, the president of the Alliance for Democracy (AFORD), Enock Chihana commended the move which the religious leaders have taken in the country to defend the family.

Chihana said that it is time for Parliamentarians to act for what people are telling them to do as the petition is not asking them to do a favor.

The demonstrations were organised by the Episcopal Conference of Malawi (ECM), Evangelical Association of Malawi (EAM), Muslim Association of Malawi (MAM), Qadria Muslim Association of Malawi (QMAM) and Malawi Council of Churches (MCC).