I&M Bank Tanzania focusing on robust growth and business efficiency in 2023.

Dar es Salaam, April 20th, 2023 I&M Group PLC recorded KES 11.6 billion in profit after tax for the full year ending December 2022; a 34% increase in profitability from KES 8.6 billion reported during a similar period in 2021. The results were announced in Nairobi, Kenya on 29th March 2023. The Group attributed this impressive growth to the continuing successful implementation of its iMara 2.0 strategy, which is now in its 3rd and final year, focusing on business growth, operational efficiencies, customer centricity and digital transformation. As a result of the strong performance, the Board proposed a total dividend of KES 2.25 per share, a 50 % increase from last year, bringing the total dividend payout to KES 3.7 billion and a dividend yield of 13%. I&M Group recognized the good growth on top line numbers made by I&M Bank Tanzania on the back of a robust increase in customer deposits and loans. Net Loans and Advances grew by 6% to TZS 366 billion from TZS 345 billion in 2021 driven by corporate, mortgage and digital loans. Bank’s customers deposits grew by 37% to TZS 450 billion from TZS 329 billion prior year, driven by corporate and retail customers. Net Interest Income increased by 26% to TZS 31.8 billion from TZS 25.3 billion prior year and Non-Funded Income increased by 24% to TZS 11.6 billion from TZS 9.4 billion in 2021. Despite the loss that I&M Bank Tanzania reported in the year 2022, the Bank has for the past five years, reported an improvement in performance, with total assets growing by 17% in 2022 to TZS 597 billion from TZS 511 billion prior year. Mr. Zahid Mustafa, CEO of I&M Bank Tanzania while commenting on the performance said “The reported loss of TZS 13.5 billion in 2022 for I&M Bank Tanzania stemmed from a decision to write-off and take provisions on legacy Non-Performing Loans (NPL) in line with the Bank of Tanzania (BOT) guidelines. The NPL was driven by the adverse impact of the COVID pandemic, global inflation and the difficult operating environment impact on our customers. This saw increased provision of loans from TZS 5.2B in 2021 to TZS 25.3B in 2022”. Mr. Mustafa who joined I&M Tanzania late last year, further stated that the Bank has plans to diversify its business by introducing differentiated retail and digital banking propositions for its customers in Tanzania, improving customer experience, enhancing operational efficiencies and expanding the customer base to drive growth which requires significant investments in people and technology. Classification: Internal Use Classification: Internal Use To this end, the Group has injected capital of USD 6 million in the first half of FY2023. Mr. Mustafa emphasized that I&M Bank remains committed to its customers and the country with sound underlying business fundamentals derived from the Group’s iMara 2.0 strategy to drive growth, supported by a strong Group balance sheet and capital structure. “The bank is compliant with regulatory provisions and remains confident that its strategy will continue to deliver better results for its customers and shareholders now and into the future”, said Mr. Mustafa. “We are on track to launch new ventures in both the corporate and retail space like the revamp of our employee banking proposition and digital platforms with the introduction of an agency banking platform dubbed ‘WAKALA’,” he said. In the next five years, I&M Bank expects to graduate into a first-tier lender driven by balance sheet growth underpinned by profitable growth in the customer base, product expansion and operational efficiency. I&M Bank (TZ) optimism is buoyed by the overall potential of the banking industry in Eastern Africa with promising growth on the back of the attractiveness of the industry. Increasing competition is a testament to the potential for additional growth and that investments are safe and investor wealth is protected. -EndAbout I&M I&M Bank Tanzania is one of the fast-growing commercial banks, offering a full range of Corporate, Business, Premium, and Personal banking services. Headquartered in Dar es Salaam, I&M Bank is a subsidiary of I&M Group PLC which is listed on the Nairobi Securities Exchange and has a growing regional presence currently extending to Mauritius, Rwanda, Kenya, and Uganda. It is licensed by the Bank of Tanzania. The bank started operations in Tanzania in 2002 as CF Union Bank. In September 2010, the bank changed its name from CF Union Bank to I&M Bank (Tanzania) Limited, to reflect the new ownership. Now the bank operates in major cities including Dar es Salaam, Arusha, Mwanza, and Moshi with plans to extend to other regions. I&M Bank Tanzania aspires to be Tanzania’s Leading Financial Partner for Growth by offering innovative and market-driven banking solutions for its target segments.

For more information visit www.imbank.com/tz

I&M Bank Media Contact

Anitha Pallangyo Manager, Marketing and Communication [email protected]

+ 255 689 791 060