NMB eyes regional expansion after record earnings, reforms

Josephine Christopher is a senior business journalist for The Citizen and Mwananchi newspapers

Mwananchi Communications Limitted

Dar es Salaam. NMB Bank has entered a new phase of growth, signalling plans to expand beyond Tanzania after shareholders approved a share subdivision and a series of strategic resolutions at its 26th Annual General Meeting (AGM), paving the way for regional investments under its Agenda 2030 roadmap.

The landmark decisions, taken in Dar es Salaam on Wednesday, June 10, 2026, are expected to give the bank greater flexibility to pursue acquisitions, establish subsidiaries and widen ownership participation through a more accessible share structure.

Board Chairman David Nchimbi said NMB is now assessing selected regional markets that share similar economic dynamics with Tanzania, marking the bank’s most explicit move yet towards cross-border operations.

“We have started looking at markets in countries that are opening up, and in doing so we are examining economic alignment with Tanzania.

Countries such as Uganda, Zambia and the Democratic Republic of Congo are among those we are beginning to focus on,” he said.

Mr Nchimbi stressed that expansion will remain cautious and disciplined, noting that regional investments require a balance between agility and strong risk management.

He attributed the bank’s performance to robust governance, customer confidence and consistent execution of strategy.

NMB Chief Executive Officer Ruth Zaipuna said the bank recorded more than Sh1.8 trillion in revenue and Sh1.1 trillion in pre-tax profit in 2025, the highest in its history and the first time a Tanzanian firm has crossed that level of profitability.

She said earnings had grown significantly from Sh296 billion in 2020, driven by the successful implementation of the bank’s five-year strategic plan.

Operational efficiency also improved sharply, with the cost-to-income ratio declining from above 50 percent to 38 percent over the period, placing NMB among Africa’s most efficient lenders.

Non-performing loans fell from 7 percent to 2.5 percent, reflecting stronger credit discipline.

Ms Zaipuna said the bank has returned more than Sh700 billion in dividends over the past five years, reinforcing its reputation as a consistent value creator for shareholders.

NMB’s market capitalisation rose from Sh1.2 trillion in 2020 to Sh7.4 trillion in 2026, while its share price increased from Sh2,000 in 2021 to Sh15,170 as of June 10, 2026. She noted that a Sh10 million investment in 2021 would now be worth about Sh74 million.

Beyond profitability, the bank has expanded its financial inclusion drive, growing its agent network from 8,400 in 2020 to more than 76,000 in 2025, extending services to rural and underserved areas.

The lender aims to place an agent in every village in Tanzania by 2030.